US stock market valuations by sector
Price-to-earnings, price-to-book, price-to-sales and dividend yield for the eleven US sectors, each against the S&P 500, ranked by an overall value score (out of 10, 10 = cheapest). Tap any column to re-sort; the cheapest third on each measure is shaded green, the dearest red. Right now Communication Services screens cheapest on earnings and Technology the dearest.
Snapshot as of 10 August 2026.
By Dominic Roe · Data Engineer & Business Intelligence Developer
| S&P 500SPY | 100.0% | 25.1 | 5.19 | 3.64 | 1.01% | 3.3 |
| EnergyXLE | 3.5% | 20.1 | 2.60 | 1.69 | 2.55% | 8.0 |
| UtilitiesXLU | 2.5% | 20.2 | 2.26 | 2.80 | 2.70% | 7.8 |
| MaterialsXLB | 1.9% | 24.7 | 2.79 | 1.96 | 1.68% | 6.9 |
| Consumer StaplesXLP | 5.5% | 26.1 | 4.55 | 1.40 | 2.58% | 6.9 |
| Communication ServicesXLC | 9.5% | 15.7 | 2.98 | 2.12 | 1.32% | 6.4 |
| FinancialsXLF | 13.0% | 16.7 | 2.40 | 3.50 | 1.42% | 6.4 |
| Health CareXLV | 10.0% | 29.0 | 4.49 | 1.61 | 1.56% | 5.7 |
| Real EstateXLRE | 2.1% | 32.6 | 2.86 | 6.09 | 3.12% | 5.1 |
| Consumer DiscretionaryXLY | 10.0% | 26.4 | 5.89 | 2.51 | 0.78% | 3.7 |
| IndustrialsXLI | 8.5% | 29.8 | 7.07 | 3.17 | 1.15% | 2.8 |
| TechnologyXLK | 32.0% | 33.7 | 11.07 | 8.65 | 0.45% | 1.0 |
Reading the colours: for each valuation column, green marks the cheaper third of sectors and red the dearer third (the weight column is reference only, not coloured). Lower P/E, P/B and P/S mean cheaper relative to earnings, assets and sales; a higher dividend yield likewise. The Score averages those measures into one figure (10 = cheapest) — see the country table for exactly how it is built. Figures are the SPDR sector ETFs’ reported trailing multiples, in USD terms; weights are approximate S&P 500 shares as of June 2026.
How to read sector valuations
Sectors are not interchangeable, so the cheapest one is rarely the best buy. A persistently low price-to-earnings — common in energy, financials and materials — usually reflects slower or more cyclical earnings, heavier capital needs, or regulatory and commodity risk that the market is pricing in. A persistently high multiple — common in technology — reflects faster expected growth and higher margins. The useful question is not “which sector is cheap?” but “is a sector cheap or dear relative to its own normal range and prospects?”.
Sector mix is also why whole markets differ: the US market looks expensive partly because it is so heavily weighted toward high-multiple technology, while cheaper markets in the valuations by country table carry more banks and energy. Read this alongside the global valuation dashboard.
Which US sector is cheapest right now?
On a trailing price-to-earnings basis Communication Services currently screens as the cheapest of the eleven sectors, and Technology the most expensive. But a low multiple often reflects slower growth, more cyclicality or a heavier weighting of capital-intensive businesses — cheap is not the same as a bargain. Sort the table by any measure to see the full picture.
Why do sector valuations differ so much?
Each sector has a different economic character. Technology and consumer-discretionary firms are typically asset-light and faster-growing, so they command higher multiples; financials, energy and materials are more cyclical and capital-heavy, so they trade cheaper. Price-to-book in particular varies enormously because it depends on how much value sits on the balance sheet versus in intangibles like software and brands.
How are these sector figures measured?
Each row is the aggregate trailing valuation multiple of the sector's SPDR Select Sector ETF, as reported by the fund provider — a consistent basis across all eleven sectors and the S&P 500 benchmark (SPY). The weight column is each sector's approximate share of the S&P 500, shown for context.
Is the data real and how often does it update?
The valuation multiples are real, current fund-reported figures, refreshed periodically — see the 'as of' date above the table. There is no free long history for per-sector price-to-book or price-to-sales, so this is a current snapshot rather than a charted time series. Information only — not investment advice.
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