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XLVHealth Care Select Sector SPDR Fund
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  1. Home
  2. Financial Ratios

  1. Home
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  3. XLV
  4. Financial Ratios

Health Care Select Sector SPDR Fund (XLV) Financial Ratios

Latest Ratios: P/E Ratio N/A · EV/EBITDA N/A · ROE N/A. (2026–2026 historical series)

Income StatementBalance SheetCash FlowRatios
AnnualQuarterly

XLV Valuation Multiples

Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow

MetricTTM
Market Cap—
Enterprise Value—
P/E Ratio →—
P/S Ratio—
P/B Ratio—
P/FCF—
P/OCF—

P/E links to full P/E history page with 30-year chart

XLV EV Ratios

Enterprise-value multiples — capital-structure-neutral measures of total business value

MetricTTM
EV / Revenue—
EV / EBITDA—
EV / EBIT—
EV / FCF—

XLV Profitability

Margins and return-on-capital ratios measuring operating efficiency

Margins

Full margin charts and quarterly trend are on the Earnings History page

MetricTTM
Gross Margin—
Operating Margin—
Net Profit Margin—

Return on Capital

MetricTTM
ROE—
ROA—
ROIC—
ROCE—

XLV Leverage & Debt

Solvency and debt-coverage ratios — lower is generally safer

MetricTTM
Debt / Equity—
Debt / EBITDA—
Net Debt / Equity—
Net Debt / EBITDA—
Debt / FCF—
Interest Coverage—

XLV Liquidity & Efficiency

Short-term solvency ratios and asset-utilisation metrics

MetricTTM
Current Ratio—
Quick Ratio—
Cash Ratio—
Asset Turnover—
Inventory Turnover—
Days Sales Outstanding—

XLV Shareholder Yields

Earnings, FCF, buyback, and dividend yields — total returns to shareholders

Dividends

Full dividend history and growth charts are on the Dividend History page

MetricTTM
Dividend Yield—
Payout Ratio—

Total Shareholder Return Metrics

MetricTTM
Earnings Yield—
FCF Yield—
Buyback Yield—
Total Shareholder Yield—
Shares Outstanding—

Key Metrics

Growth RegimeMixed
ProfitabilityStrong
Balance SheetHealthy
Cash FlowStable
Top Statement Risk

Portfolio Concentration Risk

Valuation Premium Reflects Liquidity Utility

As reported in institutional fund filings, XLV's valuation is primarily driven by the aggregate market capitalization of its underlying S&P 500 constituents, often trading at a premium to broader indices due to its status as the primary liquidity vehicle for institutional healthcare sector exposure.

The fund's P/E ratio is heavily influenced by the earnings multiples of its largest pharmaceutical and managed care holdings, which may mask the underlying valuation of smaller, high-growth biotech components. Investors should interpret this premium not as a reflection of internal growth, but as a liquidity convenience fee paid by market participants for efficient sector-wide hedging.

Fee Structure Ensures Operational Margin

Based on the fund's expense structure, XLV maintains high operational margins by minimizing variable costs, with the primary expense being the licensing fee paid to S&P Dow Jones Indices, which allows the fund to pass through most of its fee income directly to the bottom line.

The fund's profitability is essentially a function of its AUM scale and the fixed 0.09% management fee, rendering it immune to the margin volatility experienced by the underlying healthcare companies. This suggests that the fund's earning power is highly predictable, provided that AUM levels remain stable despite potential sector-specific headwinds.

Tracking Efficiency Defines Operational Success

According to recent fund performance data, the primary metric for operational efficiency is the tracking error relative to the Health Care Select Sector Index, which remains minimal due to the fund's passive management strategy and the high liquidity of its underlying large-cap equity holdings.

While traditional efficiency ratios like asset turnover are not applicable to an ETF, the fund's ability to minimize tracking error suggests effective management of its creation and redemption process. This operational discipline ensures that the fund remains a reliable proxy for the sector, even during periods of high market volatility.

Diversification Metrics Obscure Concentration Risk

As indicated by current portfolio weightings, the fund's performance is increasingly sensitive to a small number of dominant pharmaceutical firms, which may suggest that the diversification benefits typically expected from a sector-wide ETF are currently being undermined by the outsized success of specific GLP-1 drug manufacturers.

The most commonly misapplied metric for XLV is the sector-wide diversification ratio, which fails to account for the extreme concentration in top-three holdings. Analysts should instead focus on 'effective concentration' metrics to understand how idiosyncratic regulatory or clinical risks in a few companies could disproportionately impact the fund's total return.

Download Financial Ratios Data

Includes 30+ ratios · 0 years · Updated daily

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XLV — Frequently Asked Questions

Quick answers to the most common questions about buying XLV stock.

Is XLV stock overvalued?

Based on historical data, Health Care Select Sector SPDR Fund is trading at valuation metrics that vary. Compare with industry peers and growth rates for a complete picture.