Look-Through Valuation
Value every fund through its holdings: the price-to-earnings, price-to-book, price-to-sales and price-to-free-cash-flow ratio, the dividend yield and the net profit margin of its largest holdings, weighted by their weight in the fund. The multiples are weighted harmonic means, the multiple of the fund as a whole, so one holding with a very high multiple does not dominate. The coverage is the share of the fund’s weight held in holdings with a usable, non-zero price-to-earnings ratio; more holdings raise it at the cost of more requests.
The ratios are the trailing twelve month ratios Financial Modeling Prep calculates for every holding.
Also known as: look-through valuation, fund P/E, weighted average P/E, portfolio valuation.
Look-Through Valuation in Python or via the MCP
Install the Finance Toolkit with:
pip install financetoolkit -U
Then call get_look_through_valuation as shown below.
from financetoolkit import Toolkit
toolkit = Toolkit(["VOO", "QQQ", "SCHD"], api_key="FINANCIAL_MODELING_PREP_KEY")
toolkit.etf.get_look_through_valuation()
Or, after setting up the Finance Toolkit MCP, ask:
What are the look-through P/E, P/B, P/S, P/FCF, dividend yield and net margin of VOO, QQQ and SCHD, based on their largest holdings?
Which returns:
| VOO | QQQ | SCHD | |
|---|---|---|---|
| Price-to-Earnings | 26.616 | 31.6436 | 20.7484 |
| Price-to-Book | 8.3525 | 10.2411 | 4.7307 |
| Price-to-Sales | 7.5579 | 7.0579 | 2.2584 |
| Price-to-Free-Cash-Flow | 59.957 | 53.445 | 17.0266 |
| Dividend Yield | 0.0047 | 0.0038 | 0.0308 |
| Net Profit Margin | 0.3673 | 0.3113 | 0.1583 |
| Coverage | 0.5324 | 0.7154 | 0.8077 |
Parameters
get_look_through_valuation accepts the following parameters.
| Parameter | Type | Description | Example |
|---|---|---|---|
holdings | int | The number of largest holdings to value per fund. Defaults to 25. | 25 |
rounding | int | None | The number of decimals to round the results to. Defaults to None, which uses the rounding of the Toolkit. | 2 |