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MGK - ETF AI Analysis

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MGK

Vanguard Mega Cap Growth ETF (MGK)

Rating:75Outperform
Price Target:
MGK, the Vanguard Mega Cap Growth ETF, earns a solid overall rating because it is heavily invested in high-quality growth leaders like Apple, Microsoft, and Alphabet, which all show strong financial performance, positive earnings outlooks, and promising growth in areas like cloud computing and AI. These strengths are slightly tempered by holdings such as Amazon, Tesla, and Eli Lilly, where high valuations, mixed technical signals, and leverage or cash flow concerns introduce more risk. The main risk factor is the fund’s concentration in a small group of large, growth-focused tech and AI-related companies, which can increase volatility if sentiment toward this sector shifts.
Positive Factors
Low Expense Ratio
The fund charges a very low fee, which helps investors keep more of their returns over time.
Large Asset Base
The ETF manages a very large pool of assets, which generally supports good trading liquidity and fund stability.
Exposure to Leading Growth Companies
The top holdings include many of the largest and most influential U.S. growth companies, giving investors targeted exposure to major market leaders.
Negative Factors
Recent Weak Performance
The ETF has shown weak performance over the past month, three months, and year to date, which may concern investors looking for near-term strength.
High Concentration in a Few Stocks
A small number of mega-cap names make up a large share of the portfolio, increasing the impact if any of these companies struggle.
Heavy Tilt Toward U.S. Technology
The fund is almost entirely invested in U.S. stocks and is heavily weighted toward the technology sector, which can make it more sensitive to downturns in that area of the market.

MGK vs. SPDR S&P 500 ETF (SPY)

MGK Summary

Vanguard Mega Cap Growth ETF (MGK) tracks the CRSP US Mega Growth Index, focusing on very large U.S. companies with strong growth potential, especially in technology and communication services. It holds big names like Apple, Microsoft, Nvidia, and Amazon, giving you an easy way to invest in many leading growth companies at once. Someone might invest in MGK to seek long-term growth and diversification across top U.S. market leaders. A key risk is that it is heavily tilted toward tech and other growth stocks, so its price can swing a lot and may fall sharply if these sectors struggle.
How much will it cost me?The Vanguard Mega Cap Growth ETF (MGK) has an expense ratio of 0.07%, which means you’ll pay $0.70 per year for every $1,000 invested. This is lower than average because it’s a passively managed fund that tracks an index, keeping costs down for investors.
What would affect this ETF?The Vanguard Mega Cap Growth ETF (MGK) could benefit from continued innovation and strong performance in the technology sector, which makes up a significant portion of its holdings, as well as economic growth that supports consumer spending and healthcare advancements. However, rising interest rates or regulatory changes targeting large-cap tech companies could negatively impact its top holdings, while broader economic slowdowns may reduce demand in consumer and cyclical sectors.

MGK Top 10 Holdings

MGK is riding on the shoulders of a few giant U.S. tech names, but lately those shoulders have been slumping. Nvidia, Apple, and Microsoft dominate the fund and have all been losing steam, so when they stumble, the whole ETF feels it. Alphabet and Meta, also key players, show solid long-term stories in AI and cloud but have delivered mixed, choppy trading recently. With more than half the fund in technology and much of the rest in communication services and consumer giants like Amazon and Tesla, MGK is heavily tied to Big Tech’s mood swings.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
Nvidia13.11%$3.85B$4.47T70.97%
76
Outperform
Apple12.48%$3.67B$3.82T36.80%
79
Outperform
Microsoft9.17%$2.70B$2.77T-2.17%
79
Outperform
Alphabet Class A5.65%$1.66B$3.84T108.41%
85
Outperform
Meta Platforms4.66%$1.37B$1.59T15.03%
76
Outperform
Alphabet Class C4.45%$1.31B$3.84T103.62%
82
Outperform
Amazon4.43%$1.30B$2.51T28.93%
71
Outperform
Tesla4.25%$1.25B$1.30T36.93%
73
Outperform
Broadcom3.96%$1.16B$1.68T105.98%
76
Outperform
Eli Lilly & Co3.42%$1.00B$902.48B32.50%
72
Outperform

MGK Technical Analysis

Technical Analysis Sentiment
Positive
Last Price
Price Trends
50DMA
384.70
Positive
100DMA
397.46
Negative
200DMA
393.68
Negative
Market Momentum
MACD
-2.33
Negative
RSI
57.52
Neutral
STOCH
89.61
Negative
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For MGK, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 373.80, equal to the 50-day MA of 384.70, and equal to the 200-day MA of 393.68, indicating a neutral trend. The MACD of -2.33 indicates Negative momentum. The RSI at 57.52 is Neutral, neither overbought nor oversold. The STOCH value of 89.61 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for MGK.

MGK Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$28.93B0.05%
75
Outperform
$193.73B0.03%
75
Outperform
$116.62B0.18%
75
Outperform
$64.22B0.18%
75
Outperform
$50.58B0.04%
75
Outperform
$42.92B0.04%
76
Outperform
Performance Comparison
Ticker
Company Name
Price
Change
% Change
MGK
Vanguard Mega Cap Growth ETF
386.17
87.59
29.34%
VUG
Vanguard Growth ETF
IWF
iShares Russell 1000 Growth ETF
IVW
iShares S&P 500 Growth ETF
SCHG
Schwab U.S. Large-Cap Growth ETF
SPYG
SPDR Portfolio S&P 500 Growth ETF
Glossary
BuyAn ETF rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the ETF is likely to deliver higher returns compared to other ETFs in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldAn ETF rated as a "Hold" s expected to perform in line with the overall market or a specific benchmark. This rating indicates that the ETF is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellAn ETF rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the ETF may deliver lower returns compared to other ETFs in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
DisclaimerThis AI Analyst ETF Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in ETFs carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: ―
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