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VDC - ETF AI Analysis

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VDC

Vanguard Consumer Staples ETF (VDC)

Rating:70Outperform
Price Target:
VDC, the Vanguard Consumer Staples ETF, has a solid overall rating driven mainly by strong, stable leaders like Walmart, Costco, Coca-Cola, and PepsiCo, which benefit from resilient financial performance, strategic growth initiatives, and generally positive outlooks. The presence of weaker names such as Philip Morris, Altria, Mondelez, and Colgate-Palmolive, where leverage, bearish technical trends, and valuation concerns show up, holds the rating back somewhat. A key risk factor is the fund’s concentration in consumer staples, which can limit upside if this defensive sector underperforms the broader market.
Positive Factors
Strong Leading Retail Holdings
Large positions in Walmart, Costco, and Target have shown strong gains this year, helping support the ETF’s overall performance.
Defensive Sector Focus
Heavy exposure to consumer staples companies can make the fund more resilient during economic slowdowns, since people still need everyday goods.
Low Expense Ratio
The ETF charges a very low fee, so more of the fund’s returns stay in investors’ pockets over time.
Negative Factors
High Concentration in Top Holdings
A small number of companies, especially Walmart and Costco, make up a large share of the portfolio, increasing the impact if any of them stumble.
Underperforming Tobacco Stocks
Some sizable holdings in tobacco companies, such as Philip Morris, have shown weak performance this year, which can drag on returns.
Limited Geographic and Sector Diversification
The fund is almost entirely invested in U.S. consumer defensive stocks, offering little exposure to other countries or sectors.

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

VDC Summary

Vanguard Consumer Staples ETF (VDC) is a fund that follows the MSCI US IMI 25/50 Consumer Staples index, focusing on companies that sell everyday essentials like food, drinks, and household products. It holds well-known names such as Walmart and Coca-Cola, along with other big U.S. brands. Investors might consider VDC if they want steadier, more defensive exposure, since people tend to keep buying these products in good and bad economies. However, because it is concentrated in consumer staples, it can still go up and down with that sector and will not benefit as much if other parts of the market surge.
How much will it cost me?The Vanguard Consumer Staples ETF (VDC) has an expense ratio of 0.09%, meaning you’ll pay $0.90 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 Consumer Staples ETF (VDC) could benefit from steady demand for essential goods like food, beverages, and hygiene products, especially during economic downturns, as its holdings include major companies such as Walmart, Costco, and Procter & Gamble. However, rising interest rates or regulatory changes affecting industries like tobacco and beverages could negatively impact some of its top holdings, while broader economic challenges might influence consumer spending patterns. Its focus on U.S. consumer staples provides stability but limits exposure to growth opportunities in emerging markets.

VDC Top 10 Holdings

VDC is leaning heavily on U.S. consumer staples giants, with Walmart and Costco doing much of the heavy lifting as their shares keep rising on solid sales and membership-driven strength. Target has turned into a surprise bright spot, sprinting ahead after a rough patch and adding extra fuel to returns. On the flip side, Procter & Gamble and Philip Morris have been losing steam, acting as mild brakes on performance, while Coca-Cola and PepsiCo provide a steadier, fizzing core. Overall, it’s a U.S.-centric, defensive basket anchored in everyday essentials.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
Walmart15.71%$1.45B$1.04T33.99%
78
Outperform
Costco12.44%$1.15B$448.60B1.99%
72
Outperform
Procter & Gamble9.25%$853.89M$344.37B-8.31%
69
Neutral
Coca-Cola8.32%$768.37M$329.83B5.08%
75
Outperform
PepsiCo4.59%$423.68M$212.45B15.21%
78
Outperform
Philip Morris4.31%$397.73M$255.91B-4.89%
61
Neutral
Altria Group3.68%$339.93M$111.78B13.42%
64
Neutral
Mondelez International2.51%$231.77M$73.94B-11.80%
62
Neutral
Colgate-Palmolive2.22%$205.25M$67.91B-7.46%
63
Neutral
Target1.92%$177.51M$58.54B34.61%
70
Neutral

VDC Technical Analysis

Technical Analysis Sentiment
Positive
Last Price
Price Trends
50DMA
228.93
Positive
100DMA
224.71
Positive
200DMA
218.86
Positive
Market Momentum
MACD
0.65
Negative
RSI
61.01
Neutral
STOCH
76.27
Neutral
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For VDC, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 226.64, equal to the 50-day MA of 228.93, and equal to the 200-day MA of 218.86, indicating a bullish trend. The MACD of 0.65 indicates Negative momentum. The RSI at 61.01 is Neutral, neither overbought nor oversold. The STOCH value of 76.27 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for VDC.

VDC Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$8.01B0.09%
70
Outperform
$9.97B0.09%
72
Outperform
$9.91B0.69%
72
Outperform
$8.85B0.09%
67
Neutral
$1.42B0.08%
70
Outperform
$1.36B0.38%
68
Neutral
Performance Comparison
Ticker
Company Name
Price
Change
% Change
VDC
Vanguard Consumer Staples ETF
232.14
16.41
7.61%
VDE
Vanguard Energy ETF
AIRR
First Trust RBA American Industrial Renaissance ETF
VPU
Vanguard Utilities ETF
FSTA
FIDELITY COVINGTON TRUST MSCI CONSUMER STAPLES INDEX ETF
IYK
iShares U.S. Consumer Staples 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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