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VFQY - ETF AI Analysis

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VFQY

Vanguard U.S. Quality Factor ETF (VFQY)

Rating:72Outperform
Price Target:
VFQY, the Vanguard U.S. Quality Factor ETF, earns a solid overall rating, mainly because many of its largest holdings like Apple, Lam Research, KLA, Autodesk, Western Digital, and Visa show strong financial performance, positive earnings commentary, and good long-term growth positioning, especially in technology and digital payments. This strength is partly offset by weaker names such as Spotify and SanDisk, where bearish momentum, valuation concerns, and profitability challenges introduce more risk, and the fund’s meaningful tilt toward tech-related companies also adds sector concentration risk.
Positive Factors
Strong Recent Performance
The ETF has delivered strong gains so far this year and over the past few months, showing solid recent momentum.
Low Expense Ratio
The fund’s relatively low fee means more of the investment return stays in investors’ pockets instead of going to costs.
Broad Sector Diversification
Holdings are spread across many sectors, which helps reduce the impact if any single industry runs into trouble.
Negative Factors
Mixed Top-Holding Performance
Several of the largest positions have shown weak or negative performance this year, which could weigh on future returns if the trend continues.
High U.S. Concentration
Almost all of the fund’s assets are invested in U.S. companies, offering little diversification across global markets.
Meaningful Technology Exposure
A sizable allocation to technology stocks means the ETF may be sensitive to swings in the tech sector.

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

VFQY Summary

Vanguard U.S. Quality Factor ETF (VFQY) is a U.S. stock fund that focuses on “high-quality” companies—businesses with strong profits, steady earnings, and relatively low debt. It doesn’t track a traditional index, but it follows a quality theme across the broad U.S. market, with big holdings like Apple and Fortinet, plus many others in technology, financials, and industrials. Someone might invest in VFQY to seek long-term growth while tilting their portfolio toward financially solid companies. A key risk is that it still owns stocks, so its price can rise and fall significantly with the overall stock market.
How much will it cost me?The Vanguard U.S. Quality Factor ETF (VFQY) has an expense ratio of 0.13%, which means you’ll pay $1.30 per year for every $1,000 invested. This is lower than average because it is passively managed, focusing on tracking a specific strategy rather than actively picking stocks.
What would affect this ETF?The Vanguard U.S. Quality Factor ETF (VFQY) could benefit from positive trends in the U.S. economy, such as stable earnings growth in sectors like technology and healthcare, which are heavily represented in its holdings. However, it may face challenges from rising interest rates or economic slowdowns, which could negatively impact consumer spending and financial sector performance. Regulatory changes or geopolitical tensions affecting U.S. companies could also influence the ETF's future performance.

VFQY Top 10 Holdings

VFQY’s story is all about high-quality U.S. names, with a clear tilt toward tech and industrial leaders. Apple and Fortinet have been key engines, with Apple steadily climbing and Fortinet riding a strong run despite some recent wobbling. On the flip side, Autodesk has been losing steam, and chip-equipment players like KLA and Lam Research have turned choppy lately, adding some bumpiness. Western Digital’s sharp rebound helps offset those laggards, but overall the fund leans heavily on U.S. tech strength with a supporting cast from industrials and consumer names.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
Apple1.63%$7.90M$4.54T52.64%
79
Outperform
Autodesk1.61%$7.84M$49.42B-21.15%
74
Outperform
Fortinet1.57%$7.61M$118.82B66.34%
71
Outperform
Intuit1.41%$6.84M$86.46B-59.28%
73
Outperform
Ross Stores1.41%$6.84M$80.54B83.25%
80
Outperform
Adobe1.37%$6.66M$99.54B-28.00%
80
Outperform
Spotify1.36%$6.62M$102.93B-20.28%
66
Neutral
Cintas1.33%$6.48M$81.89B-7.62%
79
Outperform
Visa1.32%$6.39M$651.42B7.89%
70
Outperform
Gilead Sciences1.30%$6.31M$161.66B15.05%
78
Outperform

VFQY Technical Analysis

Technical Analysis Sentiment
Positive
Last Price
Price Trends
50DMA
168.07
Positive
100DMA
161.36
Positive
200DMA
157.39
Positive
Market Momentum
MACD
1.40
Negative
RSI
65.00
Neutral
STOCH
74.02
Neutral
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For VFQY, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 171.28, equal to the 50-day MA of 168.07, and equal to the 200-day MA of 157.39, indicating a bullish trend. The MACD of 1.40 indicates Negative momentum. The RSI at 65.00 is Neutral, neither overbought nor oversold. The STOCH value of 74.02 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for VFQY.

VFQY Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$486.00M0.13%
72
Outperform
$904.77M0.18%
71
Outperform
$808.32M0.45%
74
Outperform
$766.50M0.22%
62
Neutral
$738.78M1.30%
65
Neutral
$698.18M0.50%
70
Neutral
Performance Comparison
Ticker
Company Name
Price
Change
% Change
VFQY
Vanguard U.S. Quality Factor ETF
174.20
30.71
21.40%
VFMF
Vanguard U.S. Multifactor ETF
BGDV
Bahl & Gaynor Dividend ETF
AVTM
Avantis Total Equity Markets ETF
ULTY
YieldMax Ultra Option Income Strategy ETF
XCHG
AB US Equity 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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