VGT - ETF AI Analysis

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Vanguard Information Technology ETF (VGT)

Rating:74Outperform

Price Target:―

VGT, the Vanguard Information Technology ETF, earns a solid overall rating thanks to heavy exposure to leaders like Apple, Microsoft, and Nvidia, which all show strong financial performance, positive earnings commentary, and powerful growth drivers in areas like cloud and AI. These strengths are supported by other tech names such as Broadcom, Micron, Cisco, and IBM, which also benefit from AI and data center trends, though often at relatively high valuations. The main risk is that the fund is highly concentrated in the technology sector and in a few large AI-focused companies, so any downturn in tech or a reset in lofty valuations could weigh on performance.

Positive Factors

Exposure to Leading Tech Companies

The ETF’s largest positions are in major, well-known technology firms that play key roles in the global tech industry.

Some Resilient Top Holdings

A few of the top holdings have shown strong recent performance, helping to offset weakness in other stocks in the portfolio.

Low Expense Ratio

The fund charges a relatively low fee, which helps investors keep more of their returns over time.

Negative Factors

Heavy Concentration in a Few Stocks

A large share of the fund is tied up in just three companies, which increases the impact if any of those stocks perform poorly.

Recent Weak Performance

The ETF has shown weak returns over the past month, three months, and year to date, reflecting recent pressure on its holdings.

Narrow Tech and U.S. Focus

The fund is heavily tilted toward the technology sector and almost entirely invested in U.S. companies, which reduces diversification across sectors and regions.

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

AUM113.61B

RegionNorth America

Expense Ratio0.09%

Beta1.50

IssuerVanguard

Inception DateJan 26, 2004

Dividend Yield0.4%

Asset ClassEquity

Index TrackedMSCI US IMI 25/50 Information Technology

Share Statistics

EPS (TTM)N/A

Shares OutstandingN/A

10 Day Avg. Volume500,165

30 Day Avg. Volume545,343

Financial Highlights & Ratios

PEG RatioN/A

Price to Book (P/B)N/A

Price to Sales (P/S)N/A

P/FCF RatioN/A

Enterprise Value/Market CapN/A

Enterprise Value/RevenueN/A

Enterprise Value/Gross ProfitN/A

Enterprise Value/EbitdaN/A

Forecast

1Y Price Target

967.52

Price Target Upside― Downside

Rating ConsensusStrong Buy

Number of Analyst Covering319

EPS Forecast (FY)N/A

Revenue Forecast (FY)N/A

VGT Summary

Vanguard Information Technology ETF (VGT) is a fund that tracks the MSCI US IMI 25/50 Information Technology Index, giving you broad exposure to U.S. tech companies. It holds many well-known names, including Apple, Microsoft, and Nvidia, plus other firms in software, chips, and IT services. Someone might invest in VGT to seek long-term growth from the continued expansion of technology in everyday life and business, while getting instant diversification across many tech stocks in a single purchase. A key risk is that it is heavily focused on technology, so its price can swing a lot and may fall sharply if tech stocks struggle.

How much will it cost me?The Vanguard Information Technology ETF (VGT) has an expense ratio of 0.09%, which means you’ll pay $0.90 per year for every $1,000 invested. This is lower than average because it is a passively managed fund that tracks an index, keeping costs down.

What would affect this ETF?VGT's focus on leading U.S. technology companies like Apple, Microsoft, and NVIDIA positions it to benefit from ongoing advancements in artificial intelligence, cloud computing, and digital transformation, which are driving growth in the tech sector. However, the ETF could face challenges from rising interest rates, which often impact high-growth companies, and potential regulatory scrutiny on major tech firms. Additionally, economic slowdowns or geopolitical tensions could negatively affect the sector's performance.

VGT Top 10 Holdings

VGT is a pure U.S. tech play, and its story right now is all about a handful of giants. Nvidia sits in the driver’s seat, with performance looking mixed but still powered by the AI boom. Apple and Microsoft, however, are losing steam, acting as a noticeable drag on the fund. Broadcom and Palantir are also wobbling, adding to the headwinds. On the brighter side, chip names like AMD and especially Micron are rising, helping offset some of the weakness and keeping the semiconductor theme front and center.

Name	Company Name	Weight %	Market Value	Market Cap	Yearly Gain	Overall Rating
NVDA	Nvidia	17.47%	$22.92B	$4.53T	46.15%	76 Outperform
AAPL	Apple	14.89%	$19.54B	$3.75T	7.20%	79 Outperform
MSFT	Microsoft	12.19%	$16.00B	$3.50T	7.46%	79 Outperform
AVGO	Broadcom	4.48%	$5.88B	$1.54T	60.49%	76 Outperform
PLTR	Palantir Technologies	1.95%	$2.56B	$399.15B	106.53%	74 Outperform
AMD	Advanced Micro Devices	1.70%	$2.23B	$409.14B	120.12%	73 Outperform
ORCL	Oracle	1.60%	$2.10B	$524.17B	6.65%	66 Neutral
MU	Micron	1.60%	$2.10B	$437.92B	364.86%	79 Outperform
CSCO	Cisco Systems	1.52%	$1.99B	$304.27B	32.39%	77 Outperform
IBM	International Business Machines	1.38%	$1.80B	$276.99B	30.22%	79 Outperform

VGT Technical Analysis

Technical Analysis Sentiment

Positive

Last Price―

Price Trends

50DMA

754.59

Positive

100DMA

752.85

Positive

200DMA

692.66

Positive

Market Momentum

MACD

0.25

Negative

RSI

57.27

Neutral

STOCH

73.57

Neutral

Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For VGT, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 758.54, equal to the 50-day MA of 754.59, and equal to the 200-day MA of 692.66, indicating a bullish trend. The MACD of 0.25 indicates Negative momentum. The RSI at 57.27 is Neutral, neither overbought nor oversold. The STOCH value of 73.57 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for VGT.

VGT Peer Comparison

Comparison Results

Name	Price	Price Target	AUM	Expense Ratio	Overall Rating
VGT	―	―	$113.61B	0.09%	―
XLK	―	―	$92.72B	0.08%	―
XLF	―	―	$55.63B	0.08%	―
IYW	―	―	$20.88B	0.38%	―
SOXX	―	―	$20.81B	0.34%	―
FTEC	―	―	$16.74B	0.08%	―

Performance Comparison

VGT

Vanguard Information Technology ETF

769.90

152.85

24.77%

XLK

Technology Select Sector SPDR Fund

―

XLF

Financial Select Sector SPDR Fund

―

IYW

iShares U.S. Technology ETF

―

SOXX

iShares Semiconductor ETF

―

FTEC

Fidelity MSCI Information Technology Index 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.

Disclaimer

This 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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