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VGT - ETF AI Analysis
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Vanguard Information Technology ETF (VGT)
Rating:74Outperform
Price Target:―
Positive Factors
Strong Top Holdings
Several key holdings, such as Nvidia, Broadcom, and Oracle, have delivered strong year-to-date performance, driving the ETF's returns.
Low Expense Ratio
The ETF has a very low expense ratio, making it a cost-effective choice for investors compared to other funds.
High Assets Under Management
The fund's large asset base reflects strong investor confidence and provides liquidity for trading.
Negative Factors
Sector Concentration
The ETF is heavily concentrated in the technology sector, which increases vulnerability to downturns in that industry.
Geographic Overexposure
With nearly all holdings based in the U.S., the fund lacks diversification across global markets.
Underperforming Holding
Salesforce, one of the top holdings, has shown negative year-to-date performance, which could drag on overall returns.
VGT vs. SPDR S&P 500 ETF (SPY)
AUM113.45B
RegionNorth America
Expense Ratio0.09%
Beta1.52
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. Volume409,950
30 Day Avg. Volume544,773
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
954.27Price Target Upside― Downside
Rating ConsensusModerate Buy
Number of Analyst Covering321
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
VGT Summary
The Vanguard Information Technology ETF (VGT) is an investment fund that focuses on the Information Technology sector, tracking the MSCI US IMI 25/50 Information Technology index. It includes major tech companies like Apple and Microsoft, as well as innovators like NVIDIA. This ETF is a great choice for investors looking to benefit from the growth of technology, including areas like artificial intelligence and cloud computing. However, because it is heavily focused on tech, its value can rise and fall significantly depending on the performance of the technology sector.
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
The Vanguard Information Technology ETF (VGT) is heavily concentrated in U.S. tech giants, with Nvidia, Apple, and Microsoft leading the charge. Nvidia’s focus on AI and data centers has kept it steady, while Apple’s growth in services and emerging markets is providing a lift. Microsoft, however, is showing mixed signals, with cloud and AI growth offset by recent lagging performance. Broadcom’s steady rise in AI semiconductors adds stability, but Oracle’s bearish trends are holding the fund back. Overall, the ETF is riding the wave of innovation, but a few names are dragging its momentum.
Name | Company Name | Weight % | Market Value | Market Cap | Yearly Gain | Overall Rating |
|---|---|---|---|---|---|---|
| Nvidia | 16.60% | $21.67B | $4.57T | 33.61% | 76 Outperform | |
| Apple | 15.29% | $19.97B | $3.95T | 8.32% | 79 Outperform | |
| Microsoft | 12.42% | $16.21B | $3.51T | 13.29% | 79 Outperform | |
| Broadcom | 5.23% | $6.82B | $1.63T | 50.35% | 76 Outperform | |
| Palantir Technologies | 1.85% | $2.42B | $414.81B | 156.76% | 74 Outperform | |
| Advanced Micro Devices | 1.73% | $2.26B | $359.93B | 68.34% | 73 Outperform | |
| Oracle | 1.66% | $2.17B | $553.34B | 19.58% | 66 Neutral | |
| Cisco Systems | 1.52% | $1.98B | $298.62B | 27.66% | 77 Outperform | |
| International Business Machines | 1.43% | $1.87B | $275.72B | 35.06% | 79 Outperform | |
| Micron | 1.33% | $1.74B | $351.33B | 236.99% | 79 Outperform |
VGT Technical Analysis
Positive
―
Price Trends
760.98
Positive
743.83
Positive
676.95
Positive
Market Momentum
1.28
Negative
55.39
Neutral
53.75
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 759.54, equal to the 50-day MA of 760.98, and equal to the 200-day MA of 676.95, indicating a bullish trend. The MACD of 1.28 indicates Negative momentum. The RSI at 55.39 is Neutral, neither overbought nor oversold. The STOCH value of 53.75 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
Performance Comparison
VGT
Vanguard Information Technology ETF
766.49
142.51
22.84%
XLK
Technology Select Sector SPDR Fund
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XLF
Financial Select Sector SPDR Fund
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IYW
iShares U.S. Technology ETF
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SOXX
iShares Semiconductor ETF
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FTEC
Fidelity MSCI Information Technology Index ETF
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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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