VIG - ETF AI Analysis

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Vanguard Dividend Appreciation ETF (VIG)

Rating:73Outperform

Price Target:―

The Vanguard Dividend Appreciation ETF (VIG) benefits from strong contributions by top holdings like Broadcom (AVGO) and Microsoft (MSFT), which are supported by robust financial performance and growth in AI-related segments. However, the fund's overall rating is tempered by weaker contributions from holdings such as Visa (V) and JPMorgan Chase (JPM), which face challenges like bearish momentum and credit cost risks. Additionally, the ETF's concentration in a few high-weighted stocks could pose a risk if these holdings underperform.

Positive Factors

Strong Top Holdings

Several key holdings, including Broadcom, Microsoft, and Oracle, have delivered strong year-to-date performance, supporting the ETF's overall returns.

Low Expense Ratio

The ETF charges a very low expense ratio, making it cost-effective for long-term investors.

Sector Diversification

The fund is spread across multiple sectors like technology, financials, and healthcare, reducing the impact of downturns in any single industry.

Negative Factors

High U.S. Exposure

With over 99% of its assets in U.S. companies, the ETF lacks geographic diversification and is vulnerable to domestic market risks.

Overweight in Technology

Technology accounts for a significant portion of the portfolio, which could increase risk if the sector faces challenges.

Mixed Performance Among Holdings

Some holdings, like Apple and Exxon Mobil, have shown weaker year-to-date performance compared to others, potentially dragging on overall returns.

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

AUM102.28B

RegionNorth America

Expense Ratio0.05%

Beta0.77

IssuerVanguard

Inception DateApr 21, 2006

Dividend Yield1.6%

Asset ClassEquity

Index TrackedS&P U.S. Dividend Growers Index

Share Statistics

EPS (TTM)N/A

Shares OutstandingN/A

10 Day Avg. Volume1,301,598

30 Day Avg. Volume1,473,000

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

252.99

Price Target Upside― Downside

Rating ConsensusModerate Buy

Number of Analyst Covering338

EPS Forecast (FY)N/A

Revenue Forecast (FY)N/A

VIG Summary

The Vanguard Dividend Appreciation ETF (VIG) is an investment fund that focuses on U.S. companies with a strong history of increasing their dividends for at least 10 years. It includes large, well-established companies like Microsoft and Apple, making it a great option for investors seeking stability and growth. VIG tracks the S&P U.S. Dividend Growers Index and offers exposure to various sectors, including technology, financials, and healthcare. Investors might consider VIG for its potential to provide steady income and long-term growth. However, since it focuses on dividend-paying companies, its performance can be affected by market conditions and changes in dividend policies.

How much will it cost me?The Vanguard Dividend Appreciation ETF (VIG) has an expense ratio of 0.05%, meaning you’ll pay $0.50 per year for every $1,000 invested. This is lower than average because it’s passively managed, tracking an index of dividend-growing companies, which helps keep costs down.

What would affect this ETF?The Vanguard Dividend Appreciation ETF (VIG) could benefit from continued growth in the technology and healthcare sectors, as these are key areas of focus within its portfolio. However, rising interest rates or economic slowdowns might negatively impact dividend-paying companies, particularly in financials and consumer sectors, which are also significant parts of the ETF's holdings. Regulatory changes or geopolitical tensions affecting North American markets could further influence its performance.

VIG Top 10 Holdings

The Vanguard Dividend Appreciation ETF (VIG) leans heavily into technology and financials, with Broadcom and Microsoft leading the charge. Broadcom’s focus on AI semiconductors has kept its performance steady, while Microsoft’s mixed signals reflect cloud growth tempered by recent volatility. Eli Lilly shines in healthcare, riding strong momentum from innovative drug developments, while JPMorgan Chase adds stability with steady gains in financials. However, Exxon Mobil’s energy exposure has been lagging, slightly holding back the fund. With a U.S.-centric portfolio and a tilt toward dividend-growing large caps, VIG offers a blend of resilience and growth potential.

Name	Company Name	Weight %	Market Value	Market Cap	Yearly Gain	Overall Rating
AVGO	Broadcom	7.61%	$9.18B	$1.63T	45.26%	76 Outperform
MSFT	Microsoft	4.42%	$5.34B	$3.51T	10.52%	79 Outperform
AAPL	Apple	4.21%	$5.08B	$3.95T	9.08%	79 Outperform
JPM	JPMorgan Chase	3.92%	$4.73B	$909.34B	38.69%	72 Outperform
LLY	Eli Lilly & Co	3.87%	$4.67B	$984.63B	36.13%	72 Outperform
V	Visa	2.40%	$2.90B	$676.55B	13.02%	70 Outperform
XOM	Exxon Mobil	2.26%	$2.73B	$528.66B	16.35%	74 Outperform
JNJ	Johnson & Johnson	2.26%	$2.72B	$492.24B	42.22%	78 Outperform
WMT	Walmart	2.20%	$2.65B	$898.32B	23.27%	78 Outperform
MA	Mastercard	2.07%	$2.50B	$510.57B	11.06%	75 Outperform

VIG Technical Analysis

Technical Analysis Sentiment

Positive

Last Price―

Price Trends

50DMA

218.52

Positive

100DMA

215.56

Positive

200DMA

205.57

Positive

Market Momentum

MACD

0.80

Positive

RSI

56.63

Neutral

STOCH

45.50

Neutral

Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For VIG, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 220.82, equal to the 50-day MA of 218.52, and equal to the 200-day MA of 205.57, indicating a bullish trend. The MACD of 0.80 indicates Positive momentum. The RSI at 56.63 is Neutral, neither overbought nor oversold. The STOCH value of 45.50 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for VIG.

VIG Peer Comparison

Comparison Results

Name	Price	Price Target	AUM	Expense Ratio	Overall Rating
VIG	―	―	$102.28B	0.05%	―
VTI	―	―	$570.91B	0.03%	―
ITOT	―	―	$80.13B	0.03%	―
QUAL	―	―	$47.95B	0.15%	―
DFAC	―	―	$40.18B	0.17%	―
SCHB	―	―	$38.18B	0.03%	―

Performance Comparison

VIG

Vanguard Dividend Appreciation ETF

221.93

30.03

15.65%

VTI

Vanguard Total Stock Market ETF

―

ITOT

iShares Core S&P Total U.S. Stock Market ETF

―

QUAL

iShares MSCI USA Quality Factor ETF

―

DFAC

Dimensional U.S. Core Equity 2 ETF

―

SCHB

Schwab U.S. Broad Market 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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