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VUG - ETF AI Analysis

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VUG

Vanguard Growth ETF (VUG)

Rating:75Outperform
Price Target:
VUG (Vanguard Growth ETF) earns a solid overall rating because it is heavily invested in high-quality growth leaders like Apple, Microsoft, and Alphabet, which all show strong financial performance, positive earnings outlooks, and promising growth in areas like cloud computing and AI. Nvidia, Meta, Amazon, and Broadcom also support the fund’s appeal with solid fundamentals and AI-related growth, though their high valuations and some mixed technical signals add risk. The main risk factor is the ETF’s concentration in a relatively small group of large tech and growth companies, which can increase volatility if sentiment toward this sector turns negative.
Positive Factors
Strong Recent Performance
The ETF has shown solid gains over the past month and quarter, indicating positive recent momentum.
Low Expense Ratio
The fund charges very low fees, which helps investors keep more of their returns over time.
Large, Established Growth Holdings
Many of the top positions are major technology and internet companies that have delivered strong or steady performance this year, supporting the fund’s growth profile.
Negative Factors
High Concentration in a Few Stocks
A small number of large holdings make up a big share of the portfolio, increasing the impact if any of these companies perform poorly.
Heavy Tilt Toward Technology
More than half of the fund is in the technology sector, which can make the ETF more sensitive to downturns in tech-related stocks.
Mixed Performance Among Top Holdings
Several major positions, including some of the largest weights, have shown weak or negative performance this year, which can drag on overall returns.

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

VUG Summary

Vanguard Growth ETF (VUG) is a fund that follows the CRSP US Large Cap Growth Index, focusing on big U.S. companies expected to grow faster than the overall market. It holds many well-known names, including Apple and Nvidia, along with other major tech and consumer brands. Someone might invest in VUG to seek long-term growth and to get instant diversification across many leading growth companies in one simple investment. A key risk is that it is heavily tilted toward technology and other growth stocks, so its price can rise and fall more than the broader stock market.
How much will it cost me?The Vanguard Growth ETF (VUG) has an expense ratio of 0.04%, which means you’ll pay $0.40 per year for every $1,000 invested. This is much lower than average because it is a passively managed fund that tracks an index, keeping costs down for investors.
What would affect this ETF?The Vanguard Growth ETF (VUG) could benefit from continued innovation and strong earnings growth in the technology sector, which makes up over half of its holdings, as well as consumer demand for products from companies like Apple and Amazon. However, rising interest rates or economic slowdowns could negatively impact growth stocks, particularly in sectors like technology and consumer cyclical, which rely on favorable borrowing conditions and robust consumer spending. Regulatory changes affecting major companies like Nvidia, Microsoft, or Tesla could also pose risks to the ETF's performance.

VUG Top 10 Holdings

VUG is riding a powerful Big Tech and AI wave, with Nvidia, Broadcom, and Amazon doing much of the heavy lifting as their AI and cloud stories keep attracting attention. Alphabet and Meta are also pulling their weight, adding steady momentum from digital ads and data-driven businesses. Apple has perked up recently but still feels like it’s catching its breath after a softer stretch, while Microsoft’s performance has been more mixed. Tesla and Eli Lilly are lagging, slightly dragging on returns. Overall, this is a U.S.-only, tech-heavy growth bet with a clear tilt toward mega-cap innovators.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
Nvidia13.31%$42.31B$5.23T84.48%
76
Outperform
Apple12.32%$39.16B$4.31T47.74%
79
Outperform
Microsoft9.09%$28.90B$3.08T-5.38%
79
Outperform
Alphabet Class A5.54%$17.61B$4.84T162.39%
85
Outperform
Amazon4.59%$14.59B$2.93T41.24%
71
Outperform
Broadcom4.40%$13.99B$2.04T106.53%
76
Outperform
Alphabet Class C4.38%$13.94B$4.84T157.19%
82
Outperform
Meta Platforms4.15%$13.18B$1.55T2.89%
76
Outperform
Tesla3.47%$11.03B$1.61T43.62%
73
Outperform
Eli Lilly & Co2.59%$8.25B$893.19B29.12%
72
Outperform

VUG Technical Analysis

Technical Analysis Sentiment
Positive
Last Price
Price Trends
50DMA
78.13
Positive
100DMA
78.97
Positive
200DMA
79.01
Positive
Market Momentum
MACD
2.32
Negative
RSI
77.09
Negative
STOCH
93.53
Negative
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For VUG, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 82.82, equal to the 50-day MA of 78.13, and equal to the 200-day MA of 79.01, indicating a bullish trend. The MACD of 2.32 indicates Negative momentum. The RSI at 77.09 is Negative, neither overbought nor oversold. The STOCH value of 93.53 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for VUG.

VUG Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$221.94B0.03%
75
Outperform
$127.38B0.18%
75
Outperform
$72.89B0.18%
76
Outperform
$56.06B0.04%
75
Outperform
$50.16B0.04%
76
Outperform
$43.60B0.06%
74
Outperform
Performance Comparison
Ticker
Company Name
Price
Change
% Change
VUG
Vanguard Growth ETF
86.84
19.81
29.55%
IWF
iShares Russell 1000 Growth ETF
IVW
iShares S&P 500 Growth ETF
SCHG
Schwab U.S. Large-Cap Growth ETF
SPYG
SPDR Portfolio S&P 500 Growth ETF
VONG
Vanguard Russell 1000 Growth 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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