Vanguard ETFs have built a loyal following among investors thanks to their low fees, broad diversification, and long-term approach to wealth creation. Many investors gravitate toward Vanguard products because they offer exposure to important market themes without charging the higher management fees commonly seen across actively managed funds.
Claim 55% Off TipRanks
- Unlock hedge fund-level data and powerful investing tools for smarter, sharper decisions
- Discover top-performing stock ideas and upgrade to a portfolio of market leaders with Smart Investor Picks
That combination has helped Vanguard become one of the most trusted names in the ETF industry, particularly among investors seeking reliable long-term returns alongside simple portfolio construction.
While Vanguard is often associated with broad market funds such as the S&P 500 ETF, some of its more specialized products currently stand out because analysts see meaningful upside potential ahead.
Based on TipRanks data tied to analyst price targets for underlying holdings, the three Vanguard ETFs with the biggest upside are the Vanguard Wellington U.S. Growth Active ETF (VUSG), the Vanguard Russell 2000 Growth ETF (VTWG), and the Vanguard Health Care ETF (VHT). Let’s see what makes these ETFs stand out.
Vanguard Wellington U.S. Growth Active ETF (VUSG)
VUSG takes a different approach from many traditional Vanguard products because the fund is actively managed rather than passively tracking an index. Managed by Wellington Management, the ETF focuses on large-cap U.S. growth companies benefiting from long-term technology adoption, AI spending, cloud computing expansion, and digital transformation trends. The fund carries an expense ratio of 0.35%, placing it above many passive Vanguard ETFs but still below many actively managed competitors.
The portfolio is highly concentrated, with only 37 holdings and 70% of assets in its top 10 positions, which makes the fund more dependent on its strongest growth ideas. Its top five holdings are Nvidia (NVDA), Microsoft (MSFT), Apple (AAPL), Alphabet (GOOGL), and Amazon (AMZN).
That positioning helps explain why analysts continue seeing meaningful upside for the ETF despite the enormous rally already seen across large-cap technology shares. Based on the analyst forecasts tied to those underlying holdings, VUSG currently carries a 12-month average price target of $78.71, implying upside potential of 22.5% from current levels. (See VUSG analyst forecasts)
Vanguard Russell 2000 Growth ETF (VTWG)
VTWG gives investors exposure to small-cap growth companies, an area of the market many analysts believe could perform well if borrowing conditions continue improving throughout the coming year. The ETF tracks the Russell 2000 Growth Index and holds more than 1,100 stocks across sectors such as healthcare, software, industrials, and consumer discretionary businesses.
One of the ETF’s selling points remains its extremely low expense ratio of just 0.06%, staying consistent with Vanguard’s broader low-cost philosophy.
According to TipRanks analyst data tied to the ETF’s holdings, VTWG currently carries a 12-month forecast of $323.79, representing upside potential of ~21% from recent trading levels. (See VTWG analyst forecasts)
Vanguard Health Care ETF (VHT)
The Vanguard Health Care ETF offers exposure to pharmaceutical companies, biotechnology firms, medical device manufacturers, healthcare insurers, and healthcare service providers. Healthcare remains one of the market’s more resilient sectors because demand for medical products and services tends to remain relatively stable regardless of broader economic conditions.
VHT carries an expense ratio of just 0.09%, making it one of the cheaper healthcare ETFs available among large diversified sector funds. The ETF pays dividends quarterly, while its current yield stands at 1.73%.
The fund’s largest holdings include Eli Lilly (LLY), Johnson & Johnson (JNJ), AbbVie (ABBV), Merck (MRK), and UnitedHealth Group (UNH). Those companies have benefited from trends ranging from weight-loss drug demand to medical innovation and aging population demographics.
Based on the analyst forecasts tied to the ETF’s holdings, VHT currently carries a 12-month average price target of $339.94, implying upside potential of ~25%, the highest projected return among the three Vanguard ETFs discussed above. (See VHT analyst forecasts)
