When it comes to investing in the broader U.S. market, ETFs like Vanguard S&P 500 ETF (VOO) from Vanguard, the SPDR S&P 500 ETF Trust (SPY) from State Street, and Invesco QQQ Trust (QQQ) from Invesco PowerShares are among the most popular choices. Using the TipRanks’ ETF Comparison Tool, we have compared VOO, SPY, and QQQ to determine the best ETF for investors in 2026.
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VOO or SPY or QQQ: Key Differences
While VOO and SPY both track the S&P 500 (SPX), QQQ follows the Nasdaq-100 (NDX), giving it a more tech-heavy profile and leading to differences in performance, risk, and growth potential.
Another key difference is cost. VOO has the lowest expense ratio at 0.03%, compared with SPY’s 0.09% and QQQ’s 0.18%, making it significantly cheaper to hold over the long term. This fee advantage can add up over time, giving VOO a clear edge in compounding returns.
In terms of dividends, VOO has a yield of 1.13%, compared to SPY’s 1.08% and QQQ’s 0.46%.
VOO, SPY, and QQQ: The Similarities
In terms of holdings, all three ETFs are heavily weighted toward the technology sector, with their top three positions being Nvidia (NVDA), Apple (AAPL), and Microsoft (MSFT).
Notably, VOO includes 507 stocks with total assets of around $865.18 billion, while SPY holds 505 stocks totaling roughly $689.93 billion in assets, and QQQ has 102 stocks with $394.29 billion.
VOO and SPY offer broader exposure across sectors like financials, healthcare, and industrials, making them more balanced. Meanwhile, QQQ’s narrower, tech-heavy portfolio can deliver stronger growth during tech rallies but may also see higher volatility during market downturns.
Which ETF Is the Better Buy?
According to TipRanks’ ETF analyst consensus, which aggregates analyst ratings on each ETF’s holdings, QQQ has a Strong Buy rating. QQQ’s average price target of $755.88 implies a potential upside of 23%.
Meanwhile, VOO and SPY carry Moderate Buy ratings. VOO’s average price target of $763.70 implies a potential upside of 21%, while SPY’s target of $826.98 suggests an upside of 20%.