VONG
VONGVONG is an exchange-traded fund tracking the Russell 1000 Growth Index, specializing in large-cap U.
S. growth stocks. It offers diversified exposure to leading innovative companies known for strong earnings potential, providing a core vehicle for investors seeking long-term capital appreciation.
Updated: January 14, 2026, 16:00 EST
Investment Opinion: Should I buy VONG Today?
Of course. Here is a comprehensive analysis of whether VONG is worth buying.
Technical Analysis: VONG is technically overbought, trading near the top of its 52-week range. While it has modest three-month gains, its recent one-month decline and underperformance against the market benchmark suggest near-term momentum is softening. The significant maximum drawdown of -23.16% over the past year highlights its inherent volatility, meaning investors should be prepared for sizable swings.
Fundamental & Valuation Analysis: With a trailing P/E ratio of 39.27, VONG carries a premium valuation that prices in high future growth expectations. This makes it sensitive to any disappointments in earnings or shifts in investor sentiment toward growth stocks. While the fund offers concentrated exposure to large-cap growth companies, the high valuation level demands flawless execution from its holdings to justify the current price.
Risk Assessment: The primary risk is volatility, as VONG's beta of 1.16 indicates it will typically move more than the broader market. This was clearly demonstrated by its sharp drawdown last year. The fund is best suited for investors with a long-term horizon and a higher risk tolerance, as short-term fluctuations can be significant.
Buy Recommendation: VONG is a compelling long-term investment for investors seeking aggressive growth and who believe in the continued dominance of large-cap U.S. growth companies. However, its premium valuation and high volatility make it unsuitable for conservative investors or those with a short time horizon. For investors who can stomach the potential for large drawdowns, a strategy of dollar-cost averaging into the position could be prudent to mitigate timing risk near current elevated levels.
*Note: This is not investment advice, for reference only.*
VONG 12-Month Price Forecast
RockFlow Model Forecast: Three Scenarios for 2026
Of course. Here is a 12-month investment outlook for VONG.
12-Month Outlook for VONG
VONG's outlook is cautiously optimistic, driven by its concentrated exposure to mega-cap technology and growth stocks. Key catalysts include strong corporate earnings from its holdings and potential interest rate cuts, which typically benefit growth stocks. However, the primary risks are its premium valuation (P/E of 39.27) and high volatility (Beta of 1.16), making it susceptible to significant pullbacks if growth expectations falter or macroeconomic conditions worsen. Given the lack of a specific analyst target, a reasonable 12-month price target range would be $130 - $145, contingent on a stable or improving economic backdrop for growth equities.
--- Disclaimer: This analysis is for informational purposes only and does not constitute financial advice or a recommendation to buy or sell any security.
Wall Street Consensus
Most Wall Street analysts are optimistic about VONG's 12-month outlook, with consensus target around $120.92, indicating expected upside potential.
Bulls vs Bears: VONG Investment Factors
Overall, VONG has investment potential but also faces challenges. Here are key factors to weigh before investing.
Bullish
- Strong historical performance: Outperformed market by 4.07% annualized over past decade with consistent returns
- Concentrated mega-cap growth exposure: Focus on large technology stocks provides leverage to top-performing growth sectors
- Low expense ratio advantage: Competitive fee structure enhances returns compared to similar growth ETFs
- Broad diversification within growth: Holds nearly 400 stocks offering exposure across growth-oriented companies
Bearish
- Technology concentration risk: Heavy tilt toward tech stocks increases vulnerability to sector-specific downturns
- Interest rate sensitivity: Growth stocks typically underperform during rising rate environments
- Valuation concerns: Premium pricing of growth stocks poses risk during market corrections
- Competitive ETF landscape: Faces strong competition from similar products like SCHG and VUG
VONG Technical Analysis
Of course. Here is the analysis of VONG's price performance.
Overall Assessment VONG has demonstrated modest gains over a three-month horizon but has experienced slight losses over the past month, indicating a recent softening in momentum against a challenging market backdrop where it has underperformed.
Short-term Performance The fund's recent performance shows a slight decline of 0.67% over the past month, while its three-month gain of 0.27% points to a marginally positive but stagnant trend. More critically, VONG has underperformed its market benchmark by 3.1% over this three-month period, suggesting weakness relative to the broader market despite its high-beta profile which implies it should be more volatile than the market.
Current Position Currently trading near $122.46, VONG is positioned at the very upper end of its 52-week range (high: ~$126.83), indicating the stock is approaching its peak resistance level and is in a technically overbought territory. This elevated position, coupled with a significant maximum drawdown of -23.16% over the past year, highlights the substantial volatility and risk inherent at these price levels.
| Period | VONG Return | S&P 500 |
|---|---|---|
| 1m | -0.3% | +1.3% |
| 3m | +2.3% | +5.7% |
| 6m | +9.6% | +10.6% |
| 1y | +16.1% | +16.5% |
| ytd | -0.4% | +1.1% |
VONG Fundamental Analysis
Based on the limited information provided, a comprehensive analysis cannot be conducted as the necessary financial data is unavailable.
Without access to recent quarterly reports or financial ratios, it is impossible to assess VONG's revenue, profitability, financial health, or operational efficiency. The lack of available data represents a significant hurdle for any fundamental evaluation.
To proceed with an analysis, current financial statements including income statements, balance sheets, and cash flow statements would be required. This data is essential for evaluating the company's operational performance and financial stability.
Revenue & Net Income Trends (2 Years)
Revenue Breakdown
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Valuation Level
With a trailing PE ratio of 39.27, VONG appears significantly overvalued on an earnings basis. A PE ratio nearly 40 suggests investors are paying a very high price for each dollar of current earnings, which typically indicates lofty growth expectations or an inflated valuation. Without accompanying metrics like forward PE, PB, or PS ratios, it is impossible to perform a more comprehensive multi-factor valuation, but the high TTM PE alone points toward a premium valuation.
Peer Comparison
A direct peer comparison cannot be conducted as the industry average data is unavailable. The analysis is therefore limited to an absolute assessment based solely on the provided TTM PE ratio. For a more definitive conclusion on whether this premium is justified, comparisons with the broader market or a relevant growth-stock index would be necessary, but such data is not provided here.
Investment Risk Disclosure
Based on the provided metrics, VONG exhibits moderate-to-high volatility risk. With a beta of 1.16, the fund is expected to be 16% more volatile than the broader market, meaning it will typically experience larger price swings both upward and downward. This heightened volatility is further evidenced by a significant one-year maximum drawdown of -23.16%, indicating that investors have recently faced substantial peak-to-trough declines, which can test risk tolerance during market downturns.
Regarding other risks, a lack of reported short interest suggests there is no significant speculative pressure betting against the fund's price in the near term. However, as an ETF tracking a specific segment of the market (large-cap growth stocks), it remains highly susceptible to sector-specific risks and broader market sentiment shifts that can impact liquidity and valuation. The primary risks are therefore concentrated in its inherent market volatility and growth stock concentration, rather than from short-selling activity.
FAQs
Bearish ā Given its premium valuation (PE 39.3), technical overbought status near yearly highs, and heightened volatility (beta 1.16), risks currently outweigh rewards. While VONG has historically outperformed, current momentum is soft and concentrated tech holdings may falter in volatile or higher-rate markets. Suitable only for risk-tolerant, long-term growth investors willing to absorb large drawdowns.
Based on the limited data provided, VONG appears overvalued.
The primary indicator is its trailing PE ratio of 39.27, which is very high and suggests investors are paying a premium for current earnings. Without industry average or historical data for comparison, we rely on the absolute value; a PE near 40 typically signals high growth expectations or an inflated stock price. Key valuation metrics are limited, but the high PE ratio is the central concern.
The major reason behind this valuation is the implied lofty growth expectations from the market. Investors are likely anticipating significant future earnings growth to justify the high price paid today. In the absence of a forward PE or PEG ratio, it's impossible to determine if these growth expectations are realistic, leaving the stock exposed to potential disappointment.
Of course. As a risk management analyst, here is a concise assessment of the key risks of holding Vanguard Russell 1000 Growth ETF (VONG).
The primary risks, ordered by importance, are:
1. High Volatility and Drawdown Risk: The fund's high beta (1.16) indicates it is prone to larger price swings than the broader market, a risk concretely evidenced by its significant 52-week maximum drawdown of -23.16%, which can test investor discipline during downturns. 2. Concentration Risk in Growth Stocks: As a growth-focused ETF, VONG is highly susceptible to sector-wide de-risking events where investors flee high-valuation, long-duration assets due to rising interest rates or shifts in economic sentiment. 3. Technically Overbought Position Risk: The fund is currently trading near the top of its 52-week range, suggesting it is in overbought territory and may be vulnerable to a corrective pullback, especially if recent negative momentum continues. 4. Performance and Liquidity Risk: The fund's recent underperformance against its benchmark (-3.1% over three months) coupled with a lack of significant short interest could indicate waning momentum and a potential for rapid liquidity exit if growth stocks fall out of favor.
Of course. Here is a forecast for VONG stock through 2026.
VONG Stock Forecast for 2026
Based on its current trajectory and market dynamics, VONG is projected to outperform the broader market, driven by its concentrated focus on leading large-cap growth companies.
1. Target Price Range: A base case target for late 2026 is $165 - $185, assuming continued but moderate earnings growth. A bull case, contingent on a strong rally in the technology sector, could see prices reach $190 - $215.
2. Key Growth Drivers: The primary drivers for VONG are (1) the sustained profitability and innovation of its top holdings (e.g., Microsoft, NVIDIA, Apple), (2) the adoption of Artificial Intelligence across the economy boosting tech earnings, and (3) a stabilizing interest rate environment that favors long-duration growth assets.
3. Main Assumptions: This forecast assumes that the U.S. economy avoids a severe recession, corporate earnings for major tech firms continue to grow, and inflation remains under control, allowing the Federal Reserve to maintain a less restrictive policy.
4. Uncertainty Notice: It is crucial to note that this forecast is highly speculative. VONG's performance is exceptionally volatile and sensitive to shifts in technology sector sentiment, regulatory changes, and unforeseen macroeconomic shocks.