Vanguard Total International Stock ETF
VXUSVXUS is an exchange-traded fund that provides diversified exposure to international stock markets outside the United States.
It serves as a comprehensive vehicle for investors seeking broad, market-cap-weighted access to developed and emerging market equities in a single, low-cost fund.
Updated: February 19, 2026, 16:00 EST
Investment Opinion: Should I buy VXUS Today?
Based on a comprehensive analysis, VXUS presents a nuanced picture. The ETF exhibits exceptionally strong technical momentum, trading near its 52-week high after a significant rally. Its market-neutral volatility (beta of 0.99) suggests risk is in line with the broader market, though it carries standard international risks like currency and geopolitical exposure. The primary limitation is a lack of deep fundamental data, but its P/E of 18.79 offers a baseline valuation.
Recommendation: CAUTIOUS BUY for strategic allocation.
VXUS is a compelling tool for investors seeking diversified international exposure to complement a US-heavy portfolio. The strong bullish momentum is a positive technical signal, though its proximity to yearly highs suggests potential for near-term consolidation. Given its role as a core diversifier and the absence of alarming red flags, it is worth buying for long-term, strategic asset allocation, but investors should be prepared for typical international market volatility. This is not investment advice, for reference only.
VXUS 12-Month Price Forecast
RockFlow Model Forecast: Three Scenarios for 2026
Based on the comprehensive analysis provided, here is a 12-month outlook for VXUS:
12-Month Outlook for VXUS:
The primary catalyst for VXUS is its strong bullish momentum and its strategic role as a key diversifier for investors overly concentrated in US equities, potentially benefiting from any catch-up performance in international markets. However, the ETF faces significant risks from its standard international exposures, including currency fluctuations and geopolitical instability, which could trigger volatility and impede returns. Given its current price near 52-week highs and a reasonable P/E of 18.79, a period of consolidation is likely, with a target price range that broadly aligns with its function as a long-term holding rather than a short-term trade, suggesting modest appreciation potential.
Wall Street Consensus
Most Wall Street analysts are optimistic about Vanguard Total International Stock ETF's 12-month outlook, with consensus target around $82.38, indicating expected upside potential.
Bulls vs Bears: VXUS Investment Factors
Overall, VXUS has investment potential but also faces challenges. Here are key factors to weigh before investing.
Bullish
- Strong recent outperformance: VXUS delivered 29% returns this year, surpassing major US ETFs like SPY and VOO.
- Attractive valuation compared to US: Research shows international stocks are undervalued relative to US counterparts after 15-year underperformance.
- Superior dividend yield: VXUS offers higher dividend yield compared to global alternatives like VT.
- Broad diversification benefits: Provides diversified exposure to international markets beyond just developed economies.
- Low expense ratio advantage: Has competitive expense ratio compared to similar international ETFs.
Bearish
- Historical underperformance risk: International stocks have significantly underperformed US stocks for over 15 years.
- Currency exchange rate volatility: Foreign currency fluctuations can negatively impact returns for US investors.
- Political and economic instability: Exposure to diverse international markets carries geopolitical and economic risks.
- Lack of US market exposure: Missing out on potential continued outperformance of US equities.
- Competition from specialized ETFs: Faces competition from more focused international and emerging market ETFs.
VXUS Technical Analysis
VXUS has demonstrated strong bullish momentum with significant outperformance against market benchmarks over the past quarter. The ETF has recovered substantially from its 52-week low and is currently testing its annual high, supported by positive short-term gains.
The ETF has delivered robust short-term returns, appreciating 5.98% over one month and 9.85% over three months, significantly outperforming the broader market by 8.0% during the latter period. This impressive performance indicates strong relative strength and positive momentum.
VXUS currently trades just 1.1% below its 52-week high of $83.26, positioning it near the upper boundary of its yearly range. Given its proximity to the peak and the substantial rally from the low, the ETF appears potentially overbought in the near term, though this reflects strong bullish sentiment.
| Period | VXUS Return | S&P 500 |
|---|---|---|
| 1m | +6.0% | +1.0% |
| 3m | +9.8% | +1.9% |
| 6m | +16.0% | +6.5% |
| 1y | +30.3% | +12.1% |
| ytd | +7.6% | +0.2% |
VXUS Fundamental Analysis
Based on the information provided, a fundamental analysis cannot be conducted for VXUS.
The provided dataset contains no financial data, making it impossible to assess revenue, profitability, financial health, or operational efficiency.
Without key metrics such as revenue, debt levels, cash flow, or return on equity, any analysis would be speculative. Fundamental analysis requires concrete financial statements and ratio data to form a meaningful assessment.
Revenue & Net Income Trends (2 Years)
Revenue Breakdown
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Based on the available data, VXUS's trailing P/E ratio of 18.79 serves as the sole valuation metric. Without a forward P/E for context on future earnings expectations or industry benchmarks for direct comparison, it is difficult to make a definitive assessment of whether the fund is overvalued or undervalued solely from this data point.
A peer comparison is not feasible as industry average data is unavailable. VXUS is a broad international ex-US stock ETF, making a direct comparison to a single "industry" inappropriate. A more relevant analysis would involve comparing its valuation to historic norms for the fund itself or to benchmarks like the P/E ratio of a US total market fund (e.g., VTI).
Investment Risk Disclosure
Volatility Risk: With a beta of 0.99, VXUS exhibits volatility that is nearly identical to the broader market, implying investors should expect a similar magnitude of price swings. The fund's one-year maximum drawdown of -13.84% is a moderate but significant level of peak-to-trough loss, confirming its exposure to standard market fluctuations.
Other Risks: The absence of significant short interest suggests a lack of institutional pessimism or targeted selling pressure on the fund itself. Primary risks would instead stem from its underlying international holdings, such as geopolitical events, foreign currency fluctuations, and liquidity constraints in less-developed markets.
FAQs
Bullish for long-term investors seeking international diversification. VXUS offers attractive valuations relative to expensive US equities, provides higher dividend yields, and delivers meaningful portfolio diversification. However, investors should be prepared for currency risk and accept that international markets may continue trailing US performance at times.
Based on the limited data provided, VXUS appears to be fairly valued, but this conclusion carries low confidence due to insufficient information. The sole metric available is a trailing P/E of 18.79, which cannot be robustly compared to an industry average or historical levels. The lack of a forward P/E, Price-to-Book (PB), or Price-to-Sales (PS) ratios prevents any meaningful assessment of growth expectations or comparative valuation. A conclusive judgment would require these additional metrics to analyze profitability and growth prospects relative to its historical range and comparable international equity funds.
Based on the available information, here are the key risks of holding VXUS, ordered by importance:
1. Geopolitical and Country Risk: The fund's global diversification exposes it to potential losses from political instability, regulatory changes, or economic crises within its many constituent countries. 2. Currency Risk: Fluctuations in foreign exchange rates can negatively impact the fund's returns for a US investor, as the value of its international holdings is affected when converting back to US dollars. 3. Near-Term Price Correction Risk: The fund is trading near its 52-week high following a substantial rally, increasing its vulnerability to a technical pullback or profit-taking from recent gains. 4. Emerging Market Liquidity Risk: Holdings in less-developed markets may present challenges in buying or selling assets without significantly impacting their prices, especially during periods of market stress.
Based on its role as a broad international ex-US equity ETF, the VXUS forecast for 2026 suggests a base case target range of $90-$100, with a bull case of $110-$120, contingent on a weakening US dollar and stronger-than-expected global economic growth. Key drivers include a potential catch-up in valuation relative to US markets, easing monetary policy in developed economies, and improved earnings growth in key regions like Europe and Japan. The main assumptions are that global recession is avoided and geopolitical tensions do not severely disrupt international trade; however, currency volatility and regional instability create significant forecast uncertainty. As a diversified fund, its performance is less about individual stock selection and more about the macroeconomic trajectory of international markets relative to the US.