VHT - ETF AI Analysis
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Vanguard Health Care ETF (VHT)
VHT, the Vanguard Health Care ETF, earns a solid overall rating thanks to its heavy exposure to strong, diversified healthcare leaders like Johnson & Johnson and Merck, which show robust financial performance, positive earnings outlooks, and supportive corporate events. Other major holdings such as Eli Lilly, UnitedHealth, and Amgen add to the fund’s quality, though their higher leverage, valuation concerns, and segment-specific challenges introduce some risk. The main risk factor is the ETF’s concentration in the healthcare sector, where issues like debt levels, cash flow pressures, and regulatory or product-related challenges can affect multiple holdings at once.
VHT vs. SPDR S&P 500 ETF (SPY)
- AUM
- 20.70B
- Region
- North America
- Expense Ratio
- 0.09%
- Beta
- 0.45
- Issuer
- Vanguard
- Inception Date
- Jan 26, 2004
- Dividend Yield
- 1.35%
- Asset Class
- Equity
- Index Tracked
- MSCI US IMI 25/50 Health Care
VHT Summary
Vanguard Health Care ETF (VHT) is a fund that follows the MSCI US IMI 25/50 Health Care index, giving you broad exposure to the U.S. health care sector. It owns many types of companies, including drug makers, biotech firms, medical device companies, and health care service providers. Well-known holdings include Eli Lilly and Johnson & Johnson. Someone might invest in VHT to tap into long-term growth driven by aging populations and rising health care spending, while still getting diversification across many health care names. A key risk is that it is heavily focused on health care, so it can rise or fall with that sector.
How much will it cost me?
VHT has an expense ratio of 0.09%, which means you’ll pay about $0.90 per year for every $1,000 invested. This cost is lower than the average ETF because it’s a passively managed fund that tracks a health care index instead of paying managers to pick individual stocks.
What would affect this ETF?
VHT is heavily focused on U.S. health care companies like Eli Lilly, Johnson & Johnson, and UnitedHealth, so it could benefit from an aging population, ongoing demand for medical treatments, and new drug and technology breakthroughs. On the downside, changes in U.S. health care policy, drug pricing rules, or insurance reimbursement, as well as broader economic slowdowns or shifts in interest rates that make defensive sectors less attractive, could weigh on the fund’s future performance.
VHT Top 10 Holdings
VHT is essentially a bet on Big Pharma, with heavyweights Eli Lilly, Johnson & Johnson, AbbVie, and Merck setting the tone. Lilly and AbbVie have been rising steadily, acting as key engines for the fund, while J&J and Merck add more mature, but still upbeat, momentum. UnitedHealth and Thermo Fisher bring a mix of managed care and medical tools, with performance that’s solid but not spectacular. Abbott is lagging and occasionally drags on returns, though its weight is modest. Overall, this is a U.S.-centric health care story dominated by drugmakers.
| Name | Company Name | Weight % | Market Value | Market Cap | Yearly Gain | Overall Rating |
|---|---|---|---|---|---|---|
 LLY | Eli Lilly & Co | 12.93% | $2.83B | $1.33T | 67.86% | 72Outperform |
 JNJ | Johnson & Johnson | 8.78% | $1.92B | $657.68B | 44.51% | 78Outperform |
 ABBV | AbbVie | 6.45% | $1.41B | $521.11B | 29.22% | 66Neutral |
 MRK | Merck & Company | 5.01% | $1.10B | $368.89B | 73.30% | 80Outperform |
 UNH | UnitedHealth | 4.65% | $1.02B | $365.29B | 18.05% | 72Outperform |
 TMO | Thermo Fisher | 3.50% | $766.58M | $257.71B | 25.31% | 72Outperform |
 AMGN | Amgen | 3.18% | $695.16M | $251.94B | 59.59% | 77Outperform |
 GILD | Gilead Sciences | 2.58% | $565.49M | $211.64B | 44.11% | 78Outperform |
 ABT | Abbott Laboratories | 2.40% | $526.03M | $183.77B | -14.82% | 73Outperform |
 PFE | Pfizer | 2.27% | $496.70M | $173.95B | 25.65% | 74Outperform |
VHT Technical Analysis
Price Trends
Market Momentum
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For VHT, the sentiment is Positive. The current price of 342.33 is above the 20-day moving average (MA) of 326.86, above the 50-day MA of 321.65, and above the 200-day MA of 294.75, indicating a bullish trend. The MACD of 5.83 indicates Negative momentum. The RSI at 70.84 is Negative, neither overbought nor oversold. The STOCH value of 78.45 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for VHT.
VHT Peer Comparison
Comparison Results
| Name | Price | Price Target | AUM | Expense Ratio | Overall Rating |
|---|---|---|---|---|---|
| VHT | $342.33 | $362.00(5.75% Upside) | $20.70B | 0.09% | 71Outperform |
 VGT | $116.96 | $159.38(36.27% Upside) | $151.55B | 0.09% | 74Outperform |
 XLV | $184.87 | $196.19(6.13% Upside) | $48.89B | 0.08% | 73Outperform |
 IBB | $217.61 | $267.54(22.95% Upside) | $11.52B | 0.44% | 67Neutral |
 XBI | $155.98 | $249.17(59.74% Upside) | $11.05B | 0.35% | 58Neutral |
 FHLC | $88.56 | $97.55(10.15% Upside) | $3.95B | 0.08% | 71Outperform |
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| VHT | Vanguard Health Care ETF | 342.33 | 76.48 | 28.77% | |
| VGT | Vanguard Information Technology ETF | 116.96 | 17.90 | 18.07% | |
| XLV | Health Care Select Sector SPDR Fund | 184.87 | 42.80 | 30.12% | |
| IBB | iShares Biotechnology ETF | 217.61 | 60.47 | 38.48% | |
| XBI | SPDR S&P BIOTECH ETF | 155.98 | 46.59 | 42.59% | |
| FHLC | Fidelity MSCI Health Care Index ETF | 88.56 | 19.89 | 28.96% |
This 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.