VO Is Trading At A Discount, But Downside Risk Remains

Ploutos Investing
7.06K Followers

Summary

  • Vanguard Mid-Cap ETF is currently undervalued and attractive, with a strong growth outlook.
  • VO's fund price has been in a downward trajectory and is re-testing its October 2022 trough.
  • A possible recession may result in further declines in VO's fund price, so investors should exercise caution and wait.

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ivotheeditors

Introduction

We wrote an article about Vanguard Mid-Cap ETF (NYSEARCA:VO) back in May 2020. It was during the beginning of the outbreak of pandemic. At that time, we gave the advice that it was better to own large-cap

This article was written by

7.06K Followers
I am a value focused investor. Stocks rise and fall for many different reasons that we often cannot predict. Eventually, it is those companies with a wide moat and the ability to generate cash flow that prevail. Therefore, my investment focus is to find value stocks that are able to generate cash flow, with sustainable dividends and provide growth over time. I focus my attention on analyzing large-capped dividend growth stocks, REITs and ETFs. I aim at providing a quarterly update and insights on stocks I follow. Please feel free to browse the articles that I wrote and provide any comments.

Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

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