Experts Predict VOOG Will Hit $505
ETF Analysis: The Vanguard S&P 500 Growth ETF (VOOG) has an implied analyst target price of $504.91, indicating a potential upside of 15.19% from its current trading price of $438.33.
Notable Holdings: Key underlying holdings with significant upside potential include Zebra Technologies Corp. (39.75% upside), Paycom Software Inc. (35.51% upside), and T-Mobile US Inc. (32.23% upside) based on their respective analyst target prices.
Market Sentiment: The disparity between current trading prices and analyst target prices raises questions about whether analysts are justified in their optimistic projections or if they are out of touch with recent market developments.
Investor Considerations: Investors are encouraged to conduct further research to assess the validity of analyst targets, as high price targets may lead to downgrades if they are based on outdated information.
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Analyst Views on ZBRA
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- Strong Performance: Zebra Technologies reported nearly $1.5 billion in Q4 sales, a 10.6% increase year-over-year, with non-GAAP diluted earnings per share at $4.33 and an adjusted EBITDA margin of 22.1%, reflecting the company's robust execution and positive demand trends.
- Strategic Focus: The company expanded its connected frontline portfolio and customer base through the acquisitions of Elo Touch and Photoneo, while exiting the Robotics business to concentrate on higher-growth areas such as RFID, machine vision, and AI solutions, thereby reinforcing its market leadership.
- Future Outlook: The CFO projected sales growth for 2026 to be between 9% and 13%, with first-quarter sales growth guidance ranging from 11% to 15%, including approximately 10 points from business acquisitions and favorable FX, indicating strong confidence in future growth.
- Cash Flow and Buybacks: Zebra generated $831 million in free cash flow for 2025 and plans to repurchase around 50% of its free cash flow in 2026, enhancing shareholder returns and demonstrating a proactive approach to capital management.
- Stock Performance: Zebra Technologies' shares rose by 10.5% at 2:50 p.m. ET on Thursday, having surged as much as 20.2% earlier in the day, indicating strong market confidence in the company's future performance and reflecting investor optimism.
- Earnings Highlights: Zebra's Q4 2025 sales increased by 10.6% year-over-year to $1.48 billion, with adjusted earnings rising from $4.00 to $4.33 per diluted share, matching analyst expectations and demonstrating robust growth in a competitive market.
- Outlook: Management anticipates revenues of approximately $1.48 billion and adjusted earnings of about $4.18 per share in the next quarter, significantly above current market projections, showcasing the company's confidence in future growth.
- Market Positioning: Despite rising hardware costs, Zebra maintains a leading position in high-growth sectors such as e-commerce and digitized healthcare records, with the CEO highlighting the company's industry leadership in AI solutions as a competitive advantage.
- Strong Performance: Zebra Technologies reported a 10.6% year-over-year increase in Q4 sales to $1.48 billion, with adjusted earnings rising from $4.00 to $4.33 per diluted share, aligning with analyst expectations and demonstrating robust performance in a challenging market.
- Optimistic Outlook: Management anticipates revenues of approximately $1.48 billion and adjusted earnings of around $4.18 per share for the next quarter, both significantly above current Wall Street projections, reflecting strong confidence in future growth.
- AI Solutions Provider: While Zebra is not widely recognized in the AI space, its positioning as a supplier of AI solutions for frontline business operations aligns perfectly with the needs of high-growth markets such as manufacturing, e-commerce, healthcare, and fast food, highlighting its strategic significance.
- Attractive Valuation: Currently trading at 2.7 times sales and 28 times trailing earnings, Zebra's stock is considered relatively cheap when factoring in growth prospects, potentially attracting more investor interest.
- Freight Brokers and AI: Freight brokers, once seen as beneficiaries of artificial intelligence, are now facing challenges from software companies leveraging AI technology.
- Shift in Perception: The shift in perception highlights the evolving landscape of the freight industry as AI continues to advance and disrupt traditional roles.
- Impact on the Industry: This change suggests that freight brokers may need to adapt to remain competitive in an increasingly automated environment.
- Future Considerations: The situation raises questions about the long-term implications of AI on various sectors within the logistics and transportation industries.
- Tech Stock Pressure: The S&P 500 index fell by 0.52% and the Nasdaq 100 index dropped by 1.08% due to weakness in the Magnificent Seven tech stocks, indicating investor concerns that could dampen market confidence.
- Cisco Profit Warning: Cisco Systems forecasted that rising memory chip prices would erode profitability, leading to a more than 10% drop in its stock price, which may prompt investors to revise down their future performance expectations, negatively impacting overall market sentiment.
- Employment Data Impact: Initial US jobless claims fell by 5,000 to 227,000, reflecting a slightly weaker labor market, which could influence the Federal Reserve's monetary policy decisions and lower market expectations for future rate cuts.
- Chip Demand Recovery: Sandisk's stock rose over 7% following Kioxia's forecast of strong demand for NAND memory chips, indicating growth potential in the AI infrastructure sector, which may create new investment opportunities for related companies.
- Crocs Strong Guidance: Crocs shares surged 21% after the company projected adjusted earnings between $2.67 and $2.77 per share for the current quarter, exceeding the market expectation of $2.52, indicating resilience and growth potential in the current economic climate.
- Restaurant Brands Challenges: Despite reporting revenue and profit beats, Restaurant Brands' shares fell 6%, primarily due to rising costs, including beef, which pressured profits, reflecting the dual challenges of intensified industry competition and cost pressures.
- Cognex Stock Surge: Cognex shares jumped over 37% after reporting adjusted earnings and revenue beats for the fourth quarter, along with optimistic guidance for the current quarter, showcasing significant advancements in AI-enabled industrial machine vision technology.
- Equinix Exceeds Guidance: Equinix shares rose 12% after projecting adjusted EBITDA of $5.141 billion to $5.221 billion by 2026, surpassing analyst expectations, demonstrating strong growth potential in the digital infrastructure sector.








