For investors seeking momentum, Vanguard S&P 500 ETF (VOO Quick QuoteVOO - Free Report) is probably on radar. The fund just hit a 52-week high and is up 56% from its 52-week low price of $235.93/share.

But are more gains in store for this ETF? Let’s take a quick look at the fund and the near-term outlook on it to get a better idea on where it might be headed:

VOO in Focus

VOO invests in stocks on the S&P 500 Index, representing 500 of the largest U.S. companies. It has key holdings in information technology, healthcare, consumer discretionary, financials and communication services. The product charges 3 basis points in fees (see: all the Large Cap Blend ETFs here).

Why the Move?

The S&P 500 Index has been an area to watch lately given that it hit fresh highs topping a new milestone of 4,000. The combination of rapid COVID-19 vaccinations, progress on vaccines, and an unprecedented stimulus has been the major catalyst. President Joe Biden last week unveiled an additional $2 trillion spending plan over 10 years, largely toward improving transportation, communication, and power infrastructure.

More Gains Ahead?

Currently, VOO has a Zacks ETF Rank #3 (Hold) with a Medium risk outlook, suggesting continued outperformance in the months ahead. Further, many of the segments that make up this ETF have a strong Zacks Industry Rank. So, there is definitely some promise for those who want to ride this surging ETF a little further.

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