Intel (INTC - Free Report) , the world’s largest chipmaker, reported stronger-than-expected Q3 results after market close yesterday. The company surpassed estimates for both revenues and earnings and provided a bullish forecast. This was a silver lining for the downtrodden semiconductor space, which has been hit by a series of disappointing earnings reports and guidance from other chipmakers over the past week.

Intel Q3 Earnings in Focus

Earnings of $1.40 per share came in 25 cents above the Zacks Consensus Estimate and improved from the year-ago earnings of $1.01. Revenues rose 19% year over year to a record $19.16 billion and were well ahead of the estimated $18.11 billion.

The outperformance is credited to its high-margin data center business and strong demand for PC chips. Revenues at data center business grew 26% to $6.1 billion while PC revenues rose 16% to $10.2 billion from the year-ago quarter.

Intel expects revenues of $19 billion and earnings per share of $1.22 for the fourth quarter. It is well above the current Zacks Consensus Estimate of $18.37 billion for revenues and $1.10 for earnings per share. For 2018, the company raised its revenue guidance by about $1.7 billion to $71.2 billion and earnings per share by 38 cents to $4.53. The Zacks Consensus Estimate is currently pegged at $69.51 billion for revenues and $4.16 for earnings per share.

The solid results and bullish outlook pushed shares of Intel up as much as 6% in after-market hours on elevated volume. Intel has a Zacks Rank #3 (Hold) and a VGM Score of A. However, the stock belongs to the bottom-ranked industry (bottom 31%).

ETFs to Tap

Investors can tap Intel’s solid Q3 results and the potential rally in its share price with the help of ETFs that have a large allocation to the biggest semiconductor company.

VanEck Vectors Semiconductor ETF (SMH - Free Report)

This fund provides exposure to 25 securities by tracking the MVIS US Listed Semiconductor 25 Index. Intel occupies the top position with 10% of the assets. The product has managed assets worth $829.7 million and charges 35 bps in annual fees and expenses. It is heavily traded with volume of around 6.2 million shares per day and has a Zacks ETF Rank #3 (Hold) with a High risk outlook.

iShares PHLX Semiconductor ETF (SOXX - Free Report)

This ETF follows the PHLX SOX Semiconductor Sector Index and offers exposure to 30 U.S. firms with INTC taking the third spot with 8.6% allocation. The fund has amassed $1.4 billion in its asset base and trades in volume of about 860,000 shares a day. The product charges a fee of 47 bps a year from investors and has a Zacks ETF Rank #3 (Hold) with a High risk outlook.

First Trust Nasdaq Semiconductor ETF (FTXL - Free Report)

This fund offers exposure to the most-liquid U.S. semiconductor securities based on volatility, value and growth by tracking the Nasdaq US Smart Semiconductor Index. Holding 28 stocks in its basket, Intel is the fifth firm accounting for 7% share. FTXL has accumulated $23.3 million in AUM and trades in average daily volume of 17,000 shares. It charges 0.60% in expense ratio and has a Zacks ETF Rank #3.

Invesco Dynamic Semiconductors ETF (PSI - Free Report)

This fund tracks the Dynamic Semiconductor Intellidex Index, holding 30 securities in the basket. Intel occupies the third position and makes up for 5.6% share in the basket. PSI has a lower AUM of $204.1 million and sees moderate average daily volume of about 77,000 shares. It charges 61 bps in annual fees and carries a Zacks ETF Rank #3 with a High risk outlook.