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Intel (INTC - Free Report) reported Q1 results after market close yesterday, wherein it suffered its largest-ever quarterly loss amid cooling demand for its chips used in personal computers. However, the world’s largest chipmaker beat both the top and bottom lines.
Driven by earnings beat, INTC shares climbed as much as 6% in after-market hours. Given this, ETFs like First Trust Nasdaq Semiconductor ETF (FTXL - Free Report) , First Trust NASDAQ Technology Dividend Index Fund (TDIV - Free Report) , Strive U.S. Semiconductor ETF (SHOC - Free Report) , VanEck Vectors Semiconductor ETF (SMH - Free Report) and Pacer Data and Digital Revolution ETF (TRFK - Free Report) having the highest allocation to the world’s biggest semiconductor maker, will be in focus.
Q1 Earnings in Focus
Loss of 4 cents per share was narrower than the Zacks Consensus Estimate of a loss of 16 cents. This compares to earnings of 87 cents per share in the year-ago quarter. Revenues declined 36% year over year to $11.7 billion, a level not seen since 2010 but came in above the estimated $11 billion.
Client computing, data-center and AI, and network and edge revenues declined 38%, 39% and 130%, respectively. However, Mobileye revenues grew 16% (see: all the Technology ETFs here).
The chipmaker continued to suffer from dismal PC and data-center markets. Shoppers chose to hold on to the laptops and desktops they purchased at the peak of the pandemic. According to Gartner, worldwide PC shipments collapsed 30% year over year in Q1, marking the second consecutive quarter of historic declines.
For the current quarter, Intel projects revenues in the range of $11.5 billion to $12.5 billion, while loss will likely be about 4 cents per share.
First Trust Nasdaq Semiconductor ETF offers exposure to the most-liquid U.S. semiconductor securities based on volatility, value and growth by tracking the Nasdaq US Smart Semiconductor Index. FTXL holds 31 stocks in its basket, with Intel taking the top spot at 9.7% share.
First Trust Nasdaq Semiconductor ETF has accumulated $910.6 million in AUM. The average trading volume is light at around 248,000 shares and the expense ratio is 0.60%. FTXL has a Zacks ETF Rank #3 (Hold).
First Trust NASDAQ Technology Dividend Index Fund (TDIV - Free Report)
First Trust NASDAQ Technology Dividend Index Fund provides exposure to dividend payers within the technology sector by tracking the Nasdaq Technology Dividend Index. It holds about 93 securities in its basket. Of these firms, Intel takes the second spot, making up for 9.2% of the assets. From a sector look, about 36% of the portfolio is dominated by semiconductors & semiconductor equipment, followed by software, and technology hardware, storage & peripherals (read: 5 Market-Beating High-Dividend ETFs to Consider).
First Trust NASDAQ Technology Dividend Index Fund has amassed $1.7 billion in its asset base while trading in a volume of around 123,000 shares per day. It charges 50 bps in annual fees.
Strive U.S. Semiconductor ETF seeks broad market exposure to the U.S. semiconductor sector. It follows the Solactive United States Semiconductors 30 Capped Index and holds 31 stocks in its basket, with Intel taking the third spot at 7% of assets.
Strive U.S. Semiconductor ETF has AUM of $22.4 million and charges 40 bps in annual fees. It trades in a volume of 8,000 shares per day on average.
VanEck Vectors Semiconductor ETF offers exposure to the companies involved in semiconductor production and equipment. SMH follows the MVIS US Listed Semiconductor 25 Index, which tracks the most-liquid companies in the industry based on market capitalization and trading volume. VanEck Vectors Semiconductor ETF holds 25 stocks in its basket, with Nvidia occupying the top position at 13.7% (read: What's Up for Chip ETFs After Their Best Quarter Since 2020?).
VanEck Vectors Semiconductor ETF has managed assets worth $7 billion and charges 35 bps in annual fees and expenses. SMH is heavily traded with a volume of 4 million shares per day and has a Zacks ETF Rank #2 (Buy) with a High risk outlook.
Pacer Data and Digital Revolution ETF aims to offer investors exposure to the globally listed stocks and depositary receipts of data and digital revolution companies. It follows the Pacer Data Transmission and Communication Revolution Index, holding 82 stocks in its basket. Out of these, Nvidia is the top firm, accounting for a 12.5% share.
Pacer Data and Digital Revolution ETF debuted in the space in June and has accumulated $1 million in its asset base. It has an expense ratio of 0.60%. TRFK trades in a meager volume of under 1000 shares per day on average and has a Zacks ETF Rank #3.
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Intel Q1 Earnings Put These ETFs in Focus
Intel (INTC - Free Report) reported Q1 results after market close yesterday, wherein it suffered its largest-ever quarterly loss amid cooling demand for its chips used in personal computers. However, the world’s largest chipmaker beat both the top and bottom lines.
Driven by earnings beat, INTC shares climbed as much as 6% in after-market hours. Given this, ETFs like First Trust Nasdaq Semiconductor ETF (FTXL - Free Report) , First Trust NASDAQ Technology Dividend Index Fund (TDIV - Free Report) , Strive U.S. Semiconductor ETF (SHOC - Free Report) , VanEck Vectors Semiconductor ETF (SMH - Free Report) and Pacer Data and Digital Revolution ETF (TRFK - Free Report) having the highest allocation to the world’s biggest semiconductor maker, will be in focus.
Q1 Earnings in Focus
Loss of 4 cents per share was narrower than the Zacks Consensus Estimate of a loss of 16 cents. This compares to earnings of 87 cents per share in the year-ago quarter. Revenues declined 36% year over year to $11.7 billion, a level not seen since 2010 but came in above the estimated $11 billion.
Client computing, data-center and AI, and network and edge revenues declined 38%, 39% and 130%, respectively. However, Mobileye revenues grew 16% (see: all the Technology ETFs here).
The chipmaker continued to suffer from dismal PC and data-center markets. Shoppers chose to hold on to the laptops and desktops they purchased at the peak of the pandemic. According to Gartner, worldwide PC shipments collapsed 30% year over year in Q1, marking the second consecutive quarter of historic declines.
For the current quarter, Intel projects revenues in the range of $11.5 billion to $12.5 billion, while loss will likely be about 4 cents per share.
ETFs in Focus
First Trust Nasdaq Semiconductor ETF (FTXL - Free Report)
First Trust Nasdaq Semiconductor ETF offers exposure to the most-liquid U.S. semiconductor securities based on volatility, value and growth by tracking the Nasdaq US Smart Semiconductor Index. FTXL holds 31 stocks in its basket, with Intel taking the top spot at 9.7% share.
First Trust Nasdaq Semiconductor ETF has accumulated $910.6 million in AUM. The average trading volume is light at around 248,000 shares and the expense ratio is 0.60%. FTXL has a Zacks ETF Rank #3 (Hold).
First Trust NASDAQ Technology Dividend Index Fund (TDIV - Free Report)
First Trust NASDAQ Technology Dividend Index Fund provides exposure to dividend payers within the technology sector by tracking the Nasdaq Technology Dividend Index. It holds about 93 securities in its basket. Of these firms, Intel takes the second spot, making up for 9.2% of the assets. From a sector look, about 36% of the portfolio is dominated by semiconductors & semiconductor equipment, followed by software, and technology hardware, storage & peripherals (read: 5 Market-Beating High-Dividend ETFs to Consider).
First Trust NASDAQ Technology Dividend Index Fund has amassed $1.7 billion in its asset base while trading in a volume of around 123,000 shares per day. It charges 50 bps in annual fees.
Strive U.S. Semiconductor ETF (SHOC - Free Report)
Strive U.S. Semiconductor ETF seeks broad market exposure to the U.S. semiconductor sector. It follows the Solactive United States Semiconductors 30 Capped Index and holds 31 stocks in its basket, with Intel taking the third spot at 7% of assets.
Strive U.S. Semiconductor ETF has AUM of $22.4 million and charges 40 bps in annual fees. It trades in a volume of 8,000 shares per day on average.
VanEck Vectors Semiconductor ETF (SMH - Free Report)
VanEck Vectors Semiconductor ETF offers exposure to the companies involved in semiconductor production and equipment. SMH follows the MVIS US Listed Semiconductor 25 Index, which tracks the most-liquid companies in the industry based on market capitalization and trading volume. VanEck Vectors Semiconductor ETF holds 25 stocks in its basket, with Nvidia occupying the top position at 13.7% (read: What's Up for Chip ETFs After Their Best Quarter Since 2020?).
VanEck Vectors Semiconductor ETF has managed assets worth $7 billion and charges 35 bps in annual fees and expenses. SMH is heavily traded with a volume of 4 million shares per day and has a Zacks ETF Rank #2 (Buy) with a High risk outlook.
Pacer Data and Digital Revolution ETF (TRFK - Free Report)
Pacer Data and Digital Revolution ETF aims to offer investors exposure to the globally listed stocks and depositary receipts of data and digital revolution companies. It follows the Pacer Data Transmission and Communication Revolution Index, holding 82 stocks in its basket. Out of these, Nvidia is the top firm, accounting for a 12.5% share.
Pacer Data and Digital Revolution ETF debuted in the space in June and has accumulated $1 million in its asset base. It has an expense ratio of 0.60%. TRFK trades in a meager volume of under 1000 shares per day on average and has a Zacks ETF Rank #3.