United Microelectronics Past Earnings Performance
Past criteria checks 4/6
United Microelectronics's earnings have been declining at an average annual rate of -5.3%, while the Semiconductor industry saw earnings growing at 5.3% annually. Revenues have been growing at an average rate of 2.2% per year. United Microelectronics's return on equity is 12.3%, and it has net margins of 20.8%.
Key information
-5.27%
Earnings growth rate
-5.91%
EPS growth rate
| Semiconductor Industry Growth | 27.66% |
| Revenue growth rate | 2.20% |
| Return on equity | 12.27% |
| Net Margin | 20.82% |
| Next Earnings Update | 29 Jul 2026 |
Recent past performance updates
Recent updates
Seeking Alpha • Apr 24
United Microelectronics Q1 Preview: Not Very Exciting (Downgrade)
Summary United Microelectronics Corporation has underperformed its peers due to weak demand for its mature-node foundry services and declining profitability. UMC’s utilization rates and return on total capital have deteriorated, with ROTC now close to 6%, signaling eroding moat and pricing power. Despite strong liquidity—$4B in cash versus $1.45B in debt—and robust free cash flow, top-line growth and profitability remain lackluster. I see no compelling reason to buy UMC before earnings, given flat guidance, margin pressure, and a share price up 55% YTD without operational improvement. Read the full article on Seeking AlphaSeeking Alpha • Mar 18
United Microelectronics: Geopolitical Risks Now Outweigh Rewards
Summary Geopolitical risks have increased significantly, especially with the U.S. becoming a less reliable ally under President Donald Trump's increasingly isolationist policies. UMC's exposure to AI demand remains, but the market's enthusiasm has cooled, reducing potential upside catalysts. Despite strong fundamentals like a solid dividend yield and a low price to tangible book value ratio, the stock's price support has weakened since the American election in November. Due to heightened geopolitical volatility, I've exited my position in UMC and will stay on the sidelines until risks stabilize. Read the full article on Seeking AlphaSeeking Alpha • Jan 23
United Microelectronics: Growth Opportunities On Volume Recovery, But Pricing Remains A Risk
Summary UMC's Q4'24 results were modestly disappointing, with a small operating miss driven by gross margin pressures, and 2025 guidance that was better than bears feared, but not thesis-changing. Demand should recover in 2025 as inventories have been run down across multiple markets (auto, consumer, industrial, wireless, et al), but pricing remains a risk. UMC's advanced packaging capabilities are a solid positive driver, as is the possibility of increased protectionism driving more volumes to their non-Chinese fabs. Valuation is a key hesitation; shares trade below long-term averages, but UMC would really benefit from showing more pricing power/gross margin leverage than currently expected. Read the full article on Seeking AlphaSeeking Alpha • Sep 09
United Microelectronics: Performance Gets Better With Every Quarter
Summary United Microelectronics Corporation's Q2 results show improved financials with a $1.75B revenue, a $0.17 GAAP EPS, and increased gross and operating margins, signaling a positive shift. The company’s strong financial position, with $4B in cash and low debt, ensures stability and growth potential, even during market downturns. United Microelectronics' Q3 guidance predicts mid-single digit growth in wafer shipments and stable gross margins, with capacity utilization expected to rise to around 70%. Despite market volatility, United Microelectronics remains a strong buy at its current discounted price, with long-term growth expected as demand recovers in key sectors. Read the full article on Seeking AlphaSeeking Alpha • Jul 01
United Microelectronics: Stock Valued Just Right
Summary UMC's revenue declined by 20% in 2023, underperforming expectations, but analyst consensus expects growth of 1.5% in 2024 and 15% in 2025. The company's market share remained stable at 6.1% in 2023, despite declines in its three main segments. We believe UMC's expansion into 12nm process technology through partnerships could support long-term growth, but demand recovery remains a risk in 2024. Read the full article on Seeking AlphaSeeking Alpha • Jun 08
United Microelectronics Corporation: The Foundry Market Is Changing
Summary UMC recently announced the latest dividend, which came as a pleasant surprise since it was higher than expected. The charts show the stock is close to a price level it has seen several times before, and buyers may want to take note of what happened next. UMC got eclipsed by SMIC for the number two spot among pure-play foundries, and shareholders should not expect change soon. Some might argue SMIC represents a headwind for UMC, but the impact on UMC is likely to be nuanced for various reasons. Read the full article on Seeking AlphaSeeking Alpha • May 03
United Microelectronics: A Value Stock With AI Exposure
Summary United Microelectronics Corporation is a semiconductor company that expects to address the edge AI market in the next few years. UMC is currently trading at a cheaper price compared to other semiconductor companies, presenting an opportunity for value investors to gain artificial intelligence exposure at a reasonable price. UMC is dealing with macro headwinds and geopolitical risks, but the market mainly seems concerned that it won't address the main AI semiconductor market while overlooking edge AI potential. Read the full article on Seeking AlphaSeeking Alpha • Apr 14
United Microelectronics: The Worst Seems To Have Passed, Good Time To Jump Back In
Summary United Microelectronics Corporation is expected to see top-line growth and improved profitability in 2024 and beyond. The company's financials show a decent cash position and manageable debt, with a strong interest coverage ratio. UMC's competitive advantage and market position are expected to be restored once the industry improves, making it an attractive investment. Read the full article on Seeking AlphaSeeking Alpha • Feb 05
United Microelectronics: Not Enough Incentive To Warrant Added Risk
Summary The stock has dropped after the latest report from UMC, which came in mixed, especially as it relates to the outlook for FY2024. UMC was less optimistic about the outlook than others, which is noteworthy in light of all the fab capacity being added everywhere. The charts seem to have a few things to say, which could provide clues as to how shareholders should position themselves at this time. Holding on to UMC is still worth pursuing, especially with a generous dividend in store, but to be a buyer is likely not a wise move. Read the full article on Seeking AlphaSeeking Alpha • Jan 11
United Microelectronics: Cyclical Improvement Offers A Positive Outlook For 2024
Summary UMC's revenue fell this year owing to weak end markets, but both PC and wireless markets are seeing signs of recovery. The company has niche offerings in mature semi processes which have proven resilient while its customer base is diverse and sticky. UMC trades at about 12x P/E which is undemanding for a company that is looking at cyclical improvements as the industry recovers. Read the full article on Seeking AlphaSeeking Alpha • Oct 31
United Microelectronics: Hold On, But Putting New Money To Work May Be Risky
Summary The Q3 results were better than expected, but soft guidance caused the stock to drop by raising questions about where the industry is heading. United Microelectronics has a number of positive attributes worth mentioning, including a dividend yield that is likely to surpass 5% for FY2023. The slump in demand is showing persistence, which is cause for concern, especially with everyone adding capacity to cater to an expected growth in demand. UMC stock is worth holding onto for several reasons, but putting new money to work may not be such a wise move given the circumstances. Read the full article on Seeking AlphaSeeking Alpha • Oct 05
United Microelectronics: Cruising Past The Semiconductor Slump
Summary UMC is a leading semiconductor foundry trading at an attractive discount to peers, offering a compelling risk/reward for long-term investors. UMC has a strong market positioning with geographically diversified capacity and a broad portfolio, allowing it to capitalize on key long-term trends. UMC boasts a clean financial profile with an investment-grade balance sheet, robust cash position, and steady cash generation, providing insulation during cyclical swings. Read the full article on Seeking AlphaSeeking Alpha • Aug 08
United Microelectronics: The Downturn Might Last Longer Than Expected
Summary UMC beat estimates for Q2, but the latest report contained a number of troubling developments in several areas. UMC lowered its outlook once again due to demand coming in weaker than expected, in addition to hinting demand could fall even further. UMC is not alone in being confronted with stronger headwinds than anticipated, including in markets that had previously been unaffected. An article from late last year urged caution in light of what might happen to UMC and the developments this year have shown this to be prescient. Read the full article on Seeking AlphaSeeking Alpha • Jul 06
United Microelectronics: My Top Undervalued Semiconductor Stock
Summary UMC is the most undervalued stock in the semiconductor market based on a P/E of 7.21. UMC's share price growth at the three-year mark is 188% and higher than any of the top five undervalued stocks based on P/E ratio. UMC's monthly sales data is the only mid-quarter metric. Investors need to overlook dismal YoY changes as MoM are positive and more reliable. UMC is a leader in the 20nm-28nm node range and doesn't compete against Read the full article on Seeking AlphaSeeking Alpha • Feb 14
United Microelectronics Has Reached A Crossroad
Summary UMC has rallied in 2023, continuing the run that started in Q4 2022, but a change in direction could be near. A risk-on market rally thanks to the Fed and the outlook for a recovery in H2 has overshadowed the current downturn that has led to weak results. The stock has soared higher, but the rally is built on a couple of assumptions that could hurt the stock if they turn out to be misplaced. Long UMC has its merits, but there are also good reasons why some may want to be wary of the current rally. Shareholders of United Microelectronics (UMC), one of the leading providers of foundry services to the semiconductor industry, should be pleased with how 2023 has gone thus far. The stock has rallied and outperformed most, in spite of all the headwinds UMC is facing as revealed in the most recent earnings report. However, the stock may have reached a turning point. Why will be covered next. Why UMC may have found resistance The chart below shows how UMC has continued the rally that started in Q4 of last year. The stock hit bottom on October 11 when it posted a 52-weeks low at $5.36, only to turn it around from that point on. The stock got as high as $8.67 on February 2, which represents a gain of 61.7% in less than four months. For the year, the stock has gained 26.7% YTD. In comparison, the iShares PHLX Semiconductor ETF (SOXX) has gained 20% YTD and the SPDR S&P 500 ETF (SPY) has gained 6.7% YTD. Source: finviz.com UMC has outperformed most semiconductor stocks. In addition, the stock appears to be in an uptrend. Note the higher lows and higher highs in place since the October low, which can be connected to form ascending trendlines that are running parallel to one another. The stock seems to be in an ascending channel, a bullish chart pattern that could encourage additional buyers to step in. The trend is clear and it is pointing up. However, it’s also worth noting that the stock has stalled in recent weeks after posting the 2023 high on February 2. Granted, the stock was overbought and due for a breather. Nevertheless, the stock seems to be having problems getting through the $8.25-8.75 region, which might not be a coincidence since this happens to be the same region where the stock previously topped out at $8.53 on June 8, 2022. This is just $0.14 away from the 2023 high of $8.67 set on February 2. The stock seems to have encountered resistance. The stock is also at the upper bound of the channel, which suggests the stock may have to make a trip back to the lower bound of the channel before it can take another stab at new highs for the year. It’s possible the stock continues higher, but the path of least resistance in the near term is for the stock to turn south. Some may want to consider reducing their exposure, especially if they managed to get in on the recent lows and are sitting on substantial gains after the huge rally. The stock has managed to overcome headwinds The stock’s outperformance is even more remarkable if one takes into account the circumstances in which the rally took place. The stock has, for instance, looked past the most recent earnings report, which disappointed by missing estimates for the top and the bottom line. The numbers also make it clear the foundry industry is in the midst of a downturn. Still, UMC ended FY2022 with solid headline numbers. FY2022 revenue increased by 30.8% YoY to NTD278,705M or $9,078M using an exchange rate of 1:30.70 for the U.S. dollar. EPS increased by 55.1% YoY to NTD7.09 or $0.231, which translates to $1.155 per ADS. UMC has room for a dividend as good as the one last year. UMC finished FY2022 with cash and cash equivalents totaling NTD173.82B or $5.66B. All in all, FY2022 was not a bad year for UMC with major gains made. (Unit: M NTD except EPS) FY2022 FY2021 YoY Revenue 278,705 213,011 30.8% Gross margin 45.1% 33.8% 1130bps Operating margin 37.4% 24.3% 1310bps Operating income 104,292 51,686 101.8% Net income 87,198 55,780 56.3% EPS 7.09 4.57 55.1% Source: UMC However, UMC ended FY2022 on a soft note and there is reason to believe there is more weakness ahead. Q4 revenue still increased by 14.8% YoY, but it also decreased by 10% QoQ to NTD67,836M or $2,210M. Similarly, EPS declined by 29.7% QoQ, even if it increased by 18.5% YoY to NTD1.54 or $0.05, which translates to $0.251 per ADS. Q4 gross and operating margins improved YoY, but they took a step back from the highs reached in the preceding quarter. The tide has turned and the question is when it will come back. The table below shows the numbers for Q4 FY2022. (Unit: M NTD except EPS) Q4 FY2022 Q3 FY2022 Q4 FY2021 QoQ YoY Revenue 67,836 75,392 59,100 (10.0%) 14.8% Gross margin 42.9% 47.3% 39.1% (440bps) 380bps Operating margin 34.8% 40.0% 29.8% (520bps) 500bps Operating income 23,637 30,157 17,616 (21.6%) 34.2% Net income 19,068 26,996 15,949 (29.4%) 19.6% EPS 1.54 2.19 1.30 (29.7%) 18.5% The sequential decline was driven by a 14.8% QoQ decline in wafers shipped to 2,213K 8-inch equivalent, even though UMC increased capacity to 2,543K, which resulted in a 90% utilization rate. The last time UMC did not finish with a 100+% utilization rate was Q4 FY2020 when the rate was 99%, which means a streak of seven quarters was broken. Furthermore, the forecast sees utilization dropping even further to 70% with wafer shipments dropping in the high teens. From the Q4 earnings call: “Now let's move on to the first quarter 2023 guidance. Our wafer shipment will decline by high teens percentage range. ASP in U.S. will remain flat. Please note that we expect a 3% to 4% adverse impact on foreign exchange on revenue. Gross profit margins will be in the mid 30% range. Capacity utilization rate will be approximately 70%. Our 2023 cash based CapEx will be budgeted at $3 billion.” A transcript of the Q4 FY2022 earnings call can be found here. However, UMC managed to offset the weak results by calling for a rebound in the second half of 2023. The trough will be in Q2, if not in Q1. “For the 2023 outlook. Well, I mean, given the cyclical nature of the semi industry, there is no one that’s immune from the end market downturns. While we were able to mitigate our loading in the second half of our 2022 amidst the downturn, thanks to the growth in our auto business sustain our business momentum and which I also touched and search about 82% year-over-year. But for the first half of 2023, we do foresee a continued softened demand in smartphone PC consumer market that will continue for the inventory digestion reason. Meanwhile, the inventory digestion will continue to be our first priority. Nevertheless, we expect the first half, if not, the Q1 will be the trough.”Seeking Alpha • Feb 01
UMC and Cadence join hands on 3D-IC hybrid bonding reference flow
United Microelectronics (NYSE:UMC) and Cadence Design Systems (NASDAQ:CDNS) collaborate on the Cadence® 3D-IC reference flow, featuring the Integrity™ 3D-IC Platform, certified for UMC’s chip stacking technologies. Using UMC’s 40nm low power process as a wafer-on-wafer stacking demonstration, the two companies collaborated to validate key 3D-IC features in this design flow, including system planning and intelligent bump creation with Cadence’s Integrity 3D-IC platform. The platform offers design planning, implementation and analysis of full 3D designs within a single, unified cockpit. The reference flow also enables system-level layout versus schematic checking to connectivity accuracy, electric rule-checking for coverage and alignment checking, and thermal analysis for heat distribution in a 3D stacked-die design structure. Shares of UMC are down 1.60% after-hours on Tuesday.Seeking Alpha • Jan 13
United Microelectronics Q4 2022 Earnings Preview
United Microelectronics (NYSE:UMC) is scheduled to announce Q4 earnings results on Monday, January 16th, before market open. The consensus EPS Estimate is $0.27 (+12.5% Y/Y) and the consensus Revenue Estimate is $2.22B (+3.7% Y/Y). Over the last 2 years, UMC has beaten EPS estimates 100% of the time and has beaten revenue estimates 75% of the time. Over the last 3 months, EPS estimates have seen 0 upward revisions and 2 downward. Revenue estimates have seen 7 upward revisions and 7 downward.Seeking Alpha • Jan 06
United Microelectronics December sales grew 3.29% Y/Y
United Microelectronics (NYSE:UMC) reported December net sales growth of 3.29% Y/Y to NT$20.95B. In November sales grew 14.67% Y/Y. YTD revenue grew 30.84% Y/Y to NT$278.71B.Seeking Alpha • Nov 07
United Microelectronics October sales grew 27.07% Y/Y
United Microelectronics (NYSE:UMC) reported October net sales growth of 27.07% Y/Y to NT$24.34B. In September sales grew 34.50% Y/Y. YTD revenue grew 35.91% Y/Y to NT$235.21B. YTD UMC stock plunged ~46.4%.Seeking Alpha • Oct 26
United Microelectronics Non-GAAP EPS of NT$2.19 beats by NT$0.23, revenue of NT$75.39B beats by NT$2.49B
United Microelectronics press release (NYSE:UMC): Q3 Non-GAAP EPS of NT$2.19 beats by NT$0.23. Revenue of NT$75.39B (+34.8% Y/Y) beats by NT$2.49B. Gross margin: 47.3%; Operating margin: 40.0% Capacity utilization rate: 100%+ Overall capacity in the third quarter increased to 2,539K 8-inch equivalent wafers. Capacity will grow in the fourth quarter of 2022 to 2,543K 8-inch equivalent wafers, reflecting the capacity expansion taking place at 8N. Q4 Guidance: Quarter-over-Quarter Guidance: Wafer Shipments: To decrease by approximately 10% ASP in USD: To remain flat Gross Profit Margin: Will be in the low-40% range Capacity Utilization: 90% 2022 CAPEX: US$3.0 billionSeeking Alpha • Oct 06
United Microelectronics September sales grew 34.50% Y/Y
United Microelectronics (NYSE:UMC) reported September net sales growth of 34.50% Y/Y to NT$25.22B. In August sales grew 34.89% Y/Y. YTD revenue grew 37.01% Y/Y to NT$210.87B. YTD UMC stock plunged ~47.34%.Seeking Alpha • Sep 06
United Microelectronics August sales grew 34.89% Y/Y
United Microelectronics (NYSE:UMC) reported August net sales growth of 34.89% Y/Y to NT$25.35B. In July sales grew 42.14% Y/Y. YTD revenue grew 37.36% Y/Y to NT$185.65B. YTD UMC stock plunged ~44.2%.Seeking Alpha • Aug 24
United Microelectronics, Cadence team up on analog/mixed-signal flow for 22ULP/ULL process technologies
United Microelectronics (NYSE:UMC) and Cadence Design Systems (NASDAQ:CDNS) said on Wednesday that the Cadence analog/mixed-signal IC design flow has been certified for UMC’s 22ULP/ULL process technologies. Through the design flow, customers can leverage UMC and Cadence technologies to create designs for 5G, IoT, Displays, and other emerging applications. The move will enable UMC to provide its customers with an industry-leading design solution, enabling greater efficiency and speeding time to market. The UMC-certified Cadence AMS flow provides a Unified Reliability Interface, which enables customers to better monitor the circuit’s reliability and service life when designing on UMC’s 22ULP/ULL processes while achieving an ideal balance between cost and performance.Seeking Alpha • Aug 12
United Microelectronics: The Tug Of War Continues
UMC posted some of its best quarterly numbers ever, but they were overshadowed by the mention of an inventory correction and a looming downturn. The stock has gone sideways recently, but there is reason to believe the stock may be heading lower in the not-too-distant future. UMC has its strengths, including a high dividend and some of the lowest valuations around for a tech name. UMC is worth holding on to, but opening a new position is probably not a good move at this time all things considered. United Microelectronics (UMC) posted some of its best quarterly numbers ever in its latest report. Revenue, margins and profits all jumped higher. However, the words “inventory correction” managed to overshadow everything else, countering all that was good in the Q2 report. UMC is literally and figuratively caught between two opposing forces. Why will be covered next. The stock has gone sideways, but maybe not for much longer It’s worth mentioning that quarterly earnings are not the only issue UMC has had to deal with recently. There are other issues confronting UMC. For instance, UMC is based in Taiwan and recent tensions with China are certain to weigh on investor sentiment towards UMC, which has manufacturing facilities in both. UMC is quite literally between two opposing forces. Another relevant issue is the desire on the part of the U.S. to increase domestic manufacturing of semiconductor chips, starting with the recent passing of the CHIPS and Science Act. The bill is not aimed at UMC, but it could have negative repercussions for UMC in the long run. This could happen if the foundry business shifts towards the U.S. and away from Taiwan, where UMC has most of its fabs. In theory, U.S.-based companies will get a leg up on their competitors in East Asia, UMC included. Initiatives like the CHIPS and Science Act are a positive development for U.S.-based manufacturers, but for companies like UMC, probably not so much. This viewpoint seems to be the prevailing one in East Asian counties as expressed in opinion pieces like this one. Nevertheless, the fact remains that the stock has not done much since the release of the latest earnings report, even though it included some of the best numbers UMC has ever reported. The stock is currently where it was before the report, having gone sideways. UMC is still down 39% YTD. The chart below shows the price action in 2022. Source: finviz.com Note how all the highs can be connected to form a descending trendline. The stock is currently bumping up against this trendline. A breakthrough would be a positive sign for the bulls, but if the existing trend holds, the stock is likely to have its march upwards cut off by the resistance imposed by the upper trendline. In addition, the charts have painted what could be described as a descending triangle. The stock has bounced around within this triangle, which is formed by a descending upper trendline and a vertical lower trendline. The two trendlines are converging, which means the stock will have to break through either the upper or the lower trendline. Descending triangles are considered continuation patterns, meaning the stock tends to continue in the direction of the previous trend once it breaks out of the triangle. The stock was heading lower before the recent sideways action, which suggests the stock is likely to break through the lower trendline for a move to the downside. The stock has moved sideways within the triangle, but probably not for too much longer. UMC is still in excellent shape, but that may change in the near future It’s true the stock has not done all that much lately, but the latest report still included some of the best numbers ever for UMC. Q2 revenue increased by 41.5% YoY to NTD72,055M, which equals $2,325M using an exchange rate of 1:29.71 for the U.S. dollar. EPS increased by 77.6% YoY to NTD1.74, which translates to $0.293 per ADS. Gross margin improved by 1520 basis points YoY to 46.5% and operating margin improved by 1690 basis points YoY to 39.1%. Note that the 149% YoY increase in operating income was much more than the increase in net income in Q2. This was due to a non-operating loss of NTD2,586M, which was mostly the result of a NTD3,675M investment loss, partially offset by a NTD1,361M gain in foreign exchange rates. In contrast, UMC posted a non-operating gain of NTD1,881M a year ago, skewing the quarterly comparisons. In other words, earnings growth was better than the headline numbers suggest it was. The table below shows the numbers for Q2 FY2022. (Unit: NTD) Q2 FY2022 Q1 FY2022 Q2 FY2021 QoQ YoY Revenue 72,055M 63,423M 50,908M 13.6% 41.5% Gross margin 46.5% 43.4% 31.3% 310bps 1520bps Operating margin 39.1% 35.2% 22.2% 390bps 1690bps Operating income 28,164M 22,334M 11,313M 26.1% 149.0% Net income 21,327M 19,808M 11,943M 7.7% 78.6% EPS 1.74 1.61 0.98 8.1% 77.6% Source: UMC The utilization rate remained at 100%+. Capacity at UMC did not change much in recent quarters, but it rose to 2,528K 8-inch equivalent wafers in Q2 with Fab 12A P5 coming online. Wafer shipments increased to 2,622K wafers, up 4.3% QoQ. The increase in shipments combined with higher average selling prices were the main reasons behind the strong growth in sales and earnings in Q2. The balance sheet saw significant changes as well. The cash balance reached NTD183.7B in Q2 FY2022, up from NTD124B in Q2 FY2021. On the other hand, current liabilities increased to NTD131.8B in Q2 FY2022, up from NTD85B in Q2 FY2021. Keep in mind that UMC is currently in the midst of a major expansion with two new fabs scheduled to come online in the next two years. Debt-to-equity remained unchanged YoY at 76%. Guidance basically calls for a repeat of Q2 in Q3. From the Q2 earnings call: “Going into the third quarter, we expect our business to remain firm. While accruing demand for smartphones, PCs and consumer electronics may pose some short-term fluctuations, we are actively working with customers to adjust their product mix. Coming off a Supercycle over the past two years, the semiconductor industry is now in a period of inventory correction. We believe UMC's comprehensive portfolio for differentiated leading specialty technologies and strong partnerships with leading customers will help us navigate the cyclical micro environment. Now let's move on to third quarter 2022 guidance. Our wafer shipments will remain flat, ASP in U.S. dollars will remain flat. Gross profit margin will be in a mid 40% range. Capacity utilization rate will be a 100%. Our 2022 cash base CapEx will be budgeted at a $3.6 billion.” A transcript of the Q2 FY2022 earnings call can be found here. However, while business is still in good shape overall, UMC is seeing weakening demand in certain market segments with some customers sitting on too much inventory. “I reported our guidance in Q3 will be fully load, 100% loading. And by in Q4, we still believe that we can maintain a healthy loading while the pricing will remain firm. And other data we will provide an update in our next quarterly conference, going into 2023, given the rising macro uncertainty continues and the higher inflationary cost pressure, we perceive the foundry industry growth in 2023 will be more moderate.” It’s still early, but the outlook sees FY2023 as being worse than FY2022 for the foundry industry. The semiconductor industry is cyclical and there are increasingly signs the industry is heading down after flying high in the last few years. Why UMC is still worth a look Semis have increasingly fallen out of favor in 2022, but UMC may still be an interesting proposition to some, especially those who are leaning conservative and looking for value. For instance, UMC comes with a yield of 7.7% with an annual dividend of $0.51.Seeking Alpha • Aug 04
United Microelectronics sees 35% growth in July sales
United Microelectronics (NYSE:UMC) reported 35.2% growth in July net sales to NT$24.8M. For the period between January - July 2022, sales saw a 37.8% growth to NT$160.3M.Seeking Alpha • Jul 26
United Microelectronics Q2 2022 Earnings Preview
United Microelectronics (NYSE:UMC) is scheduled to announce Q2 earnings results on Wednesday, July 27th, before market open. The consensus EPS Estimate is $0.31 (+72.2% Y/Y) and the consensus Revenue Estimate is $2.32B (+26.8% Y/Y). Over the last 1 year, UMC has beaten EPS estimates 100% of the time and has beaten revenue estimates 50% of the time. Over the last 3 months, EPS estimates have seen 2 upward revisions and 0 downward. Revenue estimates have seen 12 upward revisions and 0 downward.Seeking Alpha • Jul 06
United Microelectronics June sales grew 43.2% Y/Y
United Microelectronics (NYSE:UMC) reported June net sales growth of 43.2% Y/Y to NT$24.83B. In May sales grew 42.14% Y/Y. For the past six months, revenue grew 38.24% Y/Y to NT$135.48B. YTD UMC stock plunged ~43.6%.Seeking Alpha • Jun 08
United Microelectronics: End-Markets Demand In Full Gear
We built on our previous analysis of UMC by examining its revenue exposure by end markets and projected its demand growth through 2026. Furthermore, we projected the company's capacity growth following its announcement of its Singapore expansion and projected a higher CAGR of 2.8%. Additionally, we believe wafer pricing to support its growth with a higher forecast of 22.5% in 2022.Seeking Alpha • May 04
United Microelectronics: Caught Between Headwinds And Tailwinds
The Q1 numbers from UMC were arguably the finest yet and there is reason to believe the Q2 ones could be even better. Valuations for UMC are drawing interest, especially when combined with the pace of growth, but that’s partially due to a big drop in the stock. UMC itself is doing well, but there are a number of other issues that are having an adverse impact on the stock. Long UMC has its merits, but they’re offset by unresolved issues that are likely to make it difficult for the stock in 2022.Seeking Alpha • Mar 15
United Microelectronics: Good, But Not As Good As Competitors
As a semiconductor foundry company, we analyzed its wafer ASP trend and forecasted its wafer pricing to grow by 20% in 2022 amid the tight industry supply. We forecasted its wafer capacity growth and determined its $5 bln capacity expansion will not produce meaningful incremental profits, but UMC to still benefit from rising ASPs. The company’s revenue by process nodes shows it is focused on the matured process nodes with key customers including Texas Instruments, MediaTek and Realtek. While we find shares of UMC attractive at these price levels, we expect them to face tough competition from Samsung and TSMC.Seeking Alpha • Jan 23
United Microelectronics Is Now Growing Faster Than TSMC And Should Be Valued Accordingly
United Microelectronics Corporation is a relatively small foundry play, operating in the shadows of giant Taiwan Semiconductor (TSMC). Its smaller size is not preventing UMC from rapidly gaining efficiency in the way it invests capital. More important, when comparing total sales for 2021 over 2020, it is now growing faster than its giant peer, signifying that it deserves higher valuations. Still, in current market conditions where tech stocks, in general, are prone to more volatility than the broader market, I show some moderation when valuing the company. With its strong cash position and ability to pay dividends, this is a stock to buy and hold for the long term.Seeking Alpha • Nov 08
United Microelectronics Could Be Back On The Move
United Microelectronics shot to new highs in terms of the top and the bottom line in Q3, but the same could not be said of the stock. The stock has stalled for most of 2021, but that could be changing with the charts in the early stages of forming a bullish pattern. United Microelectronics trades at much lower multiples than competitors, despite having advantages in several areas, a situation not likely to continue indefinitely. Some may wonder whether United Microelectronics is worth it, but there are good reasons why long UMC is warranted.Seeking Alpha • Oct 07
Why United Microelectronics Stock Is A Buy On Weakness
Micron and Taiwan Semiconductor are pulling UMC shares lower. Company expects strong margin expansion. Reasons to buy explained.Seeking Alpha • Aug 03
United Microelectronics Has Limited Upside As Semiconductor Shortage Becomes Another Glut
Pure-play semiconductor foundries were a great investment last year as a decline in production and a surge in consumer demand led to an immense global chip shortage. Despite frothy predictions, most evidence suggests the global chip shortage is reaching its peak as producers ramp up capacity and the retail spending spree fades. The semiconductor industry often cycles between shortages and gluts, so investors should discount the value of recent profit margin spikes in many producers. United Microelectronics is not necessarily undervalued compared to Taiwan Semiconductor since UMC has much greater earnings volatility than TSMC. While UMC may not be overvalued, I am moderately bearish on the stock since its price has risen at a much faster pace than its fundamentals.Revenue & Expenses Breakdown
Revenue & Expenses Breakdown
How United Microelectronics makes and spends money. Based on latest reported earnings, on an LTM basis.
Earnings and Revenue History
| Date | Revenue | Earnings | G+A Expenses | R&D Expenses |
|---|---|---|---|---|
| 31 Mar 26 | 240,732 | 50,111 | 9,587 | 18,336 |
| 31 Dec 25 | 237,553 | 41,716 | 9,223 | 17,725 |
| 30 Sep 25 | 236,130 | 40,158 | 9,189 | 17,122 |
| 30 Jun 25 | 237,488 | 39,648 | 9,383 | 16,513 |
| 31 Mar 25 | 235,529 | 44,532 | 9,568 | 16,172 |
| 31 Dec 24 | 232,303 | 47,211 | 9,749 | 15,616 |
| 30 Sep 24 | 226,875 | 51,909 | 10,026 | 15,226 |
| 30 Jun 24 | 223,459 | 53,408 | 9,956 | 14,460 |
| 31 Mar 24 | 222,956 | 55,263 | 9,898 | 13,925 |
| 31 Dec 23 | 222,533 | 60,990 | 10,572 | 13,284 |
| 30 Sep 23 | 235,410 | 69,143 | 11,273 | 12,746 |
| 30 Jun 23 | 253,733 | 80,168 | 12,295 | 12,795 |
| 31 Mar 23 | 269,492 | 83,574 | 13,392 | 12,687 |
| 31 Dec 22 | 278,705 | 89,479 | 13,858 | 12,954 |
| 30 Sep 22 | 269,969 | 79,546 | 13,874 | 12,961 |
| 30 Jun 22 | 250,484 | 70,010 | 13,717 | 12,960 |
| 31 Mar 22 | 229,337 | 65,160 | 13,253 | 12,919 |
| 31 Dec 21 | 213,011 | 51,246 | 12,655 | 12,935 |
| 30 Sep 21 | 199,208 | 51,027 | 12,390 | 12,714 |
| 30 Jun 21 | 188,172 | 42,673 | 11,252 | 12,725 |
| 31 Mar 21 | 181,650 | 37,410 | 10,694 | 12,760 |
| 31 Dec 20 | 176,821 | 22,861 | 10,424 | 12,896 |
| 30 Sep 20 | 173,374 | 20,278 | 9,725 | 13,155 |
| 30 Jun 20 | 166,242 | 14,101 | 9,849 | 12,653 |
| 31 Mar 20 | 157,887 | 10,713 | 10,358 | 12,238 |
| 31 Dec 19 | 148,202 | 8,155 | 9,753 | 11,860 |
| 30 Sep 19 | 141,870 | 4,164 | 9,886 | 12,152 |
| 30 Jun 19 | 143,518 | 2,956 | 9,940 | 12,668 |
| 31 Mar 19 | 146,338 | 4,874 | 9,335 | 12,908 |
| 31 Dec 18 | 151,253 | 7,678 | 9,252 | 13,025 |
| 30 Sep 18 | 152,366 | 10,599 | 8,591 | 12,370 |
| 30 Jun 18 | 150,678 | 12,351 | 8,279 | 12,384 |
| 31 Mar 18 | 149,364 | 10,791 | 8,178 | 12,603 |
| 31 Dec 17 | 149,285 | 9,677 | 8,474 | 13,670 |
| 30 Sep 17 | 150,960 | 10,711 | 9,168 | 14,404 |
| 30 Jun 17 | 151,425 | 10,213 | 10,084 | 14,458 |
| 31 Mar 17 | 150,884 | 10,698 | 10,631 | 14,439 |
| 31 Dec 16 | 147,870 | 8,621 | 10,390 | 13,532 |
| 30 Sep 16 | 143,414 | 8,733 | 9,549 | 12,813 |
| 30 Jun 16 | 140,570 | 7,467 | 8,560 | 12,554 |
| 31 Mar 16 | 141,585 | 9,484 | 7,777 | 12,343 |
| 31 Dec 15 | 144,830 | 13,254 | 7,794 | 12,175 |
| 30 Sep 15 | 148,216 | 14,852 | 7,970 | 12,605 |
| 30 Jun 15 | 148,110 | 16,060 | 7,784 | 12,935 |
Quality Earnings: UMC has high quality earnings.
Growing Profit Margin: UMC's current net profit margins (20.8%) are higher than last year (18.9%).
Free Cash Flow vs Earnings Analysis
Past Earnings Growth Analysis
Earnings Trend: UMC's earnings have declined by 5.3% per year over the past 5 years.
Accelerating Growth: UMC's earnings growth over the past year (12.5%) exceeds its 5-year average (-5.3% per year).
Earnings vs Industry: UMC earnings growth over the past year (12.5%) exceeded the Semiconductor industry 10.3%.
Return on Equity
High ROE: UMC's Return on Equity (12.3%) is considered low.
Return on Assets
Return on Capital Employed
Discover strong past performing companies
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2026/05/07 21:25 |
| End of Day Share Price | 2026/05/07 00:00 |
| Earnings | 2026/03/31 |
| Annual Earnings | 2025/12/31 |
Data Sources
The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.
| Package | Data | Timeframe | Example US Source * |
|---|---|---|---|
| Company Financials | 10 years |
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| Analyst Consensus Estimates | +3 years |
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| Market Prices | 30 years |
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| Ownership | 10 years |
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| Management | 10 years |
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| Key Developments | 10 years |
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* Example for US securities, for non-US equivalent regulatory forms and sources are used.
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.
Analysis Model and Snowflake
Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.
Learn about the world class team who designed and built the Simply Wall St analysis model.
Industry and Sector Metrics
Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.
Analyst Sources
United Microelectronics Corporation is covered by 40 analysts. 21 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.
| Analyst | Institution |
|---|---|
| Brett Simpson | Arete Research Services LLP |
| Andrew Lu | Barclays |
| Mark Li | Bernstein |