What's Going On With United Microelectronics Stock Today?
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Mar 06 2025
0mins
Should l Buy UMC?
Source: Benzinga
UMC Sales Performance: United Microelectronics Corporation (UMC) reported a 4.25% year-over-year increase in February sales, totaling NT$18.193 billion, while combined net sales for January and February reached NT$38 billion, also up 4.21% year-over-year.
Market Outlook and Stock Performance: Despite the positive sales growth, UMC shares are down 2.65% in premarket trading, reflecting a 14% decline over the past year; the company anticipates flat wafer shipments and a decrease in average selling prices in the first quarter.
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Analyst Views on UMC
Wall Street analysts forecast UMC stock price to fall over the next 12 months. According to Wall Street analysts, the average 1-year price target for UMC is 5.50 USD with a low forecast of 4.80 USD and a high forecast of 6.20 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
2 Analyst Rating
0 Buy
0 Hold
2 Sell
Moderate Sell
Current: 9.970
Low
4.80
Averages
5.50
High
6.20
Current: 9.970
Low
4.80
Averages
5.50
High
6.20
About UMC
United Microelectronics Corp is a global semiconductor foundry. The Company provides integrated circuit (IC) production for applications spanning every sector of the electronics industry. The Company operates through two segments. The Wafer Fabrication segment is mainly engaged in the manufacture of chips to the design specifications of its customers by using its own processes and techniques. The New Business segment is engaged in the research, development, manufacture and provision of solar energy. The Company is engaged in the maintenance of a customer base across various industries, including communication, consumer electronics, computer, memory, new generation light-emitting diode (LED) and others, while focusing on manufacturing for applications, including networking, telecommunications, Internet, multimedia, personal computers (PCs) and graphics.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
UMC Reports 5.3% Year-on-Year Sales Growth for January 2026
- Sales Performance Boost: UMC reported January 2026 sales of NT$20.86 billion, reflecting a 5.3% increase from NT$19.81 billion a year earlier, indicating robust performance amid recovering market demand.
- Year-on-Year Growth Analysis: The sales increase of NT$1.06 billion compared to last year highlights the company's enhanced competitiveness in the semiconductor sector, particularly driven by high-demand product lines.
- Market Outlook: This sales growth lays a solid foundation for UMC's Q1 2026 performance, which is expected to further boost investor confidence and attract more capital inflows.
- Strategic Adjustment Impact: The sales increase is closely linked to UMC's strategic adjustments in technology innovation and market expansion, demonstrating the company's effective response to industry challenges and its ability to seize market opportunities.
See More
United Microelectronics Reports 5.33% Revenue Growth in January 2026
- Sales Growth: United Microelectronics Corporation reported unaudited net sales of NT$20,862,150 for January 2026, reflecting an increase of NT$1,055,355 or 5.33% compared to NT$19,806,795 in January 2025, indicating stable performance in the market.
- Sustained Growth Trend: This growth trend not only highlights strong demand in the semiconductor industry but also demonstrates UMC's successful efforts in enhancing production efficiency and market share, further solidifying its competitive position globally.
- Financial Health: The continuous sales growth indicates UMC's robust financial health, enabling the company to support future investments and R&D, thereby driving technological innovation and product upgrades to enhance market competitiveness.
- Optimistic Market Outlook: With the rising global demand for semiconductor products, UMC's sales growth suggests that the company will continue to benefit from industry trends, potentially attracting more investor interest in its long-term growth prospects.
See More
Qorvo Shares Drop After Disappointing Earnings Guidance
- Disappointing Earnings: Qorvo reported third-quarter financial results with fourth-quarter revenue guidance projected between $775 million and $825 million, significantly below the market estimate of $904.59 million, indicating sales pressure on the company.
- Lowered Earnings Expectations: The company anticipates adjusted earnings per share in the range of $1.05 to $1.35 for the fourth quarter, compared to the market expectation of $1.37, reflecting potential declines in profitability.
- Significant Stock Reaction: In pre-market trading, Qorvo shares fell 10.5% to $74.11, as investor concerns over the financial outlook weakened market confidence.
- Market Trend Divergence: While Nasdaq 100 futures rose over 200 points, Qorvo's negative earnings report impacted its stock price, highlighting a divergence between individual stock performance and overall market trends.
See More
United Microelectronics Reports Mixed Q4 Results Amidst Market Challenges
- Revenue Growth: United Microelectronics reported a 2.4% year-over-year increase in fourth-quarter operating revenues to NT$61.81 billion ($1.97 billion), exceeding market expectations and demonstrating resilience amid mild demand.
- Earnings Miss: The earnings per American Depositary Share (ADS) was $0.129, falling short of analyst estimates, indicating profitability pressures in a challenging demand environment.
- Capital Expenditure Plans: The company recorded $501 million in capital expenditures for Q4 2025, totaling $1.6 billion for the year, with a cash-based CAPEX budget of $1.5 billion for 2026, reflecting ongoing investment in future growth.
- Outlook: While wafer shipments are expected to remain flat in Q1, UMC is optimistic about 2026, anticipating that advanced packaging and silicon photonics will serve as new growth catalysts to meet the evolving demands of high-performance applications.
See More
UMC Reports Record Q4 2025 Earnings with 93% YoY Revenue Growth
- Significant Revenue Growth: In Q4 2025, UMC reported revenue of NT$61.81 billion (approximately US$1.97 billion), reflecting a 4.5% increase from Q3 and a 2.4% year-over-year growth, showcasing the company's robust performance in the semiconductor market.
- Steady Net Income: The net income for the fourth quarter was NT$10.06 billion (approximately US$320 million), with earnings per share at NT$0.81, indicating resilience despite a 32.9% decline from the previous quarter, highlighting the company's ability to navigate market fluctuations.
- 22nm Technology Breakthrough: Revenue from the 22nm segment surged by 31% quarter-over-quarter, accounting for over 13% of total Q4 revenue, underscoring UMC's sustained leadership in advanced process technologies, which enhances its product mix and competitive edge.
- Optimistic Future Outlook: UMC anticipates continued growth in 2026, driven by accelerated tape-outs on its 22nm platforms and increasing traction for new solutions, demonstrating the company's strategic foresight in technology investment and market demand.
See More
United Microelectronics Q4 Earnings Analysis
- Earnings Performance: United Microelectronics reported Q4 GAAP EPS of $0.129, missing estimates by $0.01, although revenue reached $1.97 billion, up 2.4% year-over-year, exceeding expectations by $60 million, indicating resilience in revenue growth.
- Margins and Operating Rates: The gross margin for Q4 stood at 30.7% with an operating margin of 19.8%, maintaining relatively stable profitability despite market pressures, reflecting effective cost control measures by the company.
- Capacity and Shipments: Q4 wafer shipments totaled 994K, down 0.6% quarter-over-quarter, while total capacity was 1,305K with a utilization rate of 78%; capacity is expected to decrease to 1,283K in Q1 2026, highlighting challenges in maintaining production capacity.
- Capital Expenditure and Outlook: Capital expenditures for 2025 reached $1.6 billion with a budget of $1.5 billion for 2026; while Q1 wafer shipments and ASP are expected to remain flat, gross profit margins are projected to drop to the high-20% range, reflecting uncertainties in future growth.
See More
UMC Reports 5.3% Year-on-Year Sales Growth for January 2026
- Sales Performance Boost: UMC reported January 2026 sales of NT$20.86 billion, reflecting a 5.3% increase from NT$19.81 billion a year earlier, indicating robust performance amid recovering market demand.
- Year-on-Year Growth Analysis: The sales increase of NT$1.06 billion compared to last year highlights the company's enhanced competitiveness in the semiconductor sector, particularly driven by high-demand product lines.
- Market Outlook: This sales growth lays a solid foundation for UMC's Q1 2026 performance, which is expected to further boost investor confidence and attract more capital inflows.
- Strategic Adjustment Impact: The sales increase is closely linked to UMC's strategic adjustments in technology innovation and market expansion, demonstrating the company's effective response to industry challenges and its ability to seize market opportunities.
See More
United Microelectronics Reports 5.33% Revenue Growth in January 2026
- Sales Growth: United Microelectronics Corporation reported unaudited net sales of NT$20,862,150 for January 2026, reflecting an increase of NT$1,055,355 or 5.33% compared to NT$19,806,795 in January 2025, indicating stable performance in the market.
- Sustained Growth Trend: This growth trend not only highlights strong demand in the semiconductor industry but also demonstrates UMC's successful efforts in enhancing production efficiency and market share, further solidifying its competitive position globally.
- Financial Health: The continuous sales growth indicates UMC's robust financial health, enabling the company to support future investments and R&D, thereby driving technological innovation and product upgrades to enhance market competitiveness.
- Optimistic Market Outlook: With the rising global demand for semiconductor products, UMC's sales growth suggests that the company will continue to benefit from industry trends, potentially attracting more investor interest in its long-term growth prospects.
See More
Qorvo Shares Drop After Disappointing Earnings Guidance
- Disappointing Earnings: Qorvo reported third-quarter financial results with fourth-quarter revenue guidance projected between $775 million and $825 million, significantly below the market estimate of $904.59 million, indicating sales pressure on the company.
- Lowered Earnings Expectations: The company anticipates adjusted earnings per share in the range of $1.05 to $1.35 for the fourth quarter, compared to the market expectation of $1.37, reflecting potential declines in profitability.
- Significant Stock Reaction: In pre-market trading, Qorvo shares fell 10.5% to $74.11, as investor concerns over the financial outlook weakened market confidence.
- Market Trend Divergence: While Nasdaq 100 futures rose over 200 points, Qorvo's negative earnings report impacted its stock price, highlighting a divergence between individual stock performance and overall market trends.
See More
United Microelectronics Reports Mixed Q4 Results Amidst Market Challenges
- Revenue Growth: United Microelectronics reported a 2.4% year-over-year increase in fourth-quarter operating revenues to NT$61.81 billion ($1.97 billion), exceeding market expectations and demonstrating resilience amid mild demand.
- Earnings Miss: The earnings per American Depositary Share (ADS) was $0.129, falling short of analyst estimates, indicating profitability pressures in a challenging demand environment.
- Capital Expenditure Plans: The company recorded $501 million in capital expenditures for Q4 2025, totaling $1.6 billion for the year, with a cash-based CAPEX budget of $1.5 billion for 2026, reflecting ongoing investment in future growth.
- Outlook: While wafer shipments are expected to remain flat in Q1, UMC is optimistic about 2026, anticipating that advanced packaging and silicon photonics will serve as new growth catalysts to meet the evolving demands of high-performance applications.
See More
UMC Reports Record Q4 2025 Earnings with 93% YoY Revenue Growth
- Significant Revenue Growth: In Q4 2025, UMC reported revenue of NT$61.81 billion (approximately US$1.97 billion), reflecting a 4.5% increase from Q3 and a 2.4% year-over-year growth, showcasing the company's robust performance in the semiconductor market.
- Steady Net Income: The net income for the fourth quarter was NT$10.06 billion (approximately US$320 million), with earnings per share at NT$0.81, indicating resilience despite a 32.9% decline from the previous quarter, highlighting the company's ability to navigate market fluctuations.
- 22nm Technology Breakthrough: Revenue from the 22nm segment surged by 31% quarter-over-quarter, accounting for over 13% of total Q4 revenue, underscoring UMC's sustained leadership in advanced process technologies, which enhances its product mix and competitive edge.
- Optimistic Future Outlook: UMC anticipates continued growth in 2026, driven by accelerated tape-outs on its 22nm platforms and increasing traction for new solutions, demonstrating the company's strategic foresight in technology investment and market demand.
See More
United Microelectronics Q4 Earnings Analysis
- Earnings Performance: United Microelectronics reported Q4 GAAP EPS of $0.129, missing estimates by $0.01, although revenue reached $1.97 billion, up 2.4% year-over-year, exceeding expectations by $60 million, indicating resilience in revenue growth.
- Margins and Operating Rates: The gross margin for Q4 stood at 30.7% with an operating margin of 19.8%, maintaining relatively stable profitability despite market pressures, reflecting effective cost control measures by the company.
- Capacity and Shipments: Q4 wafer shipments totaled 994K, down 0.6% quarter-over-quarter, while total capacity was 1,305K with a utilization rate of 78%; capacity is expected to decrease to 1,283K in Q1 2026, highlighting challenges in maintaining production capacity.
- Capital Expenditure and Outlook: Capital expenditures for 2025 reached $1.6 billion with a budget of $1.5 billion for 2026; while Q1 wafer shipments and ASP are expected to remain flat, gross profit margins are projected to drop to the high-20% range, reflecting uncertainties in future growth.
See More
