United Microelectronics Corporation
- Growing?
- No: revenue went from TWD 278.7B in FY22 to TWD 237.6B in FY25.
- Expensive?
- P/E (trailing) 14.9×. Priced 29% below the peer median of 21x.
- Analysts?
- 25% of 4 say buy; average 12-month target $17.20, 9% above today's price.
- Risky?
- Much swingier than most large companies: its price swung 68% over the past year (the S&P 500's 14%), and it fell as much as 57% since Nov 2021.
United Microelectronics Corporation (UMC) is a pure-play semiconductor foundry that manufactures silicon wafers for fabless chip designers using process platforms spanning logic/mixed-signal and specialty technologies (e.g., RF, embedded non-volatile memory (eNVM), BCD, embedded high voltage (eHV), and MEMS).
More about United Microelectronics
Revenue is primarily generated from wafer fabrication services (customer tape-out → wafer production → shipment), typically priced per wafer and influenced by node, technology options, and capacity utilization.
Market Position
UMC is commonly cited as a top-3 global pure-play foundry by market share and competes primarily in mature and specialty nodes (rather than leading-edge), with 22/28nm representing a major revenue contributor in recent years. Key differentiators include its breadth of specialty process platforms and geographically diversified manufacturing footprint across Asia.
Key Segments
UMC reports primarily a single operating segment, Foundry, encompassing wafer manufacturing and related services (including specialty process offerings across multiple nodes).
How has the stock done?
Over the past month UMC fell 30.1%; the semiconductor ETF (SMH) fell 15.1% and the S&P 500 fell 2.7%.
Over the past six months UMC fell 1.9%; the semiconductor ETF (SMH) fell 10.6% and the S&P 500 rose 2.6%.
Over the past year UMC rose 117.7%; the semiconductor ETF (SMH) rose 41.1% and the S&P 500 rose 10.8%.
Over five years UMC rose 39.5%; the semiconductor ETF (SMH) rose 233.3% and the S&P 500 rose 62.0%.
From Dec 7, 2021 to Oct 11, 2022, the deepest drop from a high since Nov 2021
How much the price swings in a year; the S&P 500's was 14%
When the S&P 500 moves 1%, the stock has moved about 2.1% the same way
Change in closing price from the first day shown, or with Price the closing price itself. Prices: Yahoo Finance, to Nov 12, 2026.
Is the business growing?
Revenue went from TWD 278.7B in FY22 to TWD 237.6B in FY25; net income from TWD 89.5B to TWD 40.4B.
Show the data
| Fiscal year | Revenue | Net income |
|---|---|---|
| FY22 | TWD 278.7B | TWD 89.5B |
| FY23 | TWD 222.5B | TWD 59.7B |
| FY24 | TWD 232.3B | TWD 48.8B |
| FY25 | TWD 237.6B | TWD 40.4B |
Fiscal years: Yahoo Finance.
How it makes money
Of every $100 in revenue, $17.0 ends up as net income. Net margin fell from 32.1% to 17.0% over the past 3 years.
−16.1 pts over 3 years
−18.8 pts over 3 years
−15.1 pts over 3 years
Each margin is that line of the income statement divided by revenue. Fiscal year: Yahoo Finance, operating income as filed with the SEC where its quarters cover the year.
Where it is in the chip cycle
Gross margin 34.0% and rising for 2 quarters; inventory at 81 days and falling for 2 years; capital spending 18.9% of revenue over the last 4 quarters.
Show the data
| Period | Gross margin |
|---|---|
| Sep ’25 | 29.8% |
| Dec ’25 | 30.7% |
| Mar ’26 | 29.2% |
| Jun ’26 | 32.5% |
| Sep ’26 | 34.0% |
Chip prices rise and fall with the cycle, and margins move with them: a margin that stops rising is often the first sign the cycle is turning.
Show the data
| Period | Inventory days |
|---|---|
| FY22 | 74 |
| FY23 | 90 |
| FY24 | 83 |
| FY25 | 81 |
How many days of sales are sitting in stock. Rising inventory days often come before a downturn: chips are being made faster than they sell.
Show the data
| Period | Capital spending |
|---|---|
| Sep ’25 | 20.6% |
| Dec ’25 | 25.1% |
| Mar ’26 | 21.6% |
| Jun ’26 | 13.8% |
| Sep ’26 | 16.2% |
Money put into factories and equipment. Heavy spending late in an upswing can leave the industry with too much capacity when demand cools.
Inventory days: year-end inventory over that year's cost of revenue, times 365.
Customers and suppliers
In its latest annual report United Microelectronics buys from Shin-Etsu, GlobalWafers, Sumco and 4 more; sells to Texas Instruments, Intel, MediaTek and 2 more; one customer it does not name accounts for 11.8% of its revenue.
Their suppliers
Suppliers
UMCUnited MicroelectronicsCustomers
Partners
Unimicron Technology 3037.TWUnited Microelectronics invested in it · Receives capital investmentApproved capital injection of up to NT$700 million, December 17, 2025
IBM IBMPatent cross-licensingIntel INTCCross-license and jointly develop 12nm technology
DENSO 6902.TJointly works on automotive power semiconductor production
Cadence Design Systems CDNSCertifies analog/mixed-signal flow for 28HPC+ process
Broadcom AVGOPatent cross-licensingChanges since the previous annual report (20-F filed Apr 24, 2025)
Broadcom AVGONamed for the first time, as a partnerNamed in other companies’ filings
Intel INTCco-develops with it · Develops a 12 nm process platformShow the filing's words
| Company | Role | In the filing's words |
|---|---|---|
| IBM | partner · licensing deal with it | “In addition, we currently have patent cross-licensing agreements with several companies, including International Business Machines Corporation, or IBM.” |
| Intel | partner · licensing deal with it | “On January 25, 2024, we entered into a collaboration with Intel Corporation (the “Collaboration”), pursuant to which the parties agreed to jointly develop and commercialize new 12nm-related technology. In connection with the Collaboration, the parties granted each other certain IP licenses and rights necessary to carry out their respective obligations.” |
| Our largest customer from our wafer fabrication segment (unnamed) | customer | “Our largest customer from our wafer fabrication segment accounted for 13.1%, 10.4% and 11.8% of our operating revenues in 2023, 2024 and 2025, respectively.” |
| Shin-Etsu | supplier | “For example, we purchased a majority of our silicon wafers from Shin-Etsu Handotai Corporation, or Shin-Etsu, GlobalWafers, Sumco Group (including Sumco Corporation and Formosa Sumco Technology Corporation) and Soitec.” |
| GlobalWafers | supplier | “For example, we purchased a majority of our silicon wafers from Shin-Etsu Handotai Corporation, or Shin-Etsu, GlobalWafers, Sumco Group (including Sumco Corporation and Formosa Sumco Technology Corporation) and Soitec.” |
| Sumco | supplier | “For example, we purchased a majority of our silicon wafers from Shin-Etsu Handotai Corporation, or Shin-Etsu, GlobalWafers, Sumco Group (including Sumco Corporation and Formosa Sumco Technology Corporation) and Soitec.” |
| Formosa Sumco Technology | supplier | “For example, we purchased a majority of our silicon wafers from Shin-Etsu Handotai Corporation, or Shin-Etsu, GlobalWafers, Sumco Group (including Sumco Corporation and Formosa Sumco Technology Corporation) and Soitec.” |
| Soitec | supplier | “For example, we purchased a majority of our silicon wafers from Shin-Etsu Handotai Corporation, or Shin-Etsu, GlobalWafers, Sumco Group (including Sumco Corporation and Formosa Sumco Technology Corporation) and Soitec.” |
| Texas Instruments | customer | “Our primary customers, in terms of our sales revenues, include premier integrated device manufacturers, such as Texas Instruments and Intel, plus leading fabless design companies, such as MediaTek, Realtek and Novatek.” |
| Intel | customer | “Our primary customers, in terms of our sales revenues, include premier integrated device manufacturers, such as Texas Instruments and Intel, plus leading fabless design companies, such as MediaTek, Realtek and Novatek.” |
| MediaTek | customer | “Our primary customers, in terms of our sales revenues, include premier integrated device manufacturers, such as Texas Instruments and Intel, plus leading fabless design companies, such as MediaTek, Realtek and Novatek.” |
| Realtek | customer | “Our primary customers, in terms of our sales revenues, include premier integrated device manufacturers, such as Texas Instruments and Intel, plus leading fabless design companies, such as MediaTek, Realtek and Novatek.” |
| Novatek | customer | “Our primary customers, in terms of our sales revenues, include premier integrated device manufacturers, such as Texas Instruments and Intel, plus leading fabless design companies, such as MediaTek, Realtek and Novatek.” |
| 7V AI Capital | partner · United Microelectronics invested in it | “On February 27, 2024, our board approved capital injection of up to US$22 million in UMC Capital Corp. to participate in its capital increase. On the same date, the Board of UMC Capital Corp. approved the investment in 7V AI Capital LLC of not more than US$20 million.” |
| Faraday Technology | partner · United Microelectronics invested in it | “On March 22, 2024, our board approved capital injection of up to NT$800 million in Faraday Technology Corp. to participate in its capital increase.” |
| SiS Semiconductor (Shandong) | partner · United Microelectronics invested in it | “On April 2, 2024, the board of directors of our PRC subsidiary, Hejian, approved the disposal of its ownership in UnitedDS Semiconductor (Shandong) Co., Ltd. to SiS Semiconductor (Shandong) Co., Ltd., an associate of UMC, as part of its strategic plan.” |
| Fengmiao I | supplier | “On December 18, 2024, we entered into a corporate power purchase agreement (“CPPA”) with Fengmiao I Offshore Wind Farm (“Fengmiao I”), developed by Copenhagen Infrastructure Partners’ flagship fund, Copenhagen Infrastructure V. Pursuant to the CPPA, we agreed to purchase more than 30 billion kilowatt-hours of power from Fengmiao I over at least 30 years, marking the largest renewable energy transaction that we have ever made.” |
| Polar Semiconductor | partner | “On December 4, 2025, we signed a memorandum of understanding (“MOU”) with Polar Semiconductor, LLC to explore collaboration on delivering scalable U.S.-based 8-inch production of high-quality wafers that are essential across pillar industries including automotive, data centers, consumer electronics, and aerospace and defense.” |
| Unimicron Technology | partner · United Microelectronics invested in it | “On December 17, 2025, our board approved capital injection of up to NT$700 million in Unimicron Technology Corp. to participate in its capital increase.” |
| DENSO | partner | “Moreover, we expect to strengthen our leading position and increase our market share by collaborating with DENSO Corporation. In 2022, we agreed to jointly work on the production of power semiconductors at USJC’s 300mm fab to serve growing demand in the automotive market.” |
| Cadence Design Systems | partner · co-develops with it | “We and Cadence Design Systems collaborate on certification of analog/mixed-signal flow for 28HPC+ process.” |
| ASE Technology | supplier | “We outsource assembly and test services to leading assembly and test service providers, including Siliconware Precision Industries Co., Ltd., or Siliconware, and Advanced Semiconductor Engineering Inc. in Taiwan.” |
| Broadcom | partner · licensing deal with it | “We have entered into various patent cross-licenses with major technology companies, including a number of leading international semiconductor companies, such as IBM and Broadcom Inc.” |
| SIS | partner · United Microelectronics invested in it | “In August 2023, the board chairman of SIS changed and became the same person as the board chairman of UMC. After considering the comprehensive conditions, including ownership interest held and representation on Board of Directors of SIS, etc., the Company determines that it has significant influence over SIS and accounts for its investment in SIS as an associate.” |
| AMD (10-K filed Feb 4, 2026) | calls it a supplier | “Additionally, we utilize TSMC, United Microelectronics Corporation (UMC) and Samsung Electronics Co., Ltd. for the production of our ICs in the form of programmable logic devices.” |
| Intel (10-K filed Jan 23, 2026) | co-develops with it | “In 2024, we announced a strategic collaboration with UMC to develop a 12 nm process platform that expands our mature‐node process portfolio and strengthens our U.S.-based manufacturing foundry capabilities, with production expected to begin in 2027.” |
| MaxLinear (10-K filed Jan 29, 2026) | calls it a supplier | “Our key foundry partners include Taiwan Semiconductor Manufacturing Corporation, or TSMC, in Taiwan, and United Microelectronics Corporation, or UMC, in Taiwan and Singapore.” |
Only the companies United Microelectronics names in its 20-F filed Apr 30, 2026 (SEC). Named in other companies' filings: those whose own latest annual report or an 8-K since names United Microelectronics. The supply chain joins the latest annual reports of the companies on it and the 8-Ks they filed since: a link shows when either side's report names the other, so it grows as more reports are read. Hover a name for the filing's own words. Customers it does not name are listed as the filing describes them.
Is it expensive?
P/E of 14.9x, below the peer median of 21x, but earnings are expected to fall, so the discount may be deserved.
Priced 29% below the peer median of 21x.
Show the data
| Company | P/E (trailing) |
|---|---|
| AMD · Advanced Micro Devices, Inc. | 127× |
| AVGO · Broadcom Inc. | 46.5× |
| NVDA · NVIDIA Corporation | 21× |
| UMC · United Microelectronics Corporation | 14.9× |
| MU · Micron Technology, Inc. | 10.8× |
| SKHY · SK hynix Inc. | 8.8× |
What analysts expect
The average analyst price target is $17.20, 9% above the current price; 25% of 4 analysts rate it a buy; earnings beat estimates in 2 of the last 3 quarters.
Buy or Strong Buy: 1 analysts (25%). Sell or Strong Sell: 3.
Show the data
| Quarter | Estimate | Reported | Surprise |
|---|---|---|---|
| Dec ’25 | $0.13 | $0.13 | 0.0% |
| Mar ’26 | $0.13 | $0.20 | +53.8% |
| Jun ’26 | $0.16 | $0.52 | +225.0% |
For the quarter ending Dec 2026, analysts expect adjusted earnings of $0.21 a share, 65% more than the $0.13 of a year earlier. For the fiscal year ending Dec 2027, they expect adjusted earnings of $0.90 a share.
Adjusted. Dec 2025: $0.13; range $0.21 to $0.21; 1 analysts
Adjusted. The year to Dec 2026: $1.13 expected, with a quarter far from its estimate; range $0.86 to $0.94; 2 analysts
Show the data
| Period | Figure | Expected | Low to high | Analysts | A year earlier | Change |
|---|---|---|---|---|---|---|
| Quarter ending Dec 2026 | EPS (adjusted) | $0.21 | $0.21 to $0.21 | 1 | $0.13 (Dec 2025) | +65% |
| Year ending Dec 2026 | EPS (adjusted) | $1.13 | $1.13 to $1.14 | 2 | — | — |
| Year ending Dec 2027 | EPS (adjusted) | $0.90 | $0.86 to $0.94 | 2 | $1.13 (expected, year to Dec 2026) | — |
Targets, ratings and earnings estimates: Yahoo Finance. Expected figures: the average of the analysts' estimates (Yahoo Finance). Their EPS is adjusted, as analysts estimate it, so it is set against the adjusted EPS Yahoo reports for the same quarters, not the GAAP EPS of the growth and valuation sections; revenue against the SEC filings. No change is given against a quarter whose reported EPS was more than 50% off its own estimate (often a one-off gain or charge), nor against a year that counts one. Each estimate is pinned to its fiscal period by the report date or the period's end, and one that cannot be is left out.
Where the cash goes
Generated TWD 68.5B in free cash flow over the year, with no dividends and no buybacks. All of the cash stays in the company.
Show the data
| Line | Amount |
|---|---|
| Op. cash flow | TWD 118.7B |
| Capex | −TWD 50.2B |
| Free cash flow | TWD 68.5B |
| Dividends | — |
| Buybacks | — |
| Cash retained | TWD 68.5B |
Free cash flow: operating cash flow minus capital spending. Last 4 quarters: Yahoo Finance, buybacks from SEC filings where they have the quarter.
Financial health
Current ratio 2.3, no pressure to repay short-term debt; debt-to-equity 0.1, debt is very low and the balance sheet is solid.
Assets that can be turned into cash soon are 2.3x what is owed within a year. 1.5 or higher is comfortable; below 1 needs watching.
For every $1 of shareholder funds, there is $0.1 of debt (leases not counted). The higher the number, the more pressure when the economy weakens.
Cash and short-term investments of TWD 128.4B against debt of TWD 53.8B. Lease obligations of TWD 6.0B are not counted: they are rent owed, not money borrowed. It also holds TWD 63.6B of long-term investments, TWD 9.1B of them securities it could sell.
Latest fiscal year balance sheet. Source: Yahoo Finance.
Who holds it
In the filings of 2 funds whose copy leaves UMC out (on the exchange, not in the app yet): Maverick Capital, Mirae Asset Global Investments.
What did the funds Hunch tracks do?
Of the 83 funds whose 13F filings Hunch reads, 4 held UMC at the end of their latest quarter (for most, Q2 2026). Over that quarter 2 added shares, 2 bought new and 1 sold all. The largest of them is Nomura Holdings, 813,901 shares worth $22.1M at Jun 30, 2026.
2 of them new holders
1 of them sold all
Show every fund
| Fund | Quarter | Shares | Value | Change in shares | Change | Filed |
|---|---|---|---|---|---|---|
| Nomura Holdings | Q2 2026 | 813,901 | $22.1M | +813,901 | New | Aug 14, 2026 |
| Mirae Asset Global Investments | Q3 2026 | 153,404 | $3.8M | +40,834 | +36% | Nov 3, 2026 |
| Bridgewater Associates | Q2 2026 | 0 | — | −134,029 | Sold all | Aug 14, 2026 |
| Maverick Capital | Q2 2026 | 28,759 | $783K | +28,759 | New | Aug 14, 2026 |
| Tudor Investment Corp Et Al | Q2 2026 | 21,902 | $596K | +4,335 | +25% | Aug 14, 2026 |
From the 13F filings of the 83 funds Hunch tracks, not of every institution: each fund's shares of UMC at its latest quarter end against the quarter before, as filed (long positions only, options left out), the quarter before put on the latest quarter's share count across a split. A fund files 45 days after its quarter ends, so some have a newer quarter than others. Value is at the quarter end.
Are insiders buying or selling?
Officers and directors sold $526M of UMC on the open market in the 12 months to Nov 12, 2026; none bought. The largest was Chitung Liu (CFO & SVP), who sold $523M in 3 sales.
5 sales
0 purchases
Share of the sales' value
Show every trade
| Date | Insider | Role | Trade | Shares | Price | Value | Filed |
|---|---|---|---|---|---|---|---|
| Sep 22, 2026 | Jen-Tsung Lin | Vice President | Sale | 10,000 | $163.00 (other basis) | $1.6M | Sep 22, 2026 |
| Sep 17, 2026 | Chitung Liu | CFO & SVP | Sale | 400,000 | $145.00 (other basis) | $58.0M | Sep 17, 2026 |
| Sep 16, 2026 | Chitung Liu | CFO & SVP | Sale | 1.20M | $142.33 (other basis) | $171M | Sep 17, 2026 |
| Jul 13, 2026 | Chitung Liu | CFO & SVP | Sale | 1.90M | $154.89 (other basis) | $294M | Jul 13, 2026 |
| Jun 30, 2026 | Che-Jen Hu | Vice President | Sale | 10,000 | $171.30 (other basis) | $1.7M | Jun 30, 2026 |
From the Form 4s filed with the SEC about United Microelectronics Corporation (5 in the 12 months): purchases (code P) and sales (code S) on the open market by its officers and directors, at the price each filing gives (often an average of the day's trades). A sale is a 10b5-1 sale when its filing says it was made under such a plan, set up in advance. Not counted: 2 other transactions (other transfers). 5 trades marked “other basis” were filed at a price several times away from that day's close of UMC, in another share basis than the one it trades in (ordinary shares where UMC trades as American depositary shares, or a split this page does not know): their values are as filed, but the chart leaves them out and their shares are not comparable with the others'.