United Microelectronics (NYSE:UMC) Issues Earnings Results, Beats Expectations By $0.08 EPS

United Microelectronics (NYSE:UMC) posted its quarterly earnings results on Wednesday. The semiconductor company reported $0.20 earnings per share for the quarter, beating analysts’ consensus estimates of $0.12 by $0.08, FiscalAI reports. United Microelectronics had a return on equity of 11.45% and a net margin of 17.60%.The business had revenue of $1.91 billion for the quarter, compared to analysts’ expectations of $1.96 billion.

Here are the key takeaways from United Microelectronics’ conference call:

• Q1 results: consolidated revenue was TWD 61.04 billion with a 29.2% gross margin, while net income rose to TWD 16.17 billion (up ~50% QoQ) largely helped by non‑operating income, indicating some earnings quality caveats.
• Q2 guidance is upbeat: wafer shipments expected to rise by high single digits, ASP (USD) up low single digits, gross margin around ~30%, and utilization targeted in the low‑80% range.
• Technology momentum: 22nm revenue hit a record (~14% of sales) with >50 customers slated to complete tape‑outs this year, and strategic projects include the 12nm collaboration (Intel) and a Silicon Photonics PDK v1.0 targeted for 2027.
• Margin pressure persists as higher depreciation from the Singapore 12‑inch ramp plus rising raw materials, energy and logistics costs are expected to offset much of the benefit from higher shipments, keeping gross margins constrained.
• Balance sheet and capital discipline: total equity ~TWD 406 billion, cash on hand >TWD 100 billion, and management expects 2026 cash CapEx to remain around TWD 1.5 billion.

United Microelectronics Stock Up 9.0%

UMC opened at $12.72 on Thursday. The company has a current ratio of 2.34, a quick ratio of 1.91 and a debt-to-equity ratio of 0.12. The stock has a market cap of $31.94 billion, a PE ratio of 23.55, a price-to-earnings-growth ratio of 6.21 and a beta of 1.16. The stock’s fifty day simple moving average is $10.05 and its 200 day simple moving average is $9.00. United Microelectronics has a 1-year low of $6.56 and a 1-year high of $13.39.

Institutional Inflows and Outflows

Several large investors have recently added to or reduced their stakes in UMC. Jones Financial Companies Lllp increased its position in United Microelectronics by 1,794.6% during the 1st quarter. Jones Financial Companies Lllp now owns 62,656 shares of the semiconductor company’s stock worth $448,000 after buying an additional 59,349 shares during the period. Goldman Sachs Group Inc. increased its position in United Microelectronics by 10.5% during the 1st quarter. Goldman Sachs Group Inc. now owns 5,655,721 shares of the semiconductor company’s stock worth $40,438,000 after buying an additional 537,777 shares during the period. Sivia Capital Partners LLC increased its position in United Microelectronics by 25.8% during the 2nd quarter. Sivia Capital Partners LLC now owns 29,408 shares of the semiconductor company’s stock worth $225,000 after buying an additional 6,028 shares during the period. Legal & General Group Plc bought a new position in United Microelectronics during the 2nd quarter worth $108,000. Finally, Franklin Resources Inc. increased its position in United Microelectronics by 37.9% during the 2nd quarter. Franklin Resources Inc. now owns 24,735 shares of the semiconductor company’s stock worth $189,000 after buying an additional 6,793 shares during the period. Institutional investors own 5.05% of the company’s stock.

Trending Headlines about United Microelectronics

Here are the key news stories impacting United Microelectronics this week:

• Positive Sentiment: Q1 EPS beat and healthy profitability — UMC reported $0.20 EPS vs. $0.12 consensus, with a 29.2% gross margin and net margin roughly 17.6%, which signals stronger-than-expected profitability even as revenue was roughly flat q/q. UMC Q1 results / slide deck
• Positive Sentiment: Profit growth and potential US capacity option — reporting outlets note UMC’s profit roughly doubled and management highlighted an Intel-backed U.S. manufacturing option, which supports upside from higher-margin mix and potential strategic expansion in the U.S. UMC profit doubles, touts Intel-backed US manufacturing option
• Positive Sentiment: Analyst upgrade — Zacks upgraded UMC to a Rank #2 (Buy), reflecting growing optimism around near-term earnings, which can attract momentum and funds that follow sell-side signals. All You Need to Know About United Microelectronics (UMC) Rating Upgrade to Buy
• Neutral Sentiment: Quarterly results detail — Business Wire filing: Q1 revenue NT$61.04B (down 1.2% q/q, +5.5% y/y) and consolidated results were filed in Form 6‑K; useful for modeling but not a surprise driver by itself. UMC Reports First Quarter 2026 Results
• Neutral Sentiment: Earnings call materials available — The company released its earnings presentation and the full call transcript; investors should review management commentary for guidance and demand trends. United Microelectronics Corporation 2026 Q1 – Results – Earnings Call Presentation UMC Q1 2026 Earnings Call Transcript
• Negative Sentiment: Revenue slightly missed street estimate — Q1 revenue of $1.91B missed the $1.96B consensus, signaling near-term top-line softness even as EPS beat; investors worried about sustainable revenue growth may remain cautious. MarketBeat Q1 summary

Analysts Set New Price Targets

A number of equities research analysts recently weighed in on the company. BNP Paribas Exane upgraded United Microelectronics from an “underperform” rating to a “neutral” rating and set a $8.60 price target on the stock in a research note on Tuesday, March 31st. JPMorgan Chase & Co. restated an “underweight” rating on shares of United Microelectronics in a research note on Thursday, January 29th. Two analysts have rated the stock with a Hold rating and three have assigned a Sell rating to the company. Based on data from MarketBeat, the stock currently has an average rating of “Strong Sell” and an average target price of $8.60.

About United Microelectronics

United Microelectronics Corporation (UMC) is a Taiwan-based semiconductor foundry that provides wafer fabrication and related manufacturing services to a global customer base. Founded in 1980, the company operates as a pure-play foundry, producing integrated circuits for a range of customers including fabless semiconductor companies and integrated device manufacturers. UMC is publicly listed (NYSE: UMC) and focuses on high-reliability manufacturing rather than branding consumer products.

UMC’s core services encompass wafer fabrication using a portfolio of process technologies, with particular emphasis on mature and specialty nodes that support analog, power-management, radio-frequency (RF), and mixed-signal applications.