United Microelectronics Corp
2303: XTAI (TWN)
Morningstar Rating for Stocks | Fair Value | Economic Moat | Capital Allocation |
---|---|---|---|
TWD 74.00 | Cwlt | Vcrrxtjt |
UMC Earnings: Profitability Topped Expectations; Automotive and Industrial Softness Soon to End
Our fair value estimate for United Microelectronics stays at TWD 70 per share after lifting 2024 gross margin assumptions in line with guidance. Our outer-year estimates are little changed. UMC’s shares are attractive, as short-term headwinds in automotive are easing. We are impressed with UMC’s ability to manage downcycles, which remains underappreciated.