United Microelectronics (NYSE:UMC) Trading 6.5% Higher – Still a Buy?

Shares of United Microelectronics Corporation (NYSE:UMC) rose 6.5% on Friday . The stock traded as high as $20.78 and last traded at $20.31. Approximately 3,660,342 shares changed hands during trading, a decline of 73% from the average session volume of 13,589,542 shares. The stock had previously closed at $19.07.

Wall Street Analysts Forecast Growth

A number of equities analysts have commented on UMC shares. Wall Street Zen raised shares of United Microelectronics from a “hold” rating to a “buy” rating in a research note on Saturday, July 25th. Weiss Ratings upgraded United Microelectronics from a “hold (c)” rating to a “hold (c+)” rating in a report on Thursday, July 30th. Arete Research raised United Microelectronics from a “neutral” rating to a “buy” rating in a research note on Monday, August 10th. Zacks Research raised United Microelectronics from a “hold” rating to a “strong-buy” rating in a research report on Tuesday, July 28th. Finally, BNP Paribas Exane reaffirmed an “underperform” rating on shares of United Microelectronics in a research note on Thursday, May 28th. One investment analyst has rated the stock with a Strong Buy rating, one has given a Buy rating, one has assigned a Hold rating and three have given a Sell rating to the stock. According to data from MarketBeat, United Microelectronics has an average rating of “Hold” and a consensus price target of $8.60.

United Microelectronics Stock Up 3.1%

The business has a 50-day simple moving average of $21.68 and a 200-day simple moving average of $16.32. The company has a debt-to-equity ratio of 0.10, a quick ratio of 1.81 and a current ratio of 2.17. The company has a market cap of $49.52 billion, a price-to-earnings ratio of 18.38, a price-to-earnings-growth ratio of 0.45 and a beta of 1.60.

United Microelectronics (NYSE:UMC) last announced its quarterly earnings results on Tuesday, June 30th. The semiconductor company reported $0.53 earnings per share (EPS) for the quarter. The company had revenue of $2.16 billion during the quarter. United Microelectronics had a return on equity of 21.00% and a net margin of 33.18%. On average, equities analysts anticipate that United Microelectronics Corporation will post 1.23 earnings per share for the current fiscal year.

United Microelectronics Increases Dividend

The company also recently disclosed an annual dividend, which was paid on Thursday, August 6th. Shareholders of record on Wednesday, July 8th were paid a $0.4122 dividend. This is an increase from United Microelectronics’s previous annual dividend of $0.37. This represents a yield of 166.0%. The ex-dividend date was Wednesday, July 8th. United Microelectronics’s dividend payout ratio (DPR) is presently 28.97%.

Hedge Funds Weigh In On United Microelectronics

A number of institutional investors have recently modified their holdings of UMC. Continuum Advisory LLC purchased a new position in United Microelectronics during the 2nd quarter worth $28,000. CoreCap Advisors LLC grew its holdings in shares of United Microelectronics by 271.0% during the second quarter. CoreCap Advisors LLC now owns 1,369 shares of the semiconductor company’s stock worth $37,000 after buying an additional 1,000 shares during the last quarter. Trust Co. of Vermont purchased a new position in United Microelectronics during the second quarter worth about $41,000. Strategic Investment Solutions Inc. IL purchased a new stake in shares of United Microelectronics during the second quarter worth about $76,000. Finally, Smartleaf Asset Management LLC acquired a new position in United Microelectronics during the 2nd quarter worth approximately $27,000. 5.05% of the stock is owned by institutional investors and hedge funds.

United Microelectronics Company Profile

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.