← Quality Momentum
QM · rank #7 · 2026-10-21
UMC
NYSE · $52.47B (USD)
SignalStrong Buy4.8strength 4.8 / 10
verdict · PROCEED
The exact numbers the algorithm saw.
| Momentum 12-1 Return from 12 months ago to 1 month ago. | +256.16% |
|---|---|
| ROE TTM Return on equity, trailing 12 months. | +21.3% |
| Profit margin Net profit margin, trailing 12 months. | +33.3% |
| Market cap (USD) Size filter: > $500M required. | $52.47B |
| Anchor (recent) Close on 2026-09-21 | $25.43 |
| Anchor (far) Close on 2025-09-19 | $7.14 |
The AI research card
Independent qualitative review of each pick before the order is placed. On the rare day the research service is unavailable, the paper book trades on the quant ranking alone and no card appears here.
Summary
United Microelectronics (UMC) is a top-three global pure-play semiconductor foundry specializing in mature and specialty nodes, including 22/28nm processes and silicon-photonics platforms.
Rationale
UMC's strong ROE (21.3%), robust profit margins (33.3%), and accelerating Q3 utilization (>90%) reinforce the quality_momentum signal as wafer shipments recover.
Material risks
- 1Margin erosion and ASP pressure from rapidly expanding state-subsidized Chinese mature-node foundry capacity.
- 2Event risk ahead of the October 28, 2026 Q3 earnings report and potential qualification delays in scaling silicon-photonics production.
AI verdict council
Each pick is reviewed independently by 3 models before any order. 2 of 3 voted to proceed.
OpenAI
Proceed
Claude
Caution
Gemini
Proceed