UNITED MICROELECTRON-SP ADR (UMC) Stock Fundamental Analysis
NYSE:UMC - New York Stock Exchange, Inc. - US9108734057 - ADR - Currency: USD
Overall UMC gets a fundamental rating of 5 out of 10. We evaluated UMC against 110 industry peers in the Semiconductors & Semiconductor Equipment industry. While UMC has a great profitability rating, there are some minor concerns on its financial health. UMC is valied quite expensively at the moment, while it does show a decent growth rate. UMC also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
UMC had positive earnings in each of the past 5 years.
UMC had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
UMC has a better Return On Assets (7.77%) than 77.27% of its industry peers.
Looking at the Return On Equity, with a value of 11.40%, UMC is in the better half of the industry, outperforming 73.64% of the companies in the same industry.
UMC has a Return On Invested Capital of 8.36%. This is in the better half of the industry: UMC outperforms 76.36% of its industry peers.
The Average Return On Invested Capital over the past 3 years for UMC is above the industry average of 11.29%.
The last Return On Invested Capital (8.36%) for UMC is well below the 3 year average (13.31%), which needs to be investigated, but indicates that UMC had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.77% | ||
| ROE | 11.4% | ||
| ROIC | 8.36% |
ROA(3y)11.85%
ROA(5y)11.06%
ROE(3y)18.5%
ROE(5y)17.55%
ROIC(3y)13.31%
ROIC(5y)11.57%
1.3 Margins
UMC has a better Profit Margin (18.91%) than 80.91% of its industry peers.
UMC's Profit Margin has improved in the last couple of years.
UMC has a Operating Margin of 21.09%. This is amongst the best in the industry. UMC outperforms 82.73% of its industry peers.
UMC's Operating Margin has improved in the last couple of years.
UMC has a Gross Margin of 31.50%. This is in the lower half of the industry: UMC underperforms 68.18% of its industry peers.
UMC's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 21.09% | ||
| PM (TTM) | 18.91% | ||
| GM | 31.5% |
OM growth 3Y-2.85%
OM growth 5Y47.32%
PM growth 3Y-8.1%
PM growth 5Y25.41%
GM growth 3Y-1.25%
GM growth 5Y17.76%
2. Health
2.1 Basic Checks
UMC has more shares outstanding than it did 1 year ago.
UMC has more shares outstanding than it did 5 years ago.
UMC has a better debt/assets ratio than last year.
2.2 Solvency
UMC has a debt to FCF ratio of 3.36. This is a good value and a sign of high solvency as UMC would need 3.36 years to pay back of all of its debts.
With a Debt to FCF ratio value of 3.36, UMC perfoms like the industry average, outperforming 59.09% of the companies in the same industry.
UMC has a Debt/Equity ratio of 0.15. This is a healthy value indicating a solid balance between debt and equity.
UMC's Debt to Equity ratio of 0.15 is in line compared to the rest of the industry. UMC outperforms 50.91% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.15 | ||
| Debt/FCF | 3.36 | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
UMC has a Current Ratio of 2.64. This indicates that UMC is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 2.64, UMC is in line with its industry, outperforming 43.64% of the companies in the same industry.
A Quick Ratio of 2.15 indicates that UMC has no problem at all paying its short term obligations.
Looking at the Quick ratio, with a value of 2.15, UMC is in line with its industry, outperforming 50.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.64 | ||
| Quick Ratio | 2.15 |
3. Growth
3.1 Past
UMC shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -19.59%.
Measured over the past years, UMC shows a very strong growth in Earnings Per Share. The EPS has been growing by 37.18% on average per year.
Looking at the last year, UMC shows a small growth in Revenue. The Revenue has grown by 5.64% in the last year.
Measured over the past years, UMC shows a quite strong growth in Revenue. The Revenue has been growing by 9.41% on average per year.
EPS 1Y (TTM)-19.59%
EPS 3Y-5.91%
EPS 5Y37.18%
EPS Q2Q%-25.3%
Revenue 1Y (TTM)5.64%
Revenue growth 3Y2.93%
Revenue growth 5Y9.41%
Sales Q2Q%5.91%
3.2 Future
UMC is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 14.62% yearly.
UMC is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 11.60% yearly.
EPS Next Y-5.62%
EPS Next 2Y4.85%
EPS Next 3Y7.95%
EPS Next 5Y14.62%
Revenue Next Year6.94%
Revenue Next 2Y7.26%
Revenue Next 3Y7.65%
Revenue Next 5Y11.6%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
The decent profitability rating of UMC may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y4.85%
EPS Next 3Y7.95%
5. Dividend
5.1 Amount
UMC has a Yearly Dividend Yield of 5.75%, which is a nice return.
Compared to an average industry Dividend Yield of 2.61, UMC pays a better dividend. On top of this UMC pays more dividend than 98.18% of the companies listed in the same industry.
UMC's Dividend Yield is rather good when compared to the S&P500 average which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.75% |
5.2 History
The dividend of UMC is nicely growing with an annual growth rate of 38.65%!
UMC has been paying a dividend for at least 10 years, so it has a reliable track record.
UMC has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)38.65%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
UMC pays out 84.40% of its income as dividend. This is not a sustainable payout ratio.
The dividend of UMC is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP84.4%
EPS Next 2Y4.85%
EPS Next 3Y7.95%
7.7
-0.1 (-1.28%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners45.16%
Inst Owner Change-5.35%
Ins Owners0.39%
Ins Owner ChangeN/A
Market Cap19.34B
Analysts68.75
Price Target7.6 (-1.3%)
Short Float %2.99%
Short Ratio4.56
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.75% |
Yearly DividendN/A
Dividend Growth(5Y)38.65%
DP84.4%
Div Incr Years4
Div Non Decr Years4
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-23.12%
Min EPS beat(2)-30.13%
Max EPS beat(2)-16.11%
EPS beat(4)2
Avg EPS beat(4)-6.23%
Min EPS beat(4)-30.13%
Max EPS beat(4)20.24%
EPS beat(8)5
Avg EPS beat(8)2.64%
EPS beat(12)7
Avg EPS beat(12)2.86%
EPS beat(16)10
Avg EPS beat(16)5.13%
Revenue beat(2)0
Avg Revenue beat(2)-1.49%
Min Revenue beat(2)-1.74%
Max Revenue beat(2)-1.23%
Revenue beat(4)0
Avg Revenue beat(4)-1.54%
Min Revenue beat(4)-1.74%
Max Revenue beat(4)-1.23%
Revenue beat(8)2
Avg Revenue beat(8)-0.95%
Revenue beat(12)4
Avg Revenue beat(12)-0.75%
Revenue beat(16)6
Avg Revenue beat(16)-0.6%
PT rev (1m)9.2%
PT rev (3m)27.13%
EPS NQ rev (1m)8.61%
EPS NQ rev (3m)7.83%
EPS NY rev (1m)0.77%
EPS NY rev (3m)-2.53%
Revenue NQ rev (1m)2.23%
Revenue NQ rev (3m)2.24%
Revenue NY rev (1m)0.23%
Revenue NY rev (3m)-0.54%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A | ||
| P/S | N/A | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | N/A |
EPS(TTM)N/A
EYN/A
EPS(NY)N/A
Fwd EYN/A
FCF(TTM)N/A
FCFYN/A
OCF(TTM)N/A
OCFYN/A
SpSN/A
BVpSN/A
TBVpSN/A
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.77% | ||
| ROE | 11.4% | ||
| ROCE | 9.93% | ||
| ROIC | 8.36% | ||
| ROICexc | 10.86% | ||
| ROICexgc | 10.97% | ||
| OM | 21.09% | ||
| PM (TTM) | 18.91% | ||
| GM | 31.5% | ||
| FCFM | 8.66% |
ROA(3y)11.85%
ROA(5y)11.06%
ROE(3y)18.5%
ROE(5y)17.55%
ROIC(3y)13.31%
ROIC(5y)11.57%
ROICexc(3y)20.74%
ROICexc(5y)18.11%
ROICexgc(3y)21.06%
ROICexgc(5y)18.41%
ROCE(3y)15.8%
ROCE(5y)13.74%
ROICexcg growth 3Y-17.56%
ROICexcg growth 5Y42.58%
ROICexc growth 3Y-17.4%
ROICexc growth 5Y42.98%
OM growth 3Y-2.85%
OM growth 5Y47.32%
PM growth 3Y-8.1%
PM growth 5Y25.41%
GM growth 3Y-1.25%
GM growth 5Y17.76%
F-Score5
Asset Turnover0.41
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.15 | ||
| Debt/FCF | 3.36 | ||
| Debt/EBITDA | 0.56 | ||
| Cap/Depr | 148.77% | ||
| Cap/Sales | 32.47% | ||
| Interest Coverage | 36.71 | ||
| Cash Conversion | 95.84% | ||
| Profit Quality | 45.8% | ||
| Current Ratio | 2.64 | ||
| Quick Ratio | 2.15 | ||
| Altman-Z | N/A |
F-Score5
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)203.18%
Cap/Depr(5y)154.73%
Cap/Sales(3y)37.1%
Cap/Sales(5y)30.16%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-19.59%
EPS 3Y-5.91%
EPS 5Y37.18%
EPS Q2Q%-25.3%
EPS Next Y-5.62%
EPS Next 2Y4.85%
EPS Next 3Y7.95%
EPS Next 5Y14.62%
Revenue 1Y (TTM)5.64%
Revenue growth 3Y2.93%
Revenue growth 5Y9.41%
Sales Q2Q%5.91%
Revenue Next Year6.94%
Revenue Next 2Y7.26%
Revenue Next 3Y7.65%
Revenue Next 5Y11.6%
EBIT growth 1Y-9.41%
EBIT growth 3Y0%
EBIT growth 5Y61.17%
EBIT Next Year106.14%
EBIT Next 3Y36.15%
EBIT Next 5Y31.96%
FCF growth 1Y-49.96%
FCF growth 3Y-60.29%
FCF growth 5Y-41.19%
OCF growth 1Y-32.11%
OCF growth 3Y1.28%
OCF growth 5Y11.32%