United Microelectronics (UMC) Released Q2 2025 Results, Utilization Rate Rises to 76%

United Microelectronics Corporation (NYSE:UMC) is one of the Best Semiconductor Stocks to Buy Under $20. On July 30, the company released its Q2 2025 results, with the utilization rate rising to 76% as wafer shipments rose 6.2% QoQ. This was mainly because of communications in imaging signal processors, NAND controllers, WiFi, and LCD controllers. Revenue from United Microelectronics Corporation (NYSE:UMC)’s 22/28nm portfolio grew sequentially, now making up for 40% of the total sales.

United Microelectronics Corporation (NYSE:UMC)’s industry-leading 22/28nm solutions have been winning adoption by customers, and it expects to see further market share gains in wireless communications over the upcoming quarters. With the right differentiation, 22/28nm happens to be a strong and long-lasting node with a strong product pipeline. Furthermore, the new Phase 3 facility at the company’s Singapore Fab 12i, set to begin production in 2026, is expected to allow United Microelectronics Corporation (NYSE:UMC) to better serve customers who look for diversified manufacturing for enhanced supply chain resilience.

For Q3 2025, United Microelectronics Corporation (NYSE:UMC) expects its wafer shipment to increase by a low single-digit percentage, and its capacity utilization rate will be in the mid-70% range.

United Microelectronics Corporation (NYSE:UMC) operates as a semiconductor wafer foundry.

While we acknowledge the potential of UMC as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

READ NEXT: 13 Cheap AI Stocks to Buy According to Analysts and 11 Unstoppable Growth Stocks to Invest in Now

Disclosure: None. This article is originally published at Insider Monkey.