Why United Microelectronics Stock Popped Today
Shares of United Microelectronics (NYSE: UMC) have popped today, up by 15% as of 11:20 a.m. EST, following a report from DIGITIMES suggesting that the company and larger rival Taiwan Semiconductor would see strong capacity utilization for a specific production process in the quarters ahead. Both semiconductor companies should be able to maintain full capacity utilization for 28-nanometer manufacturing at each company's respective 8-inch and 12-inch fabrication facilities, known as fabs, through the third quarter of 2021, according to the report. Gross margins for that production node are expected to reach new highs thanks to strong demand from customers.
