UMC stock price slipped to $8.41, with selling pressure following weak smartphone sales figures in Asia. Market watchers believe inventory normalization may take another quarter before recovery momentum resumes. United Microelectronics UMC shares have lost 19.9% in the year-to-date period against the Zacks Electronics - Semiconductors industry’s rise of 44.3% and the broader Zacks Computer & Technology sector’s return of 27.4%. UMC has also underperformed its peers, such as Toshiba and Taiwan Semiconductor TSM, which offer similar semiconductor manufacturing services. Taiwan Semiconductor has returned 83.5% YTD, whereas Toshiba has lost 7.9% over the same time frame. The underperformance can be attributed to intense competition in the semiconductor foundry service market, rising supply-chain constraints due to geopolitical tensions and higher inflationary costs. Right now, United Microelectronics Corporation is sporting a Zacks Rank of #2 (Buy), while Nova Ltd. has a Zacks Rank of #3 (Hold). This means that UMC's earnings estimate revision activity has been more impressive, so investors should feel comfortable with its improving analyst outlook. But this is just one piece of the puzzle for value investors. UMC stock price settled at $8.46 as investors digest recent manufacturing PMI data. Macro headwinds may cap upside near-term, yet analysts project a gradual recovery through Q
