United MicroelectronicsTPE:2303 -2.07%73 Pretax Margin % is 27.27% as of Mar. 2026, which is 65% above its 10-year median of 16.50. GuruFocus rates TPE:2303 with a GF Score™ of 73/100 and a GF Value™ of NT$50.90 (Significantly Overvalued). The stock has 9 warning signs investors should review. Among 1,021 Semiconductors companies, United Microelectronics ranks better than 84.72% on this metric.
The historical rank and industry rank for United Microelectronics's Pretax Margin % or its related term are showing as below:
TPE:2303'
s Pretax Margin % Range Over the Past 10 Years
Min: 1.4 Med: 16.5 Max: 39.33
Current: 23
TPE:2303's Pretax Margin % is ranked better than 84.72% of 1021
companies
in the Semiconductors industry
Industry Median: 5.07
vs TPE:2303: 23.00
United Microelectronics (TPE:2303) Pretax Margin % Explanation
The pretax margin, as know as pretax profit margin, is widely used to measure the operating efficiency of a company before deducting taxes.
The pretax margin is sometimes preferred over the net margin as tax expenditures can make profitability comparisons between companies misleading.
It is a useful tool to compare companies operating in the same sector and less effective when comparing companies from other sectors as each industry generally has different operating expenses and sales patterns.
The long term trend of the pretax margin is a good indicator of the competitiveness and health of the business.
United Microelectronics Pretax Margin % Related Terms
United Microelectronics Pretax Margin % Historical Data
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
TPE:2303 vs NVDA, AVGO, MU: Pretax Margin % Comparison
For the Semiconductors subindustry, United Microelectronics's Pretax Margin %, along with its competitors' market caps and Pretax Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
United Microelectronics Pretax Margin % vs Semiconductors Industry
For the Semiconductors industry and Technology sector, United Microelectronics's Pretax Margin % distribution charts can be found below:
* The bar in red indicates where United Microelectronics's Pretax Margin % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
United Microelectronics (TPE:2303) has a Pretax Margin % of 27.27% as of Mar. 2026. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on United Microelectronics and its competitors. This is 65% above median its historical median of 16.50. Over the past decade, United Microelectronics' Pretax Margin % has ranged from 1.40 to 39.33. According to the industry distribution chart, United Microelectronics ranks #156 out of 1021 companies in the Semiconductors industry, placing it in the top 15.3%.
Is United Microelectronics' Pretax Margin % too high?
United Microelectronics' current Pretax Margin % of 27.27% is 65% above median its 10-year median of 16.50. Over the past 10 years, this metric has ranged from a low of 1.40 to a high of 39.33. The Semiconductors industry median Pretax Margin % is 5.07. United Microelectronics' value of 27.27% is 437.9% above this industry median. Based on the distribution chart, United Microelectronics ranks #156 out of 1021 companies in the Semiconductors industry, which is in the top quartile — a strong position relative to peers. Overall, United Microelectronics has a GF Score™ of 73/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does United Microelectronics' Pretax Margin % compare to NVDA and AVGO?
According to the Semiconductors industry distribution chart, United Microelectronics ranks #156 out of 1021 companies for Pretax Margin %. This places United Microelectronics in the top 15% of its industry — outperforming the majority of peers. The industry median Pretax Margin % is 5.07. United Microelectronics' value of 27.27% is 437.9% above this benchmark. Historically, United Microelectronics' own Pretax Margin % has ranged from 1.40 to 39.33 over the past decade. While the company's 10-year median is 16.50 vs. the industry median of 5.07, United Microelectronics has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Pretax Margin % for a Semiconductors company?
The median Pretax Margin % among Semiconductors companies is 5.07, based on 1,021 companies in the industry. Companies in the top quartile (top 25%) have a Pretax Margin % significantly above this median, while those in the bottom quartile fall well below. However, Pretax Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. United Microelectronics's current Pretax Margin % of 27.27% is 437.9% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Pretax Margin % mean?
A high Pretax Margin % can signal that a stock is expensive relative to its fundamentals. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on United Microelectronics and its competitors. For the Semiconductors industry, the median Pretax Margin % is 5.07 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. United Microelectronics's current Pretax Margin % is 27.27%, which is 65% above median its own 10-year median of 16.50. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is United Microelectronics stock overvalued right now?
Based on GuruFocus' analysis, United Microelectronics (TPE:2303) is currently considered Significantly Overvalued. The stock's GF Value™ is NT$50.90, compared to a current price of NT$165.50 — trading 225.1% above its estimated fair value. The current Pretax Margin % is 27.27%, which is 65% above median its 10-year median of 16.50 and 437.9% above the Semiconductors industry median of 5.07. United Microelectronics' overall GF Score™ is 73/100 with 9 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Pretax Margin % calculated?
Pretax Margin % is calculated from a company's financial statements. For United Microelectronics (TPE:2303), the current Pretax Margin % is 27.27% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is United Microelectronics (TPE:2303) Overvalued in 2026?
Based on GuruFocus' analysis, United Microelectronics stock appears to be overvalued.
The current stock price of NT$165.50 is trading 225.1% above its estimated GF Value™ of NT$50.90.
GuruFocus considers United Microelectronics to be Significantly Overvalued.
Key valuation signals for TPE:2303:
Pretax Margin %: 27.27% (65% above median its 10-year median of 16.50)
GF Value™: NT$50.90 vs. price of NT$165.50 (225.1% above fair value)
Industry Position: 437.9% above the Semiconductors median (#156 of 1021)
No single metric tells the full story. See the TPE:2303 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Founded in 1980, United Microelectronics is the world's third-largest dedicated chip foundry, with close to 5% market share in 2025 after TSMC and SMIC. UMC's headquarters are in Hsinchu, Taiwan, and it operates 12 fabs in Taiwan, Mainland China, Japan and Singapore, with additional sales offices in Europe, the US, and South Korea. UMC features a diverse customer base that includes Texas Instruments, MediaTek, Intel, Broadcom, Novatek, and Realtek, supplying a wide range of products applied in communications, display, memory, automotive and more. UMC employs about 19,000 people as of February 2025.
73GF Score
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