UMC downgraded to Underweight from Neutral at JPMorgan

JPMorgan analyst Gokul Hariharan downgraded UMC (UMC) to Underweight from Neutral with a price target of NT$50, up from NT$41. The firm warns that the stock’s recent 50% rally is unlikely to be met by strong EPS upgrades led by price increases or utilization improvement, the analyst tells investors in a research note. With 70% exposure to communications and consumer, UMC will not see a steady utilization ramp into the second half of FY26 given the weaker demand outlook for PC and smartphone segments, JPMorgan added.