A semiconductor device includes first, a second, and third semiconductor layers respectively made of a nitride semiconductor and stacked on a substrate, a drain electrode formed on the third semiconductor layer, a gate electrode formed on the third semiconductor layer, and a source electrode formed within an opening penetrating the third and second semiconductor layers and exposing the first semiconductor layer. The source electrode includes a first conductor layer in contact with the first semiconductor layer, and a second conductor layer stacked on the first conductor layer and in contact with the second semiconductor layer. A work function of a material forming the first conductor layer is smaller than that of a material forming the second conductor layer.