Unity Software (NYSE:U) Shares Gap Up Following Analyst Upgrade

Unity Software Inc. (NYSE:U)’s stock price gapped up before the market opened on Friday after Wall Street Zen upgraded the stock from a hold rating to a buy rating. The stock had previously closed at $44.15, but opened at $46.00. Unity Software shares last traded at $45.9810, with a volume of 1,781,672 shares changing hands.

Several other analysts also recently weighed in on the stock. The Goldman Sachs Group started coverage on shares of Unity Software in a research note on Wednesday, October 15th. They set a “neutral” rating and a $38.00 price target for the company. Wells Fargo & Company upgraded Unity Software from an “equal weight” rating to an “overweight” rating and raised their price target for the company from $42.00 to $51.00 in a research note on Friday. Macquarie upgraded Unity Software from a “neutral” rating to an “outperform” rating and lifted their price objective for the company from $33.00 to $50.00 in a report on Friday, November 7th. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Unity Software in a research note on Wednesday, October 8th. Finally, Barclays raised their target price on shares of Unity Software from $30.00 to $35.00 and gave the company an “equal weight” rating in a research report on Thursday, November 6th. One analyst has rated the stock with a Strong Buy rating, ten have issued a Buy rating, nine have given a Hold rating and two have given a Sell rating to the company. Based on data from MarketBeat.com, Unity Software has an average rating of “Hold” and an average price target of $40.05.

Insiders Place Their Bets

In related news, CFO Jarrod Yahes sold 34,719 shares of the company’s stock in a transaction dated Tuesday, November 25th. The stock was sold at an average price of $41.38, for a total transaction of $1,436,672.22. Following the transaction, the chief financial officer directly owned 573,871 shares of the company’s stock, valued at $23,746,781.98. This represents a 5.70% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this link. Also, CEO Matthew S. Bromberg sold 41,025 shares of the firm’s stock in a transaction dated Tuesday, November 25th. The stock was sold at an average price of $41.38, for a total value of $1,697,614.50. Following the completion of the sale, the chief executive officer directly owned 1,192,541 shares of the company’s stock, valued at approximately $49,347,346.58. This represents a 3.33% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last ninety days, insiders sold 2,506,658 shares of company stock valued at $107,478,975. 3.61% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Unity Software

Hedge funds have recently modified their holdings of the stock. CX Institutional purchased a new stake in Unity Software during the 2nd quarter worth approximately $25,000. Root Financial Partners LLC purchased a new position in shares of Unity Software in the third quarter worth $27,000. Banque Transatlantique SA acquired a new stake in shares of Unity Software during the first quarter worth $28,000. Atlantic Union Bankshares Corp purchased a new stake in shares of Unity Software during the second quarter valued at $28,000. Finally, Larson Financial Group LLC raised its stake in Unity Software by 88.1% in the 3rd quarter. Larson Financial Group LLC now owns 728 shares of the company’s stock worth $29,000 after acquiring an additional 341 shares during the last quarter. Institutional investors and hedge funds own 73.46% of the company’s stock.

Unity Software Price Performance

The stock has a 50 day moving average of $38.99 and a 200-day moving average of $34.96. The company has a debt-to-equity ratio of 0.70, a quick ratio of 2.78 and a current ratio of 2.78. The company has a market cap of $19.60 billion, a PE ratio of -43.61 and a beta of 2.04.

Unity Software (NYSE:U) last announced its quarterly earnings data on Wednesday, November 5th. The company reported $0.20 earnings per share for the quarter, beating analysts’ consensus estimates of $0.17 by $0.03. Unity Software had a negative return on equity of 9.45% and a negative net margin of 24.15%.The business had revenue of $470.62 million for the quarter, compared to analyst estimates of $452.87 million. During the same period in the prior year, the company earned ($0.31) earnings per share. The company’s revenue was up 5.4% on a year-over-year basis. Equities analysts predict that Unity Software Inc. will post -1.25 earnings per share for the current year.

About Unity Software

Unity Software Inc operates a real-time 3D development platform. Its platform provides software solutions to create, run, and monetize interactive, real-time 2D and 3D content for mobile phones, tablets, PCs, consoles, and augmented and virtual reality devices. The company offers its solutions directly through its online store and field sales operations in North America, Denmark, Finland, the United Kingdom, Germany, Japan, China, Singapore, and South Korea, as well as indirectly through independent distributors and resellers worldwide.