Unity Software (NYSE:U) Rating Lowered to Hold at Wall Street Zen

Unity Software (NYSE:U) was downgraded by analysts at Wall Street Zen from a “buy” rating to a “hold” rating in a research report issued on Saturday.

A number of other equities research analysts have also issued reports on the company. Benchmark reaffirmed a “hold” rating on shares of Unity Software in a research note on Monday, February 2nd. Wedbush decreased their price objective on Unity Software from $37.00 to $30.00 and set an “outperform” rating on the stock in a research note on Thursday, February 12th. Macquarie Infrastructure upgraded Unity Software from a “neutral” rating to an “outperform” rating and lifted their price objective for the stock from $33.00 to $50.00 in a research report on Friday, November 7th. Wells Fargo & Company reduced their target price on shares of Unity Software from $54.00 to $38.00 and set an “overweight” rating on the stock in a report on Thursday, February 12th. Finally, UBS Group decreased their target price on shares of Unity Software from $46.00 to $32.00 and set a “neutral” rating on the stock in a research report on Tuesday, February 10th. One investment analyst has rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating, seven have assigned a Hold rating and two have given a Sell rating to the stock. Based on data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $39.52.

Unity Software Price Performance

Shares of NYSE U opened at $18.23 on Friday. The company has a current ratio of 1.84, a quick ratio of 1.84 and a debt-to-equity ratio of 0.52. The company’s 50-day moving average price is $37.16 and its 200 day moving average price is $39.08. Unity Software has a 52 week low of $15.33 and a 52 week high of $52.15. The stock has a market cap of $7.89 billion, a price-to-earnings ratio of -18.98, a PEG ratio of 9.92 and a beta of 2.04.

Unity Software (NYSE:U) last announced its earnings results on Wednesday, February 11th. The company reported $0.24 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.20 by $0.04. Unity Software had a negative net margin of 21.77% and a negative return on equity of 4.76%. The company had revenue of $503.09 million during the quarter, compared to analysts’ expectations of $490.64 million. During the same quarter in the previous year, the business posted ($0.30) earnings per share. The firm’s quarterly revenue was up 10.1% compared to the same quarter last year. As a group, research analysts forecast that Unity Software will post -1.25 earnings per share for the current fiscal year.

Insider Activity at Unity Software

In other news, CEO Matthew S. Bromberg sold 41,025 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 value of $1,697,614.50. Following the completion of the sale, the chief executive officer owned 1,192,541 shares of the company’s stock, valued at $49,347,346.58. This represents a 3.33% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, CFO Jarrod Yahes sold 34,719 shares of the company’s stock in a transaction that occurred on Tuesday, November 25th. The stock was sold at an average price of $41.38, for a total value of $1,436,672.22. Following the completion of the transaction, the chief financial officer owned 573,871 shares of the company’s stock, valued at approximately $23,746,781.98. This represents a 5.70% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold a total of 1,337,204 shares of company stock valued at $63,108,672 over the last 90 days. Corporate insiders own 3.61% of the company’s stock.

Institutional Investors Weigh In On Unity Software

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the company. GAMMA Investing LLC raised its position in shares of Unity Software by 10.8% in the 3rd quarter. GAMMA Investing LLC now owns 2,967 shares of the company’s stock valued at $119,000 after purchasing an additional 288 shares in the last quarter. Newbridge Financial Services Group Inc. raised its position in shares of Unity Software by 12.9% during the 3rd quarter. Newbridge Financial Services Group Inc. now owns 2,696 shares of the company’s stock worth $108,000 after purchasing an additional 308 shares during the period. Xponance Inc. lifted its holdings in shares of Unity Software by 1.8% in the 3rd quarter. Xponance Inc. now owns 18,291 shares of the company’s stock worth $732,000 after purchasing an additional 328 shares during the last quarter. Larson Financial Group LLC grew its stake in Unity Software by 88.1% during the 3rd quarter. Larson Financial Group LLC now owns 728 shares of the company’s stock worth $29,000 after buying an additional 341 shares during the last quarter. Finally, Allworth Financial LP increased its position in Unity Software by 28.4% in the second quarter. Allworth Financial LP now owns 1,865 shares of the company’s stock worth $45,000 after buying an additional 412 shares during the period. Hedge funds and other institutional investors own 73.46% of the company’s stock.

About Unity Software

Unity Software is a leading provider of a real-time 3D development platform that enables creators across industries to design, build and operate interactive, real-time experiences. Originally focused on the game development market, Unity’s technology now extends into sectors such as film, automotive, architecture, engineering and construction, delivering immersive content for mobile, desktop, console, augmented reality and virtual reality devices. The company’s core offering comprises a suite of authoring tools, runtime engines and cloud services that streamline the creation and deployment of interactive 3D applications.

The Unity Editor serves as the central hub where developers design scenes, script behavior and iterate on assets.