Unity Software’s (U) Outperform Rating Reiterated at Wedbush

Wedbush restated their outperform rating on shares of Unity Software (NYSE:U) in a research note released on Friday morning,Benzinga reports. The firm currently has a $30.00 price objective on the stock.

U has been the subject of several other research reports. Barclays cut their price target on Unity Software from $35.00 to $28.00 and set an “equal weight” rating for the company in a research note on Thursday, February 12th. Needham & Company LLC reissued a “buy” rating and set a $35.00 price target on shares of Unity Software in a research note on Friday. Citigroup decreased their target price on shares of Unity Software from $52.00 to $43.00 and set a “buy” rating on the stock in a research report on Thursday, February 12th. Oppenheimer raised Unity Software from a “market perform” rating to an “outperform” rating and set a $38.00 price target for the company in a research report on Tuesday, February 10th. Finally, UBS Group decreased their price objective on shares of Unity Software from $46.00 to $32.00 and set a “neutral” rating for the company in a research note on Tuesday, February 10th. One research analyst has rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating, eight have given a Hold rating and one has issued a Sell rating to the company’s stock. According to MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average price target of $37.41.

Unity Software Price Performance

Shares of NYSE:U opened at $19.47 on Friday. The company has a quick ratio of 1.84, a current ratio of 1.84 and a debt-to-equity ratio of 0.52. The company has a 50-day moving average price of $24.34 and a 200 day moving average price of $35.69. The company has a market cap of $8.43 billion, a P/E ratio of -20.28, a PEG ratio of 10.43 and a beta of 2.15. Unity Software has a 52 week low of $15.33 and a 52 week high of $52.15.

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

Insider Transactions at Unity Software

In other news, COO Alexander Blum sold 10,164 shares of Unity Software stock in a transaction that occurred on Wednesday, February 25th. The stock was sold at an average price of $18.07, for a total value of $183,663.48. Following the completion of the transaction, the chief operating officer owned 550,966 shares in the company, valued at approximately $9,955,955.62. This trade represents a 1.81% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CAO Mark Barrysmith sold 10,578 shares of the business’s stock in a transaction that occurred on Wednesday, February 25th. The shares were sold at an average price of $18.07, for a total value of $191,144.46. Following the completion of the sale, the chief accounting officer owned 383,901 shares of the company’s stock, valued at $6,937,091.07. This trade represents a 2.68% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last quarter, insiders sold 41,684 shares of company stock worth $773,350. 3.61% of the stock is currently owned by corporate insiders.

Institutional Trading of Unity Software

Institutional investors and hedge funds have recently modified their holdings of the business. GAMMA Investing LLC raised its position in shares of Unity Software by 10.8% during the 3rd quarter. GAMMA Investing LLC now owns 2,967 shares of the company’s stock worth $119,000 after purchasing an additional 288 shares during the period. Newbridge Financial Services Group Inc. boosted its position in Unity Software by 12.9% during the 3rd quarter. Newbridge Financial Services Group Inc. now owns 2,696 shares of the company’s stock valued at $108,000 after purchasing an additional 308 shares during the period. Xponance Inc. boosted its position in Unity Software by 1.8% during the 3rd quarter. Xponance Inc. now owns 18,291 shares of the company’s stock valued at $732,000 after purchasing an additional 328 shares during the period. Larson Financial Group LLC boosted its position in Unity Software by 88.1% during the 3rd quarter. Larson Financial Group LLC now owns 728 shares of the company’s stock valued at $29,000 after purchasing an additional 341 shares during the period. Finally, Swiss Life Asset Management Ltd grew its stake in Unity Software by 3.1% during the 4th quarter. Swiss Life Asset Management Ltd now owns 14,861 shares of the company’s stock worth $656,000 after buying an additional 449 shares during the last quarter. 73.46% of the stock is owned by institutional investors and hedge funds.

Unity Software News Summary

Here are the key news stories impacting Unity Software this week:

• Positive Sentiment: Preliminary Q1 beat — Unity said preliminary revenue of $505M–$508M (vs. prior guidance $480M–$490M) and Adjusted EBITDA $130M–$135M (vs. $105M–$110M); management cited Unity V as a driver and flagged a plan to exit non‑strategic ad units to boost growth/profitability. Business Wire: Preliminary Results
• Positive Sentiment: Market reaction & company update — Coverage notes the upbeat preview and strategic shake‑up as the immediate reason for the rally. Investors are treating the combination of better-than-expected Q1 metrics and a streamlined business mix as meaningful de‑risking. Proactive Investors: Shares Jump After Upbeat Preliminary Results
• Positive Sentiment: Analyst support — Multiple firms reiterated/raised ratings and targets (e.g., Morgan Stanley raised its price target to $32 and set an “overweight” rating; Citizens/JMP reaffirmed a $37 Market Outperform). Those actions lend credibility to the rebound thesis and support buying interest. Benzinga: Analyst Actions
• Positive Sentiment: Heavy call buying — Unusually large options activity: ~57,327 call contracts traded (≈15% above typical daily call volume), consistent with directional bullish speculation or hedged positions ahead of the print. (No link)
• Positive Sentiment: China sale speculation — Reports that China asset sale talk has intensified are fueling M&A speculation, which can attract event‑driven buyers and bid up the stock while details remain unresolved. 247wallst: China Sale Talk
• Neutral Sentiment: Guidance/preview coverage — Several outlets are highlighting the company’s updated Q1 outlook and strategic changes; that coverage increases visibility but outcomes depend on the formal earnings release and management commentary. Benzinga: What’s Behind The Jump
• Negative Sentiment: Competitive / adtech skepticism — Comparative analyses argue rival Digital Turbine may have the edge in adtech metrics (ODS/AGP growth) and point to lingering weaknesses in parts of Unity’s ad platform, which could cap upside if execution stalls. Zacks: APPS vs U AdTech Comparison
• Negative Sentiment: Mixed analyst moves — Some firms trimmed price targets (e.g., Wells Fargo lowered its target from $38 to $29 despite keeping an “overweight” call), reflecting ongoing model risk and differing views on longer‑term monetization — a reminder the recovery isn’t unanimous. Benzinga: Analyst Notes

Unity Software Company Profile

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.