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

Unity Software (NYSE:U)‘s stock had its “outperform” rating reaffirmed by Oppenheimer in a research note issued on Friday, Benzinga reports. They presently have a $64.00 price objective on the stock, up from their prior price objective of $47.00. Oppenheimer‘s price objective indicates a potential upside of 21.74% from the stock’s current price.

U has been the subject of a number of other reports. Piper Sandler reiterated an “overweight” rating on shares of Unity Software in a report on Monday, October 5th. Raymond James Financial reissued an “outperform” rating and set a $60.00 price objective on shares of Unity Software in a report on Thursday. Needham & Company LLC raised their price objective on Unity Software from $54.00 to $70.00 and gave the company a “buy” rating in a report on Friday. Weiss Ratings restated a “sell (d-)” rating on shares of Unity Software in a research report on Monday. Finally, BTIG Research upped their target price on Unity Software from $53.00 to $60.00 and gave the stock a “buy” rating in a research note on Thursday. One research analyst has rated the stock with a Strong Buy rating, eighteen have issued a Buy rating, three have assigned a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus target price of $55.45.

Unity Software Price Performance

Shares of NYSE U traded up $3.77 during mid-day trading on Friday, reaching $52.57. 12,940,246 shares of the company were exchanged, compared to its average volume of 12,747,844. Unity Software has a 52 week low of $16.78 and a 52 week high of $52.60. The company’s 50 day moving average price is $42.32 and its 200 day moving average price is $31.79. The stock has a market capitalization of $23.14 billion, a PE ratio of -38.59, a PEG ratio of 1.85 and a beta of 2.08. The company has a quick ratio of 2.03, a current ratio of 2.03 and a debt-to-equity ratio of 0.55.

Unity Software (NYSE:U) last released its earnings results on Thursday, November 5th. The company reported $0.44 EPS for the quarter, beating analysts’ consensus estimates of $0.03 by $0.41. Unity Software had a positive return on equity of 4.64% and a negative net margin of 28.97%. The business had revenue of $622.09 million for the quarter, compared to analysts’ expectations of $567.03 million. During the same quarter in the prior year, the firm earned $0.20 earnings per share. The firm’s revenue was up 32.2% on a year-over-year basis. Sell-side analysts forecast that Unity Software will post 0.55 earnings per share for the current fiscal year.

Insider Buying and Selling

In related news, COO Alexander Blum sold 43,556 shares of the company’s stock in a transaction on Friday, August 28th. The shares were sold at an average price of $43.51, for a total transaction of $1,895,121.56. Following the completion of the sale, the chief operating officer directly owned 661,855 shares in the company, valued at $28,797,311.05. This represents a 6.17% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, SVP Rebecca Boyden sold 1,032 shares of the stock in a transaction on Tuesday, August 25th. The shares were sold at an average price of $45.32, for a total transaction of $46,770.24. Following the sale, the senior vice president directly owned 308,413 shares of the company’s stock, valued at $13,977,277.16. The trade was a 0.33% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last three months, insiders sold 109,547 shares of company stock worth $4,884,202. 0.77% of the stock is owned by company insiders.

Hedge Funds Weigh In On Unity Software

Several hedge funds and other institutional investors have recently modified their holdings of U. Fortitude Family Office LLC grew its stake in shares of Unity Software by 56.1% in the third quarter. Fortitude Family Office LLC now owns 840 shares of the company’s stock worth $34,000 after purchasing an additional 302 shares during the last quarter. Provenance Wealth Advisors LLC bought a new position in Unity Software during the 3rd quarter valued at approximately $37,000. Summit Securities Group LLC bought a new position in Unity Software during the 1st quarter valued at approximately $54,000. Global Retirement Partners LLC bought a new position in Unity Software during the 2nd quarter valued at approximately $56,000. Finally, Pacer Advisors Inc. lifted its holdings in Unity Software by 59.5% in the 1st quarter. Pacer Advisors Inc. now owns 2,626 shares of the company’s stock worth $58,000 after buying an additional 980 shares during the period. 73.46% of the stock is owned by institutional investors.

Key Stories Impacting Unity Software

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

• Positive Sentiment: Unity reported Q3 revenue of $622.1 million, up 32.2% year over year and above estimates, and non-GAAP EPS of $0.44, also beating expectations. The quarter included its first GAAP profit since its 2020 IPO, with $122 million in net income. Read More..
• Positive Sentiment: Growth in AI-powered advertising is a key catalyst: Vector revenue surged 126%. Unity forecast Q4 revenue of $688 million–$696 million, well above analyst consensus, and cited continued momentum in Vector. Read More..
• Positive Sentiment: Reports say Silver Lake and Saudi Arabia’s Public Investment Fund have held talks about acquiring Unity. The prospect of a buyout has fueled interest, but discussions are preliminary and no transaction is confirmed. Read More..
• Positive Sentiment: Several firms raised their price targets after the results: Needham and Citizens JMP to $70, Wells Fargo to $64, and BTIG to $60. Read More..
• Negative Sentiment: One caution is that Unity’s creator-tools business is slowing, leaving investors to watch whether rapid advertising growth can offset weakness in that part of the business. Read More..

Unity Software Company Profile

Unity Software Inc develops software and services for creating, operating and monetizing interactive, real-time content. Its core product is the Unity engine, a development platform used to build video games and experiences for mobile devices, personal computers, consoles, augmented and virtual reality systems, and other platforms.

The company also provides tools and services that support the development and operation of interactive applications, including collaboration and cloud-based development tools, multiplayer and voice communication capabilities, analytics, advertising, and in-app monetization solutions.