Wall Street Zen Upgrades Unity Software (NYSE:U) to “Buy”

Unity Software (NYSE:U) was upgraded by Wall Street Zen from a “hold” rating to a “buy” rating in a research note issued to investors on Saturday.

Several other research analysts have also recently commented on the stock. Freedom Capital upgraded shares of Unity Software to a “strong-buy” rating in a report on Thursday, January 15th. Oppenheimer raised shares of Unity Software from a “market perform” rating to an “outperform” rating and set a $38.00 price objective for the company in a research report on Tuesday, February 10th. The Goldman Sachs Group lowered their target price on shares of Unity Software from $47.00 to $27.00 and set a “neutral” rating for the company in a research note on Thursday, February 12th. Needham & Company LLC reissued a “buy” rating and issued a $50.00 target price on shares of Unity Software in a report on Wednesday, February 11th. Finally, BTIG Research cut their price target on Unity Software from $60.00 to $41.00 and set a “buy” rating on the stock in a research note on Thursday, February 12th. One research analyst has rated the stock with a Strong Buy rating, thirteen have given a Buy rating, eight have assigned a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average target price of $39.73.

Unity Software Price Performance

U stock opened at $19.42 on Friday. The company has a debt-to-equity ratio of 0.52, a current ratio of 1.84 and a quick ratio of 1.84. The firm has a market capitalization of $8.41 billion, a P/E ratio of -20.23, a P/E/G ratio of 10.42 and a beta of 2.15. The business’s 50-day moving average is $29.51 and its two-hundred day moving average is $37.29. Unity Software has a 1 year low of $15.33 and a 1 year high of $52.15.

Unity Software (NYSE:U) last announced its quarterly earnings data on Wednesday, February 11th. The company reported $0.24 earnings per share (EPS) for the quarter, beating the consensus estimate 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 business had revenue of $503.09 million during the quarter, compared to analysts’ expectations of $490.64 million. During the same quarter last year, the business posted ($0.30) EPS. The business’s quarterly revenue was up 10.1% compared to the same quarter last year. Analysts anticipate that Unity Software will post -1.25 earnings per share for the current fiscal year.

Insider Activity

In other news, COO Alexander Blum sold 10,164 shares of the company’s stock in a transaction on Wednesday, February 25th. The shares were 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 represents a 1.81% decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through this link. Also, CFO Jarrod Yahes sold 12,196 shares of the stock in a transaction on Wednesday, February 25th. The shares were sold at an average price of $18.07, for a total transaction of $220,381.72. Following the completion of the transaction, the chief financial officer directly owned 533,933 shares in the company, valued at $9,648,169.31. This trade represents a 2.23% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last quarter, insiders sold 41,684 shares of company stock worth $773,350. Corporate insiders own 3.61% of the company’s stock.

Institutional Trading of Unity Software

A number of hedge funds and other institutional investors have recently made changes to their positions in the company. GAMMA Investing LLC boosted 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 during the period. Newbridge Financial Services Group Inc. increased its position in Unity Software by 12.9% during the third quarter. Newbridge Financial Services Group Inc. now owns 2,696 shares of the company’s stock worth $108,000 after buying an additional 308 shares during the period. Xponance Inc. lifted its stake in Unity Software by 1.8% in the third quarter. Xponance Inc. now owns 18,291 shares of the company’s stock valued at $732,000 after buying an additional 328 shares during the last quarter. Larson Financial Group LLC lifted its stake in Unity Software by 88.1% in the third quarter. Larson Financial Group LLC now owns 728 shares of the company’s stock valued at $29,000 after buying an additional 341 shares during the last quarter. Finally, Allworth Financial LP boosted its holdings in shares of Unity Software by 28.4% in the second quarter. Allworth Financial LP now owns 1,865 shares of the company’s stock valued at $45,000 after acquiring an additional 412 shares during the period. Institutional investors and hedge funds own 73.46% of the company’s stock.

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.