Unity Software (NYSE:U) Price Target Cut to $29.00 by Analysts at Wells Fargo & Company

Unity Software (NYSE:U) had its target price trimmed by Wells Fargo & Company from $38.00 to $29.00 in a research report sent to investors on Friday,Benzinga reports. The brokerage currently has an overweight rating on the stock.

A number of other research analysts have also issued reports on the stock. Arete Research upgraded shares of Unity Software from a “neutral” rating to a “buy” rating and set a $48.00 target price on the stock in a report on Monday, December 1st. Morgan Stanley upped their price objective on shares of Unity Software from $48.00 to $52.00 and gave the company an “overweight” rating in a research note on Tuesday, January 13th. Needham & Company LLC restated a “buy” rating and set a $35.00 target price on shares of Unity Software in a research report on Friday. Citizens Jmp lowered their target price on shares of Unity Software from $50.00 to $37.00 and set a “market outperform” rating for the company in a research note on Thursday, February 12th. Finally, The Goldman Sachs Group cut their price target on Unity Software from $47.00 to $27.00 and set a “neutral” rating for the company in a report on Thursday, February 12th. One investment analyst has rated the stock with a Strong Buy rating, thirteen have given a Buy rating, eight have issued a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $37.41.

Unity Software Stock Performance

Unity Software stock opened at $19.47 on Friday. Unity Software has a fifty-two week low of $15.33 and a fifty-two week high of $52.15. The company has a market capitalization of $8.43 billion, a price-to-earnings ratio of -20.28, a PEG ratio of 9.19 and a beta of 2.14. The stock has a fifty day moving average of $24.34 and a two-hundred day moving average of $35.81. The company has a debt-to-equity ratio of 0.52, a quick ratio of 1.84 and a current ratio of 1.84.

Unity Software (NYSE:U) last issued 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. The business had revenue of $503.09 million for the quarter, compared to the consensus estimate of $490.64 million. Unity Software had a negative return on equity of 4.76% and a negative net margin of 21.77%.The business’s revenue was up 10.1% on a year-over-year basis. During the same period in the prior year, the business earned ($0.30) earnings per share. On average, analysts anticipate that Unity Software will post -1.25 EPS for the current fiscal year.

Insider Activity at Unity Software

In other Unity Software news, CFO Jarrod Yahes sold 12,196 shares of the business’s stock in a transaction dated Wednesday, February 25th. The stock was sold at an average price of $18.07, for a total transaction of $220,381.72. Following the completion of the sale, the chief financial officer owned 533,933 shares of the company’s stock, valued at approximately $9,648,169.31. The trade was a 2.23% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CAO Mark Barrysmith sold 10,578 shares of the firm’s stock in a transaction dated Wednesday, February 25th. The stock was sold at an average price of $18.07, for a total value of $191,144.46. Following the completion of the transaction, the chief accounting officer owned 383,901 shares in the company, valued at approximately $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. Over the last 90 days, insiders have sold 41,684 shares of company stock worth $773,350. 3.61% of the stock is owned by insiders.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of the business. Root Financial Partners LLC purchased a new stake in Unity Software during the 3rd quarter worth $27,000. REAP Financial Group LLC purchased a new stake in shares of Unity Software during the fourth quarter worth about $28,000. Larson Financial Group LLC increased its position in shares of Unity Software by 88.1% during the third 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. V Square Quantitative Management LLC acquired a new position in shares of Unity Software in the fourth quarter worth about $30,000. Finally, IFP Advisors Inc acquired a new position in shares of Unity Software in the third quarter worth about $33,000. 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.