UBS Group Cuts Unity Software (NYSE:U) Price Target to $32.00

Unity Software (NYSE:U) had its price target decreased by UBS Group from $46.00 to $32.00 in a research note issued to investors on Tuesday morning,Benzinga reports. UBS Group currently has a neutral rating on the stock.

Several other equities analysts have also issued reports on the company. Wall Street Zen raised Unity Software from a “hold” rating to a “buy” rating in a report on Saturday, December 6th. Citigroup boosted their price objective on Unity Software from $50.00 to $52.00 and gave the stock a “buy” rating in a research report on Tuesday, November 11th. Macquarie Infrastructure raised Unity Software from a “neutral” rating to an “outperform” rating and raised their target price for the company from $33.00 to $50.00 in a research report on Friday, November 7th. Morgan Stanley boosted their price target on shares of Unity Software from $48.00 to $52.00 and gave the stock an “overweight” rating in a report on Tuesday, January 13th. Finally, Barclays increased their price target on shares of Unity Software from $30.00 to $35.00 and gave the company an “equal weight” rating in a research report on Thursday, November 6th. One research analyst has rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating, seven have issued a Hold rating and two have assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $39.29.

Unity Software Trading Down 8.5%

NYSE U opened at $19.59 on Tuesday. The company has a current ratio of 2.78, a quick ratio of 2.78 and a debt-to-equity ratio of 0.70. The firm has a market capitalization of $8.38 billion, a P/E ratio of -20.41, a PEG ratio of 19.50 and a beta of 2.04. The business has a fifty day simple moving average of $40.73 and a 200 day simple moving average of $39.69. Unity Software has a 12 month low of $15.33 and a 12 month high of $52.15.

Unity Software (NYSE:U) last posted its earnings results on Wednesday, February 11th. The company reported $0.24 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.20 by $0.04. Unity Software had a negative net margin of 21.77% and a negative return on equity of 4.78%. The firm had revenue of $503.09 million during the quarter, compared to analyst estimates of $490.64 million. During the same quarter in the prior year, the business posted ($0.30) EPS. The business’s revenue was up 10.1% compared to the same quarter last year. On average, analysts predict that Unity Software will post -1.25 EPS for the current fiscal year.

Insider Buying and Selling at Unity Software

In other Unity Software news, CAO Mark Barrysmith sold 14,407 shares of the firm’s stock in a transaction dated Wednesday, December 10th. The stock was sold at an average price of $50.01, for a total value of $720,494.07. Following the completion of the transaction, the chief accounting officer owned 394,479 shares in the company, valued at $19,727,894.79. This trade represents a 3.52% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Also, CFO Jarrod Yahes sold 27,742 shares of Unity Software stock in a transaction dated Wednesday, November 26th. The shares were sold at an average price of $42.79, for a total value of $1,187,080.18. Following the transaction, the chief financial officer directly owned 546,129 shares of the company’s stock, valued at $23,368,859.91. The trade was a 4.83% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 1,338,021 shares of company stock worth $63,138,575 in the last three months. 3.61% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Unity Software

Hedge funds have recently bought and sold shares of the stock. Wellington Management Group LLP raised its position in Unity Software by 58.7% during the third quarter. Wellington Management Group LLP now owns 18,213,875 shares of the company’s stock valued at $729,284,000 after purchasing an additional 6,734,285 shares in the last quarter. Norges Bank purchased a new position in shares of Unity Software during the 2nd quarter valued at about $151,221,000. Slate Path Capital LP raised its holdings in shares of Unity Software by 25.4% during the 2nd quarter. Slate Path Capital LP now owns 20,016,952 shares of the company’s stock valued at $484,410,000 after buying an additional 4,048,484 shares in the last quarter. Massachusetts Financial Services Co. MA bought a new stake in Unity Software in the 3rd quarter worth approximately $106,233,000. Finally, Duquesne Family Office LLC purchased a new stake in Unity Software in the second quarter worth approximately $42,932,000. 73.46% of the stock is currently owned by institutional investors.

More Unity Software News

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

• Positive Sentiment: Q4 beat and improving profitability — Unity reported revenue above consensus and positive adjusted EPS with strong free cash flow and adjusted EBITDA margins, signaling the company is now generating cash rather than burning it; management pointed to Vector and Create strength as drivers of near‑term improvement. BusinessWire: Q4 results MarketBeat: Profitability & cash flow analysis
• Positive Sentiment: Product momentum — Unity’s Vector AI platform showed accelerated sequential growth (management highlighted mid‑teen quarterly growth and very strong monthly trends), and Create returned to growth, supporting the case that the revenue mix is shifting toward higher‑margin offerings. MarketBeat: Vector momentum
• Neutral Sentiment: Analysts are re‑forecasting — many firms lowered price targets and adjusted models after the quarter, but several still maintain buy/overweight ratings with material upside vs. the current price, reflecting disagreement on how quickly Vector will replace legacy revenue. Benzinga: analyst updates
• Neutral Sentiment: High-volume capitulation cleared short-term positions — trading volume spiked as investors sold on guidance, which can both exaggerate downside and create a liquidity-driven reset in valuation; this raises short‑term volatility but also a potential entry point for longer-term holders if fundamentals hold. MarketBeat: volume & capitulation
• Negative Sentiment: Weak near‑term guidance — Unity’s Q1 revenue guidance came in below consensus, driven by management’s decision to wind down a lower‑margin legacy advertising product (IronSource) before new Vector revenue fully ramps. That guidance miss sparked the rapid decline as the market focuses on near‑term top‑line risk. Reuters: downbeat forecast
• Negative Sentiment: Negative market reaction and bearish pieces — several outlets and analysts flagged the guidance and AI‑displacement fears as reasons to sell or remain cautious, amplifying downside pressure. Coverage includes bearish takes and articles highlighting the revenue forecast miss. Blockonomi: revenue forecast miss Seeking Alpha: bearish analysis

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.