Morgan Stanley Increases Unity Software (NYSE:U) Price Target to $32.00

Unity Software (NYSE:U) had its target price upped by equities research analysts at Morgan Stanley from $30.00 to $32.00 in a research report issued to clients and investors on Friday,Benzinga reports. The firm presently has an “overweight” rating on the stock. Morgan Stanley’s target price indicates a potential upside of 64.34% from the stock’s previous close.

Several other research firms have also recently issued reports on U. Barclays decreased their target price on Unity Software from $35.00 to $28.00 and set an “equal weight” rating on the stock in a research note on Thursday, February 12th. Needham & Company LLC reaffirmed a “buy” rating and set a $35.00 price objective on shares of Unity Software in a report on Friday. Piper Sandler upgraded shares of Unity Software from a “neutral” rating to an “overweight” rating and lifted their price objective for the company from $43.00 to $59.00 in a research report on Thursday, December 11th. The Goldman Sachs Group lowered their target price on shares of Unity Software from $47.00 to $27.00 and set a “neutral” rating on the stock in a report on Thursday, February 12th. Finally, Oppenheimer upgraded shares of Unity Software from a “market perform” rating to an “outperform” rating and set a $38.00 target price for the company in a research report on Tuesday, February 10th. One investment analyst has rated the stock with a Strong Buy rating, thirteen have issued a Buy rating, eight have assigned a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus target price of $37.41.

Unity Software Trading Up 13.7%

Shares of 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 debt-to-equity ratio of 0.52, a quick ratio of 1.84 and a current ratio of 1.84. The company has a market capitalization of $8.43 billion, a P/E ratio of -20.28, a P/E/G ratio of 10.43 and a beta of 2.14. The company has a fifty day moving average of $24.34 and a 200 day moving average of $35.74.

Unity Software (NYSE:U) last posted its quarterly earnings results on Wednesday, February 11th. The company reported $0.24 EPS 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 business had revenue of $503.09 million for the quarter, compared to analysts’ expectations of $490.64 million. During the same period last year, the firm earned ($0.30) earnings per share. The business’s quarterly revenue was up 10.1% on a year-over-year basis. On average, sell-side analysts anticipate that Unity Software will post -1.25 earnings per share for the current fiscal year.

Insider Buying and Selling at Unity Software

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

Institutional Investors Weigh In On Unity Software

A number of hedge funds have recently bought and sold shares of U. GAMMA Investing LLC lifted its position in Unity Software by 10.8% during the third 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 last quarter. Newbridge Financial Services Group Inc. increased its holdings in shares of Unity Software by 12.9% in the 3rd 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 last quarter. Xponance Inc. raised its position in shares of 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 buying an additional 328 shares in the last quarter. Larson Financial Group LLC raised its position in shares of 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 buying an additional 341 shares in the last quarter. Finally, Swiss Life Asset Management Ltd lifted its holdings in shares of Unity Software by 3.1% in the 4th quarter. Swiss Life Asset Management Ltd now owns 14,861 shares of the company’s stock valued at $656,000 after acquiring an additional 449 shares during the last quarter. Hedge funds and other institutional investors own 73.46% of the company’s stock.

More Unity Software News

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

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.