Needham & Company LLC Reiterates Buy Rating for Unity Software (NYSE:U)

Unity Software (NYSE:U)‘s stock had its “buy” rating reiterated by Needham & Company LLC in a note issued to investors on Friday,Benzinga reports. They presently have a $35.00 price target on the stock. Needham & Company LLC’s price target suggests a potential upside of 79.75% from the company’s current price.

A number of other equities analysts have also issued reports on the company. Wedbush reissued an “outperform” rating and issued a $30.00 price objective on shares of Unity Software in a report on Friday, March 13th. BTIG Research reduced their price target on Unity Software from $60.00 to $41.00 and set a “buy” rating for the company in a research report on Thursday, February 12th. Oppenheimer raised Unity Software from a “market perform” rating to an “outperform” rating and set a $38.00 price target for the company in a research note on Tuesday, February 10th. Citigroup lowered their price target on Unity Software from $52.00 to $43.00 and set a “buy” rating on the stock in a report on Thursday, February 12th. Finally, Wall Street Zen upgraded shares of Unity Software from a “hold” rating to a “buy” rating in a research note on Saturday, March 14th. 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 issued a Sell rating to the company. According to data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average price target of $37.41.

Unity Software Trading Up 13.7%

Shares of NYSE:U opened at $19.47 on Friday. The company has a quick ratio of 1.84, a current ratio of 1.84 and a debt-to-equity ratio of 0.52. The company’s 50-day moving average price is $24.34 and its 200 day moving average price is $35.74. The company has a market cap of $8.43 billion, a PE ratio of -20.28, a P/E/G ratio of 10.43 and a beta of 2.14. Unity Software has a fifty-two week low of $15.33 and a fifty-two week high of $52.15.

Unity Software (NYSE:U) last posted its earnings results on Wednesday, February 11th. The company reported $0.24 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 4.76%. The firm had revenue of $503.09 million during the quarter, compared to analysts’ expectations of $490.64 million. During the same quarter in the prior year, the firm earned ($0.30) EPS. Unity Software’s quarterly revenue was up 10.1% on a year-over-year basis. Sell-side analysts anticipate that Unity Software will post -1.25 earnings per share for the current year.

Insiders Place Their Bets

In other Unity Software news, COO Alexander Blum sold 2,541 shares of the stock in a transaction on Friday, February 27th. The stock was sold at an average price of $18.76, for a total transaction of $47,669.16. Following the completion of the transaction, the chief operating officer directly owned 548,425 shares of the company’s stock, valued at approximately $10,288,453. This trade represents a 0.46% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, CFO Jarrod Yahes sold 6,205 shares of Unity Software stock in a transaction on Thursday, March 5th. The shares were sold at an average price of $21.03, for a total value of $130,491.15. Following the transaction, the chief financial officer owned 728,381 shares in the company, valued at approximately $15,317,852.43. This trade represents a 0.84% 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 over the last ninety days. Company insiders own 3.61% of the company’s stock.

Institutional Investors Weigh In On Unity Software

Several hedge funds and other institutional investors have recently bought and sold shares of the business. Root Financial Partners LLC acquired a new stake in Unity Software in the 3rd quarter valued at about $27,000. REAP Financial Group LLC acquired a new position in shares of Unity Software in the 4th quarter worth approximately $28,000. Larson Financial Group LLC raised its holdings in shares of Unity Software by 88.1% in the 3rd quarter. Larson Financial Group LLC now owns 728 shares of the company’s stock worth $29,000 after purchasing an additional 341 shares in the last quarter. V Square Quantitative Management LLC bought a new stake in shares of Unity Software in the 4th quarter worth approximately $30,000. Finally, IFP Advisors Inc acquired a new stake in Unity Software during the third quarter valued at approximately $33,000. 73.46% of the stock is currently owned by institutional investors.

Unity Software News Roundup

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.