Unity Software (NYSE:U) Price Target Cut to $41.00 by Analysts at BTIG Research

Unity Software (NYSE:U) had its target price lowered by BTIG Research from $60.00 to $41.00 in a research note released on Thursday,Benzinga reports. The brokerage currently has a buy rating on the stock.

Several other equities research analysts have also commented on U. Needham & Company LLC reissued a “buy” rating and set a $50.00 price target on shares of Unity Software in a research note on Wednesday. Morgan Stanley raised their price objective on Unity Software from $48.00 to $52.00 and gave the company an “overweight” rating in a research note on Tuesday, January 13th. Wall Street Zen upgraded Unity Software from a “hold” rating to a “buy” rating in a research report on Saturday, December 6th. Wells Fargo & Company upped their target price on Unity Software from $51.00 to $54.00 and gave the company an “overweight” rating in a report on Thursday, January 8th. Finally, Jefferies Financial Group raised their price target on Unity Software from $49.00 to $55.00 and gave the company a “buy” rating in a research report on Monday, January 5th. One analyst has rated the stock with a Strong Buy rating, fourteen have issued a Buy rating, seven have given a Hold rating and two have assigned a Sell rating to the stock. Based on data from MarketBeat, the company has an average rating of “Moderate Buy” and an average target price of $39.29.

Unity Software Stock Down 8.5%

U opened at $19.59 on Thursday. The company has a debt-to-equity ratio of 0.70, a current ratio of 2.78 and a quick ratio of 2.78. Unity Software has a 12 month low of $15.33 and a 12 month high of $52.15. The stock has a market capitalization of $8.38 billion, a P/E ratio of -20.41, a P/E/G ratio of 19.50 and a beta of 2.04. The business has a 50 day simple moving average of $40.73 and a 200-day simple moving average of $39.69.

Unity Software (NYSE:U) last released its quarterly earnings data 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. The firm had revenue of $503.09 million during the quarter, compared to analysts’ expectations of $490.64 million. Unity Software had a negative return on equity of 4.78% and a negative net margin of 21.77%.Unity Software’s revenue was up 10.1% compared to the same quarter last year. During the same quarter in the prior year, the business posted ($0.30) earnings per share. On average, equities analysts anticipate that Unity Software will post -1.25 earnings per share for the current fiscal year.

Insider Transactions at Unity Software

In other Unity Software news, Director David Helgason sold 393,312 shares of Unity Software stock in a transaction that occurred on Thursday, December 11th. The shares were sold at an average price of $49.64, for a total transaction of $19,524,007.68. Following the transaction, the director directly owned 5,439,173 shares of the company’s stock, valued at $270,000,547.72. The trade was a 6.74% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through this hyperlink. Also, CEO Matthew S. Bromberg sold 41,025 shares of the stock in a transaction on Tuesday, November 25th. The stock was sold at an average price of $41.38, for a total transaction of $1,697,614.50. Following the completion of the sale, the chief executive officer directly owned 1,192,541 shares of the company’s stock, valued at $49,347,346.58. The trade was a 3.33% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 1,338,021 shares of company stock valued at $63,138,575 in the last three months. 3.61% of the stock is owned by company insiders.

Institutional Trading of Unity Software

Several large investors have recently modified their holdings of U. Jefferies Financial Group Inc. bought a new stake in Unity Software in the second quarter valued at $205,000. Forum Financial Management LP bought a new stake in Unity Software in the 2nd quarter valued at about $256,000. Austin Wealth Management LLC bought a new stake in Unity Software in the 2nd quarter valued at about $208,000. PNC Financial Services Group Inc. increased its stake in shares of Unity Software by 148.2% in the second quarter. PNC Financial Services Group Inc. now owns 22,181 shares of the company’s stock valued at $537,000 after purchasing an additional 13,245 shares during the period. Finally, Broad Peak Investment Advisers Pte Ltd raised its holdings in shares of Unity Software by 43.6% during the third quarter. Broad Peak Investment Advisers Pte Ltd now owns 2,849,437 shares of the company’s stock valued at $114,091,000 after buying an additional 865,179 shares during the last quarter. 73.46% of the stock is currently owned by institutional investors and hedge funds.

Trending Headlines about Unity Software

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.