Unity Software’s (U) “Buy” Rating Reaffirmed at Needham & Company LLC

Unity Software (NYSE:U)‘s stock had its “buy” rating restated by Needham & Company LLC in a report issued on Wednesday,Benzinga reports. They currently have a $50.00 price target on the stock. Needham & Company LLC’s target price would indicate a potential upside of 72.12% from the company’s current price.

A number of other brokerages have also commented on U. Benchmark reissued a “hold” rating on shares of Unity Software in a research note on Monday, February 2nd. Weiss Ratings reissued a “sell (d-)” rating on shares of Unity Software in a report on Wednesday, January 21st. Oppenheimer upgraded shares of Unity Software from a “market perform” rating to an “outperform” rating and set a $38.00 price target on the stock in a report on Tuesday. Jefferies Financial Group increased their price objective on Unity Software from $49.00 to $55.00 and gave the company a “buy” rating in a report on Monday, January 5th. Finally, UBS Group lowered their target price on Unity Software from $46.00 to $32.00 and set a “neutral” rating for the company in a research report on Tuesday. Two investment analysts have rated the stock with a Strong Buy rating, thirteen have given a Buy rating, seven have assigned a Hold rating and two have given a Sell rating to the company. According to data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average price target of $44.46.

Unity Software Trading Up 5.5%

U opened at $29.05 on Wednesday. The company has a market cap of $12.43 billion, a P/E ratio of -27.67, a PEG ratio of 28.86 and a beta of 2.04. 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 company’s 50 day moving average is $41.68 and its 200-day moving average is $39.96. Unity Software has a 1-year low of $15.33 and a 1-year high of $52.15.

Unity Software (NYSE:U) last issued its quarterly earnings data on Wednesday, February 11th. The company reported $0.24 EPS for the quarter, beating the consensus estimate of $0.20 by $0.04. The business had revenue of $503.09 million during the quarter, compared to the consensus estimate of $490.64 million. Unity Software had a negative net margin of 24.15% and a negative return on equity of 9.45%. Equities research analysts predict that Unity Software will post -1.25 earnings per share 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 business’s stock in a transaction dated Wednesday, December 10th. The shares were sold at an average price of $50.01, for a total value of $720,494.07. Following the transaction, the chief accounting officer directly owned 394,479 shares in the company, valued at $19,727,894.79. The trade was a 3.52% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Tomer Bar-Zeev sold 50,000 shares of Unity Software stock in a transaction dated Friday, December 12th. The stock was sold at an average price of $47.00, for a total transaction of $2,350,000.00. Following the completion of the transaction, the director owned 873,146 shares of the company’s stock, valued at $41,037,862. The trade was a 5.42% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 1,338,021 shares of company stock valued at $63,138,575 in the last ninety days. 3.61% of the stock is owned by corporate insiders.

Institutional Trading of Unity Software

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the business. REAP Financial Group LLC bought a new position in Unity Software during the fourth quarter valued at $28,000. Root Financial Partners LLC bought a new stake in shares of Unity Software in the third quarter valued at about $27,000. V Square Quantitative Management LLC purchased a new stake in Unity Software during the fourth quarter worth $30,000. Larson Financial Group LLC lifted 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 valued at $29,000 after buying an additional 341 shares during the last quarter. Finally, International Assets Investment Management LLC purchased a new position in Unity Software in the fourth quarter worth $36,000. Hedge funds and other institutional investors own 73.46% of the company’s stock.

Key Headlines Impacting Unity Software

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

• Positive Sentiment: Q4 beat on both EPS and revenue; management highlighted Vector’s continued mid‑teen sequential revenue growth and improved Create performance — a direct driver for today’s buying interest. Unity Reports Fourth Quarter and Fiscal Year 2025 Financial Results
• Positive Sentiment: Oppenheimer upgraded Unity to “outperform” with a $38 target, citing AI resilience and upside — this upgrade has been cited in press as a catalyst for the stock’s intra‑day strength. Oppenheimer Upgrade
• Positive Sentiment: Corporate governance/newsflow: Unity added Bernard Kim to its board, a signal of strengthened industry and monetization experience that investors often view positively. Board Appointment
• Neutral Sentiment: Unusually large call‑option activity — ~75,900 calls traded (about +35% vs. typical daily volume) — signals elevated bullish speculation but is not a fundamental change. Options Flow Report
• Neutral Sentiment: Analysts reworked forecasts ahead of the print, increasing attention and volatility around the report; Benzinga/other outlets tracked expectation shifts. Analyst Expectations
• Negative Sentiment: UBS trimmed its price target from $46 to $32 and set a “neutral” rating — a pullback in expectations that could cap upside until growth durability is proven. UBS Price Target Cut
• Negative Sentiment: Some high‑profile skepticism (e.g., Jim Cramer flagged AI as a potential headwind) highlights narrative risk around AI competition and execution — a possible drag on sentiment despite the beat. Jim Cramer Commentary

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.