Unity Software (NYSE:U) Stock Price Expected to Rise, Needham & Company LLC Analyst Says

Unity Software (NYSE:U) had its price objective boosted by equities research analysts at Needham & Company LLC from $54.00 to $70.00 in a research note issued on Friday, Benzinga reports. The brokerage presently has a “buy” rating on the stock. Needham & Company LLC‘s price objective suggests a potential upside of 44.17% from the stock’s current price.

Several other brokerages also recently weighed in on U. Weiss Ratings reiterated a “sell (d-)” rating on shares of Unity Software in a research report on Monday. Wells Fargo & Company increased their price target on shares of Unity Software from $48.00 to $53.00 and gave the stock an “overweight” rating in a research note on Monday, October 12th. Raymond James Financial reaffirmed an “outperform” rating and issued a $60.00 price target on shares of Unity Software in a research report on Thursday. Benchmark upgraded Unity Software from a “hold” rating to a “buy” rating and set a $50.00 target price on the stock in a research note on Friday, August 7th. Finally, BTIG Research boosted their price objective on shares of Unity Software from $53.00 to $60.00 and gave the company a “buy” rating in a report on Thursday. One analyst has rated the stock with a Strong Buy rating, eighteen have given a Buy rating, three have assigned a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $52.05.

Unity Software Trading Up 14.3%

Shares of Unity Software stock opened at $48.55 on Friday. The company has a market cap of $21.37 billion, a price-to-earnings ratio of -35.70, a PEG ratio of 1.85 and a beta of 2.08. Unity Software has a 12-month low of $16.78 and a 12-month high of $52.15. The company’s 50-day moving average price is $42.32 and its 200-day moving average price is $31.79. The company has a current ratio of 2.03, a quick ratio of 2.03 and a debt-to-equity ratio of 0.55.

Unity Software (NYSE:U) last issued its quarterly earnings results on Thursday, November 5th. The company reported $0.44 EPS for the quarter, topping analysts’ consensus estimates of $0.03 by $0.41. Unity Software had a negative net margin of 28.97% and a positive return on equity of 4.64%. The firm had revenue of $622.09 million for the quarter, compared to analyst estimates of $567.03 million. During the same quarter in the prior year, the firm earned $0.20 EPS. The business’s revenue for the quarter was up 32.2% compared to the same quarter last year. On average, equities analysts expect that Unity Software will post 0.55 earnings per share for the current fiscal year.

Insider Buying and Selling

In other Unity Software news, CFO Jarrod Yahes sold 26,017 shares of the firm’s stock in a transaction on Tuesday, August 25th. The stock was sold at an average price of $45.31, for a total transaction of $1,178,830.27. Following the transaction, the chief financial officer directly owned 678,343 shares in the company, valued at $30,735,721.33. This trade represents a 3.69% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, COO Alexander Blum sold 43,556 shares of the business’s stock in a transaction that occurred on Friday, August 28th. The stock was sold at an average price of $43.51, for a total transaction of $1,895,121.56. Following the completion of the transaction, the chief operating officer directly owned 661,855 shares of the company’s stock, valued at $28,797,311.05. This trade represents a 6.17% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders have sold 109,547 shares of company stock valued at $4,884,202. 0.77% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Unity Software

Large investors have recently made changes to their positions in the business. Eurizon Capital SGR S.p.A. grew its stake in shares of Unity Software by 332.8% during the third quarter. Eurizon Capital SGR S.p.A. now owns 11,119 shares of the company’s stock worth $452,000 after acquiring an additional 8,550 shares during the last quarter. Austin Wealth Management LLC purchased a new position in shares of Unity Software during the 3rd quarter valued at approximately $273,000. Maryland State Retirement & Pension System grew its position in shares of Unity Software by 24.0% during the 3rd quarter. Maryland State Retirement & Pension System now owns 22,313 shares of the company’s stock valued at $913,000 after acquiring an additional 4,324 shares during the period. Advisor Resource Council acquired a new position in shares of Unity Software during the 3rd quarter worth approximately $218,000. Finally, Ritholtz Wealth Management lifted its holdings in Unity Software by 88.8% during the third quarter. Ritholtz Wealth Management now owns 14,902 shares of the company’s stock valued at $610,000 after purchasing an additional 7,007 shares in the last quarter. 73.46% of the stock is owned by institutional investors and hedge funds.

Unity Software News Roundup

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

• Positive Sentiment: Takeover interest may imply a premium. Reports say Silver Lake and Saudi Arabia’s Public Investment Fund (PIF) have approached Unity about a potential acquisition, with reported values ranging from roughly $21.5 billion to $25 billion. A deal could offer shareholders a premium, though no agreement has been announced. Silver Lake, Saudi Arabia’s PIF Made Takeover Approach for Unity Software
• Positive Sentiment: Q3 results substantially beat expectations. Unity reported $622.1 million in revenue, up 32.2% year over year, and adjusted EPS of $0.44, well above analyst estimates. The company also posted its first GAAP quarterly profit since its 2020 IPO, with net income of $122 million. Unity Software Inc (U) (Q3 2026) Earnings Call Highlights
• Positive Sentiment: Management issued a strong Q4 outlook. Unity guided to approximately $688 million–$696 million in revenue, above the cited analyst consensus of about $602 million. Growth in its AI-powered Vector advertising business was a key driver: Vector revenue rose 126% year over year, and the company forecast a 42% adjusted EBITDA margin. Unity forecasts Q4 strategic revenue and adjusted EBITDA margin
• Neutral Sentiment: The buyout remains uncertain. The reported approach is not a completed transaction, so investors may continue to weigh the possibility of a takeover against the risk that discussions do not lead to an offer. Silver Lake, PIF have held recent talks to buy Unity, sources say

Unity Software Company Profile

Unity Software Inc develops software and services for creating, operating and monetizing interactive, real-time content. Its core product is the Unity engine, a development platform used to build video games and experiences for mobile devices, personal computers, consoles, augmented and virtual reality systems, and other platforms.

The company also provides tools and services that support the development and operation of interactive applications, including collaboration and cloud-based development tools, multiplayer and voice communication capabilities, analytics, advertising, and in-app monetization solutions.