Morgan Stanley Upgrades Unity Software (NYSE:U) to Overweight

Unity Software (NYSE:U) was upgraded by research analysts at Morgan Stanley from an “equal weight” rating to an “overweight” rating in a note issued to investors on Tuesday, Marketbeat.com reports. The firm presently has a $22.00 target price on the stock. Morgan Stanley’s price objective would suggest a potential upside of 38.10% from the company’s current price.

Other research analysts also recently issued research reports about the company. Benchmark cut their price target on Unity Software from $16.00 to $10.00 and set a “sell” rating for the company in a research note on Friday, August 9th. JMP Securities reissued a “market perform” rating on shares of Unity Software in a research report on Friday, May 10th. Macquarie cut their price objective on shares of Unity Software from $14.00 to $12.00 and set an “underperform” rating for the company in a report on Friday, August 9th. Needham & Company LLC lowered their target price on shares of Unity Software from $31.00 to $23.00 and set a “buy” rating on the stock in a report on Friday, August 9th. Finally, Stifel Nicolaus dropped their target price on Unity Software from $25.00 to $20.00 and set a “buy” rating on the stock in a research report on Friday, August 9th. Two equities research analysts have rated the stock with a sell rating, ten have assigned a hold rating and seven have assigned a buy rating to the company. According to data from MarketBeat.com, the stock currently has a consensus rating of “Hold” and a consensus price target of $26.46.

Unity Software Stock Down 4.6 %

Shares of NYSE:U opened at $15.93 on Tuesday. The company has a market capitalization of $6.32 billion, a PE ratio of -7.11 and a beta of 2.25. Unity Software has a 1 year low of $13.90 and a 1 year high of $43.54. The company has a debt-to-equity ratio of 0.70, a current ratio of 2.36 and a quick ratio of 2.36. The business has a fifty day moving average price of $16.22 and a two-hundred day moving average price of $21.03.

Unity Software (NYSE:U) last announced its quarterly earnings data on Thursday, August 8th. The company reported ($0.32) EPS for the quarter, topping the consensus estimate of ($0.44) by $0.12. Unity Software had a negative net margin of 38.52% and a negative return on equity of 8.78%. The business had revenue of $449.30 million for the quarter, compared to analyst estimates of $438.37 million. During the same quarter in the previous year, the firm posted ($0.26) earnings per share. The company’s revenue for the quarter was down 15.8% on a year-over-year basis. Analysts forecast that Unity Software will post -1.9 earnings per share for the current year.

Insider Activity

In related news, SVP Anirma Gupta sold 1,506 shares of the company’s stock in a transaction that occurred on Monday, July 29th. The shares were sold at an average price of $16.73, for a total value of $25,195.38. Following the transaction, the senior vice president now directly owns 409,540 shares in the company, valued at $6,851,604.20. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. In the last 90 days, insiders sold 5,472 shares of company stock worth $90,871. 6.30% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Capital Impact Advisors LLC purchased a new stake in Unity Software in the second quarter worth approximately $440,000. Northwestern Mutual Wealth Management Co. boosted its stake in shares of Unity Software by 163.0% in the 2nd quarter. Northwestern Mutual Wealth Management Co. now owns 2,241 shares of the company’s stock valued at $36,000 after purchasing an additional 1,389 shares in the last quarter. Creative Planning grew its holdings in shares of Unity Software by 111.7% during the 2nd quarter. Creative Planning now owns 135,195 shares of the company’s stock valued at $2,198,000 after purchasing an additional 71,325 shares during the last quarter. Susquehanna Fundamental Investments LLC raised its position in Unity Software by 127.3% in the 2nd quarter. Susquehanna Fundamental Investments LLC now owns 330,160 shares of the company’s stock worth $5,368,000 after purchasing an additional 184,922 shares during the period. Finally, Scientech Research LLC lifted its stake in Unity Software by 615.3% in the second quarter. Scientech Research LLC now owns 77,785 shares of the company’s stock worth $1,265,000 after purchasing an additional 66,911 shares during the last quarter. 73.46% of the stock is currently owned by hedge funds and other institutional investors.

About Unity Software

Unity Software Inc operates a real-time 3D development platform. Its platform provides software solutions to create, run, and monetize interactive, real-time 2D and 3D content for mobile phones, tablets, PCs, consoles, and augmented and virtual reality devices. The company offers its solutions directly through its online store and field sales operations in North America, Denmark, Finland, the United Kingdom, Germany, Japan, China, Singapore, and South Korea, as well as indirectly through independent distributors and resellers worldwide.