Forecasting The Future: 7 Analyst Projections For Unity Software - Unity Software (NYSE:U)

By Benzinga Insights

Forecasting The Future: 7 Analyst Projections For Unity Software - Unity Software (NYSE:U)

In the latest quarter, 7 analysts provided ratings for Unity Software U, showcasing a mix of bullish and bearish perspectives.

The table below summarizes their recent ratings, showcasing the evolving sentiments within the past 30 days and comparing them to the preceding months.

Bullish Somewhat Bullish Indifferent Somewhat Bearish Bearish Total Ratings 2 2 2 1 0 Last 30D 1 0 0 0 0 1M Ago 0 0 2 0 0 2M Ago 1 1 0 1 0 3M Ago 0 1 0 0 0

Analysts provide deeper insights through their assessments of 12-month price targets, revealing an average target of $22.14, a high estimate of $27.00, and a low estimate of $15.00. Observing a 17.58% increase, the current average has risen from the previous average price target of $18.83.

Deciphering Analyst Ratings: An In-Depth Analysis

A comprehensive examination of how financial experts perceive Unity Software is derived from recent analyst actions. The following is a detailed summary of key analysts, their recent evaluations, and adjustments to ratings and price targets.

Analyst Analyst Firm Action Taken Rating Current Price Target Prior Price Target Bernie McTernan Needham Raises Buy $26.00 $23.00 Alec Brondolo Wells Fargo Announces Equal-Weight $20.00 - Chris Kuntarich UBS Raises Neutral $20.00 $15.00 Tim Nollen Macquarie Raises Underperform $15.00 $12.00 Michael Pachter Wedbush Raises Outperform $27.00 $21.00 Parker Lane Stifel Raises Buy $25.00 $20.00 Matthew Cost Morgan Stanley Maintains Overweight $22.00 $22.00 Key Insights: Action Taken: In response to dynamic market conditions and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their reaction to recent developments related to Unity Software. This insight gives a snapshot of analysts' perspectives on the current state of the company. Rating: Unveiling insights, analysts deliver qualitative insights into stock performance, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Unity Software compared to the broader market. Price Targets: Analysts provide insights into price targets, offering estimates for the future value of Unity Software's stock. This comparison reveals trends in analysts' expectations over time.

Considering these analyst evaluations in conjunction with other financial indicators can offer a comprehensive understanding of Unity Software's market position. Stay informed and make well-informed decisions with our Ratings Table.

Stay up to date on Unity Software analyst ratings.

About Unity Software

Unity Software Inc provides a software platform for creating and operating interactive, real-time 3D content. The platform can be used 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 business is spread across the United States, Greater China, EMEA, APAC, and Other Americas, of which key revenue is derived from the EMEA region. The products are used in the gaming industry, architecture and construction sector, animation industry, and designing sector.

Unity Software: Delving into Financials

Market Capitalization Analysis: Falling below industry benchmarks, the company's market capitalization reflects a reduced size compared to peers. This positioning may be influenced by factors such as growth expectations or operational capacity.

Decline in Revenue: Over the 3 months period, Unity Software faced challenges, resulting in a decline of approximately -15.79% in revenue growth as of 30 June, 2024. This signifies a reduction in the company's top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Information Technology sector.

Net Margin: Unity Software's net margin is below industry averages, indicating potential challenges in maintaining strong profitability. With a net margin of -27.95%, the company may face hurdles in effective cost management.

Return on Equity (ROE): Unity Software's ROE is below industry averages, indicating potential challenges in efficiently utilizing equity capital. With an ROE of -3.94%, the company may face hurdles in achieving optimal financial returns.

Return on Assets (ROA): Unity Software's ROA lags behind industry averages, suggesting challenges in maximizing returns from its assets. With an ROA of -1.87%, the company may face hurdles in achieving optimal financial performance.

Debt Management: Unity Software's debt-to-equity ratio stands notably higher than the industry average, reaching 0.7. This indicates a heavier reliance on borrowed funds, raising concerns about financial leverage.

What Are Analyst Ratings?

Benzinga tracks 150 analyst firms and reports on their stock expectations. Analysts typically arrive at their conclusions by predicting how much money a company will make in the future, usually the upcoming five years, and how risky or predictable that company's revenue streams are.

Analysts attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish their ratings on stocks. Analysts typically rate each stock once per quarter or whenever the company has a major update.

Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.

If you want to keep track of which analysts are outperforming others, you can view updated analyst ratings along withanalyst success scores in Benzinga Pro.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.

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