Is Unity Software Stock a Good Investment?
Unity Software Investment Advice | U |
- Examine Unity Software's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Unity Software's leadership team and their track record. Good management can help Unity Software navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Application Software space and any emerging trends that could impact Unity Software's business and its evolving consumer preferences.
- Compare Unity Software's performance and market position to its competitors. Analyze how Unity Software is positioned in terms of product offerings, innovation, and market share.
- Check if Unity Software pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Unity Software's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Unity Software stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Unity Software is a good investment.
Sell | Buy |
Strong Sell
Market Performance | Weak | Details | |
Volatility | Not too volatile | Details | |
Hype Condition | Low key | Details | |
Current Valuation | Overvalued | Details | |
Odds Of Distress | Above Average | Details | |
Economic Sensitivity | Responds to the market | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Buy | Details | |
Financial Strenth (F Score) | Healthy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Examine Unity Software Stock
Researching Unity Software's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 79.0% of the company outstanding shares are owned by institutional investors. The book value of Unity Software was at this time reported as 7.91. The company recorded a loss per share of 2.05. Unity Software had not issued any dividends in recent years.
To determine if Unity Software is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Unity Software's research are outlined below:
| Unity Software had very high historical volatility over the last 90 days | |
| Unity Software has high likelihood to experience some financial distress in the next 2 years | |
| The company reported the annual revenue of 2.19 B. Total Loss to common stockholders was (822.01 M) with gross profit before all taxes, overhead, and interest of 1.37 B. | |
| Over 79.0% of the company outstanding shares are owned by institutional investors | |
| Latest headline from thelincolnianonline.com: Pinnacle Bancorp Inc. Buys 3,150 Shares of U.S. Bancorp |
Unity Software Quarterly Good Will |
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Unity Software uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Unity Software. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Unity Software's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 26th of February 2024 Upcoming Quarterly Report | View | |
| 8th of May 2024 Next Financial Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View | |
| 26th of February 2024 Next Fiscal Year End | View | |
| 30th of September 2023 Last Quarter Report | View | |
| 31st of December 2022 Last Financial Announcement | View |
Earnings surprises can significantly impact Unity Software's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Unity Software's investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2021-11-09 | 2021-09-30 | -0.07 | -0.06 | 0.01 | 14 | ||
2022-02-03 | 2021-12-31 | -0.07 | -0.05 | 0.02 | 28 | ||
2021-05-11 | 2021-03-31 | -0.12 | -0.1 | 0.02 | 16 | ||
2023-02-22 | 2022-12-31 | 0.02 | -0.01 | -0.03 | 150 | ||
2022-08-09 | 2022-06-30 | -0.21 | -0.18 | 0.03 | 14 | ||
2021-02-04 | 2020-12-31 | -0.14 | -0.1 | 0.04 | 28 | ||
2024-11-07 | 2024-09-30 | -0.36 | -0.31 | 0.05 | 13 | ||
2020-11-12 | 2020-09-30 | -0.15 | -0.09 | 0.06 | 40 |
Unity Software Target Price Consensus
Unity target price is determined by taking all analyst projections and averaging them out. There is no one specific way to measure analysts' performance other than comparing it to past results via a very sophisticated attribution analysis. Unity Software's target price projections below should be used in combination with other traditional price prediction techniques such as stock price forecasting, investor sentiment analysis, technical analysis, earnings estimate, and various momentum models.
| 29 | Buy |
Most Unity analysts issue ratings four times a year, at intervals of three months. Ratings are usually accompanied by a target price to help potential investors understand Unity stock's fair price compared to its market value. Analysts arrive at stock ratings after researching the public financial statements of Unity Software, talking to its executives and customers, or listening to those companies' conference calls.
Macroaxis Advice Exposure ValuationUnity Software Target Price Projection
Unity Software's current and average target prices are 21.77 and 22.51, respectively. The current price of Unity Software is the price at which Unity Software is currently trading. On the other hand, Unity Software's target price is what analysts think the stock is worth or could sell for in the future. The more significant the discrepancy between the two prices, the more it stimulates investors to act.Current Price
Unity Software Market Quote on 18th of January 2025
Target Price
Analyst Consensus On Unity Software Target Price
Unity Software Analyst Ratings
Unity Software's analyst stock recommendations are determined by taking an average estimate of all analysts we track and classifying them as Strong Buy, Buy, Hold, Strong Sell, or Sell. Ratings generally communicate what analysts sense about Unity Software stock, and they use a lot of effort and time to analyze it and arrive at a rating. That suggests that analyst recommendations are the outcome of an objective and thorough examination of Unity Software's financials, market performance, and future outlook by experienced professionals. Unity Software's historical ratings below, therefore, can serve as a valuable tool for investors.Know Unity Software's Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Unity Software is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Unity Software backward and forwards among themselves. Unity Software's institutional investor refers to the entity that pools money to purchase Unity Software's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Sumitomo Mitsui Trust Group Inc | 2024-09-30 | 7.7 M | Ark Investment Management Llc | 2024-09-30 | 6.7 M | Spiderrock Advisors Llc | 2024-09-30 | 6.5 M | Jpmorgan Chase & Co | 2024-09-30 | 5.9 M | Wellington Management Company Llp | 2024-09-30 | 5.5 M | State Street Corp | 2024-09-30 | 5.4 M | Geode Capital Management, Llc | 2024-09-30 | 4.7 M | Jane Street Group Llc | 2024-09-30 | 3.7 M | Amvescap Plc. | 2024-09-30 | 3.6 M | Silver Lake Group, L.l.c. | 2024-09-30 | 34.7 M | Sc Us (ttgp), Ltd. | 2024-09-30 | 32.2 M |
Unity Software's market capitalization trends
The company currently falls under 'Mid-Cap' category with a current capitalization of 8.76 B.Market Cap |
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Unity Software's profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | (0.35) | (0.37) | |
| Return On Capital Employed | (0.12) | (0.11) | |
| Return On Assets | (0.10) | (0.11) | |
| Return On Equity | (0.23) | (0.24) |
Determining Unity Software's profitability involves analyzing its financial statements and using various financial metrics to determine if Unity Software is a good buy. For example, gross profit margin measures Unity Software's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Unity Software's profitability and make more informed investment decisions.
Unity Software's Earnings Breakdown by Geography
Please note, the imprecision that can be found in Unity Software's accounting process means that the reasonable investor should take a skeptical approach toward the financial statement analysis of Unity Software. Check Unity Software's Beneish M Score to see the likelihood of Unity Software's management manipulating its earnings.
Evaluate Unity Software's management efficiency
Unity Software has return on total asset of (0.0543) % which means that for every $100 of assets, it has lost $0.0543. This is way below average. Similarly, it shows a return on equity (ROE) of (0.2309) %, implying that it made negative returns to current shareholders. Unity Software's management efficiency ratios could be used to measure how well Unity Software manages its routine affairs as well as how well it operates its assets and liabilities. Return On Tangible Assets is likely to drop to -0.37 in 2025. Return On Capital Employed is likely to gain to -0.11 in 2025. At this time, Unity Software's Non Current Liabilities Total is comparatively stable compared to the past year. Non Current Liabilities Other is likely to gain to about 262.3 M in 2025, whereas Total Current Liabilities is likely to drop slightly above 664.3 M in 2025.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 8.08 | 5.95 | |
| Tangible Book Value Per Share | (3.50) | (3.33) | |
| Enterprise Value Over EBITDA | (71.70) | (75.29) | |
| Price Book Value Ratio | 5.62 | 5.34 | |
| Enterprise Value Multiple | (71.70) | (75.29) | |
| Price Fair Value | 5.62 | 5.34 | |
| Enterprise Value | 13.9 B | 12.3 B |
Unity Software benefits from a management team that prioritizes both innovation and efficiency. We analyze these priorities to gauge the stock's future performance.
Beta 2.291 |
Basic technical analysis of Unity Stock
As of the 18th of January 2025, Unity Software has the Coefficient Of Variation of 4385.58, risk adjusted performance of 0.0271, and Semi Deviation of 4.12. In relation to fundamental indicators, the technical analysis model makes it possible for you to check existing technical drivers of Unity Software, as well as the relationship between them.Unity Software's insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Unity Software insiders, such as employees or executives, is commonly permitted as long as it does not rely on Unity Software's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Unity Software insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
Unity Software's Outstanding Corporate Bonds
Unity Software issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Unity Software uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Unity bonds can be classified according to their maturity, which is the date when Unity Software has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
| International Game Technology Corp BondUS460599AD57 | View | |
| AerCap Global Aviation Corp BondUS00773HAA59 | View |
Understand Unity Software's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Unity Software's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | 0.0271 | |||
| Market Risk Adjusted Performance | 0.08 | |||
| Mean Deviation | 3.12 | |||
| Semi Deviation | 4.12 | |||
| Downside Deviation | 4.2 | |||
| Coefficient Of Variation | 4385.58 | |||
| Standard Deviation | 4.19 | |||
| Variance | 17.53 | |||
| Information Ratio | 0.0212 | |||
| Jensen Alpha | 0.0897 | |||
| Total Risk Alpha | 0.1029 | |||
| Sortino Ratio | 0.0212 | |||
| Treynor Ratio | 0.07 | |||
| Maximum Drawdown | 19.47 | |||
| Value At Risk | (7.70) | |||
| Potential Upside | 7.73 | |||
| Downside Variance | 17.62 | |||
| Semi Variance | 16.97 | |||
| Expected Short fall | (3.22) | |||
| Skewness | 0.0207 | |||
| Kurtosis | 0.3003 |
| Risk Adjusted Performance | 0.0271 | |||
| Market Risk Adjusted Performance | 0.08 | |||
| Mean Deviation | 3.12 | |||
| Semi Deviation | 4.12 | |||
| Downside Deviation | 4.2 | |||
| Coefficient Of Variation | 4385.58 | |||
| Standard Deviation | 4.19 | |||
| Variance | 17.53 | |||
| Information Ratio | 0.0212 | |||
| Jensen Alpha | 0.0897 | |||
| Total Risk Alpha | 0.1029 | |||
| Sortino Ratio | 0.0212 | |||
| Treynor Ratio | 0.07 | |||
| Maximum Drawdown | 19.47 | |||
| Value At Risk | (7.70) | |||
| Potential Upside | 7.73 | |||
| Downside Variance | 17.62 | |||
| Semi Variance | 16.97 | |||
| Expected Short fall | (3.22) | |||
| Skewness | 0.0207 | |||
| Kurtosis | 0.3003 |
Consider Unity Software's intraday indicators
Unity Software intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Unity Software stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
| Accumulation Distribution | 372731.0 | |||
| Daily Balance Of Power | 0.018 | |||
| Rate Of Daily Change | 1.0 | |||
| Day Median Price | 22.09 | |||
| Day Typical Price | 21.98 | |||
| Price Action Indicator | (0.31) | |||
| Period Momentum Indicator | 0.02 |
Unity Software Corporate Filings
F4 | 17th of January 2025 The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities | ViewVerify |
F3 | 2nd of January 2025 The report used by insiders such as officers, directors, and major shareholders (beneficial owners holding more than 10% of any class of the company's equity securities) to declare their ownership of a company's stock | ViewVerify |
13A | 12th of November 2024 The form used by investors holding more than 5% of a company's stock, to report their beneficial ownership pursuant to Rule 13d-1 or Rule 13d-2 under the Securities Exchange Act of 1934 | ViewVerify |
ASR | 8th of November 2024 Automatic Shelf Registration Statement under Rule 415 filed with the U.S. Securities and Exchange Commission (SEC) | ViewVerify |
Unity Stock media impact
Far too much social signal, news, headlines, and media speculation about Unity Software that are available to investors today. That information is available publicly through Unity media outlets and privately through word of mouth or via Unity internal channels. However, regardless of the origin, that massive amount of Unity data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Unity Software news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Unity Software relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Unity Software's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Unity Software alpha.
Unity Software Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards Unity Software can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
Unity Software Historical Investor Sentiment
Investor biases related to Unity Software's public news can be used to forecast risks associated with an investment in Unity. The trend in average sentiment can be used to explain how an investor holding Unity can time the market purely based on public headlines and social activities around Unity Software. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Unity Software's market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Unity Software and other traded tickers. The bigger the bubble, the more accurate the estimated score. Higher bars for a given day show more participation in the average Unity Software news discussions. The higher the estimate score, the more favorable the investor's outlook on Unity Software.
Unity Software Maximum Pain Price Across February 28th 2025 Option Contracts
Unity Software's options can also be used to analyze investors' bias and current market sentiment in the context of behavioral finance. For example, Max pain usually refers to a trading concept that asserts that market manipulation can cause the market price of Unity Software close to the expiration of its current option contract to expire worthlessly. According to most research, about 35% of options are not executed, with roughly 50% traded out before expiration. So, Max pain occurs when market makers reach a net favorable position across all options at a strike price where option holders stand to lose the most money. By contrast, option sellers may reap the most after selling more options than buying, causing them to expire worthlessly. Please continue to view the detailed analysis of Unity Software's options.
Unity Software Corporate Management
| Joachim Ante | CoFounder CTO | Profile | |
| Jules Shumaker | Senior Create | Profile | |
| Steven Collins | Chief Officer | Profile | |
| Melissa Zeloof | Senior Officer | Profile |
Additional Tools for Unity Stock Analysis
When running Unity Software's price analysis, check to measure Unity Software's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Unity Software is operating at the current time. Most of Unity Software's value examination focuses on studying past and present price action to predict the probability of Unity Software's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Unity Software's price. Additionally, you may evaluate how the addition of Unity Software to your portfolios can decrease your overall portfolio volatility.