HSBC Upgrades Unity Software (NYSE:U) to “Buy”

Unity Software (NYSE:U) was upgraded by analysts at HSBC from a “hold” rating to a “buy” rating in a research report issued on Friday,Briefing.com Automated Import reports. The brokerage presently has a $34.00 price target on the stock. HSBC’s target price would indicate a potential upside of 21.62% from the company’s previous close.

Several other brokerages also recently issued reports on U. JMP Securities reiterated a “market perform” rating on shares of Unity Software in a report on Monday, February 3rd. Benchmark upgraded shares of Unity Software from a “sell” rating to a “hold” rating in a research note on Thursday. Wedbush restated an “outperform” rating and set a $27.00 target price on shares of Unity Software in a report on Thursday, February 13th. Macquarie raised their price objective on shares of Unity Software from $15.00 to $16.00 and gave the stock an “underperform” rating in a research note on Friday, November 8th. Finally, Needham & Company LLC raised their price objective on shares of Unity Software from $23.00 to $26.00 and gave the stock a “buy” rating in a research note on Friday, November 8th. One research analyst has rated the stock with a sell rating, eight have assigned a hold rating and seven have assigned a buy rating to the stock. Based on data from MarketBeat.com, Unity Software has a consensus rating of “Hold” and a consensus price target of $23.61.

Unity Software Price Performance

Shares of Unity Software stock opened at $27.96 on Friday. Unity Software has a 12 month low of $13.90 and a 12 month high of $33.43. The company has a debt-to-equity ratio of 0.70, a current ratio of 2.41 and a quick ratio of 2.41. The stock has a market capitalization of $11.26 billion, a P/E ratio of -13.70 and a beta of 2.32. The business has a 50 day simple moving average of $22.45 and a two-hundred day simple moving average of $20.99.

Unity Software (NYSE:U) last released its earnings results on Thursday, February 20th. The company reported ($0.30) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.35) by $0.05. Unity Software had a negative return on equity of 11.30% and a negative net margin of 40.47%. As a group, analysts predict that Unity Software will post -1.72 EPS for the current fiscal year.

Insiders Place Their Bets

In other news, SVP Felix The sold 20,000 shares of the company’s stock in a transaction dated Friday, December 6th. The shares were sold at an average price of $27.43, for a total transaction of $548,600.00. Following the completion of the transaction, the senior vice president now owns 391,960 shares of the company’s stock, valued at approximately $10,751,462.80. This represents a 4.85 % decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Tomer Bar-Zeev sold 210,000 shares of the company’s stock in a transaction dated Wednesday, December 4th. The shares were sold at an average price of $26.23, for a total transaction of $5,508,300.00. Following the transaction, the director now directly owns 967,650 shares of the company’s stock, valued at $25,381,459.50. This represents a 17.83 % decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 679,264 shares of company stock valued at $16,612,383 in the last quarter. Insiders own 6.30% of the company’s stock.

Institutional Trading of Unity Software

Large investors have recently added to or reduced their stakes in the company. Ariose Capital Management Ltd acquired a new position in Unity Software in the fourth quarter valued at approximately $2,299,000. Charles Schwab Investment Management Inc. increased its position in shares of Unity Software by 100.4% during the third quarter. Charles Schwab Investment Management Inc. now owns 1,886,016 shares of the company’s stock worth $42,662,000 after acquiring an additional 944,709 shares in the last quarter. CIBC Asset Management Inc grew its position in Unity Software by 2,665.4% in the third quarter. CIBC Asset Management Inc now owns 342,472 shares of the company’s stock valued at $7,747,000 after purchasing an additional 330,088 shares in the last quarter. LMR Partners LLP bought a new position in Unity Software in the third quarter valued at $611,000. Finally, Edgestream Partners L.P. grew its position in Unity Software by 637.9% in the third quarter. Edgestream Partners L.P. now owns 102,899 shares of the company’s stock valued at $2,328,000 after purchasing an additional 88,955 shares in the last quarter. 73.46% of the stock is owned by 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.