Unity Software (NYSE:U) Raised to “Buy” at Benchmark

Posted by Brian Himes on Aug 7th, 2026

Unity Software (NYSE:U – Get Free Report) was upgraded by Benchmark from a “hold” rating to a “buy” rating in a report issued on Friday. The brokerage presently has a $50.00 price target on the stock. Benchmark’s price target suggests a potential upside of 22.12% from the stock’s current price.

U has been the topic of a number of other reports. Needham & Company LLC boosted their target price on shares of Unity Software from $35.00 to $40.00 and gave the stock a “buy” rating in a report on Friday, May 8th. BTIG Research increased their price target on shares of Unity Software from $43.00 to $51.00 and gave the company a “buy” rating in a research note on Thursday. UBS Group reissued an “outperform” rating on shares of Unity Software in a research report on Friday. Barclays boosted their price objective on shares of Unity Software from $28.00 to $33.00 and gave the stock an “equal weight” rating in a research note on Friday, May 8th. Finally, Piper Sandler reaffirmed an “overweight” rating and issued a $45.00 target price (up from $40.00) on shares of Unity Software in a report on Thursday, July 30th. Two investment analysts have rated the stock with a Strong Buy rating, seventeen have issued a Buy rating, three have assigned a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $41.95.

Read Our Latest Research Report on U

Unity Software Trading Up 15.4%

Shares of Unity Software stock opened at $40.94 on Friday. The stock has a market cap of $17.87 billion, a P/E ratio of -26.08, a P/E/G ratio of 4.20 and a beta of 2.04. The company has a quick ratio of 1.95, a current ratio of 1.95 and a debt-to-equity ratio of 0.56. Unity Software has a 12-month low of $16.78 and a 12-month high of $52.15. The business’s 50 day moving average is $29.89 and its 200-day moving average is $26.57.

Insider Activity

In related news, CEO Matthew S. Bromberg sold 138,993 shares of Unity Software stock in a transaction that occurred on Tuesday, May 26th. The stock was sold at an average price of $27.18, for a total transaction of $3,777,829.74. Following the completion of the sale, the chief executive officer directly owned 1,557,514 shares of the company’s stock, valued at approximately $42,333,230.52. This trade represents a 8.19% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CAO Mark Barrysmith sold 13,247 shares of the business’s stock in a transaction on Tuesday, May 26th. The shares were sold at an average price of $27.18, for a total value of $360,053.46. Following the completion of the sale, the chief accounting officer owned 370,654 shares of the company’s stock, valued at $10,074,375.72. This trade represents a 3.45% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last three months, insiders sold 198,321 shares of company stock valued at $5,390,783. Company insiders own 0.77% of the company’s stock.

Institutional Investors Weigh In On Unity Software

A number of hedge funds and other institutional investors have recently modified their holdings of the company. Wellington Management Group LLP lifted its holdings in shares of Unity Software by 58.7% during the 3rd quarter. Wellington Management Group LLP now owns 18,213,875 shares of the company’s stock worth $729,284,000 after acquiring an additional 6,734,285 shares during the period. Norges Bank bought a new position in Unity Software in the fourth quarter valued at approximately $230,285,000. Renaissance Technologies LLC acquired a new position in Unity Software during the first quarter valued at approximately $54,534,000. Duquesne Family Office LLC acquired a new position in Unity Software during the second quarter valued at approximately $42,932,000. Finally, Dimensional Fund Advisors LP lifted its stake in Unity Software by 52.8% during the first quarter. Dimensional Fund Advisors LP now owns 4,245,014 shares of the company’s stock worth $93,089,000 after purchasing an additional 1,465,962 shares during the last quarter. Institutional investors and hedge funds own 73.46% of the company’s stock.

Key Headlines Impacting Unity Software

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

Positive Sentiment: Q2 results exceeded expectations. Unity reported revenue of approximately $546.5 million, up about 24% year over year and ahead of the roughly $514 million consensus. Adjusted earnings were $0.28 per share, also above estimates near $0.24-$0.25 and a loss reported in the year-ago period. Unity Reports Second Quarter 2026 Financial Results
Positive Sentiment: Profitability and cash flow improved sharply. Management highlighted record free cash flow and indicated that GAAP profitability could arrive in the third quarter of 2026, earlier than previously expected. The results were described by the CEO as potentially Unity’s best quarter since becoming a public company. Unity Q2 2026 Earnings Call Highlights
Positive Sentiment: Guidance topped analyst expectations. Unity forecast third-quarter revenue of $540 million to $550 million, above the approximately $533.8 million consensus, along with a 33% adjusted EBITDA margin. Management cited momentum in its Vector product and continued strength in Grow Solutions. Unity Forecasts Q3 Strategic Revenue and Margin
Positive Sentiment: Analyst sentiment strengthened. BTIG Research raised its price target from $43 to $51 and maintained a Buy rating, suggesting additional potential upside based on improving growth and profitability. BTIG Research Price Target Update
Neutral Sentiment: Options activity turned more bullish. Investors purchased 41,488 Unity call options, about 30% above typical daily call volume. This indicates increased trading interest but does not guarantee continued gains.

About Unity Software

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Unity Software is a leading provider of a real-time 3D development platform that enables creators across industries to design, build and operate interactive, real-time experiences. Originally focused on the game development market, Unity’s technology now extends into sectors such as film, automotive, architecture, engineering and construction, delivering immersive content for mobile, desktop, console, augmented reality and virtual reality devices. The company’s core offering comprises a suite of authoring tools, runtime engines and cloud services that streamline the creation and deployment of interactive 3D applications.

The Unity Editor serves as the central hub where developers design scenes, script behavior and iterate on assets.