Alyeska Investment Group L.P. Buys New Holdings in Unity Software Inc. $U

Key Points

• Alyeska Investment Group L.P. has purchased 200,000 shares of Unity Software Inc., valued at approximately $3.9 million, marking a significant new position in the company during the first quarter.
• Institutional investors own 73.46% of Unity Software, with several firms, including Atreides Management and Vanguard Group, significantly increasing their stakes in the company.
• Unity Software reported a loss per share of ($0.26) for the quarter, missing expectations slightly, while also generating revenue of $440.94 million, beating consensus estimates.

Alyeska Investment Group L.P. purchased a new stake in shares of Unity Software Inc. (NYSE:U - Free Report) during the 1st quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The fund purchased 200,000 shares of the company's stock, valued at approximately $3,918,000.

Several other institutional investors and hedge funds have also bought and sold shares of U. Adage Capital Partners GP L.L.C. bought a new stake in Unity Software during the 1st quarter valued at approximately $3,918,000. Atreides Management LP lifted its stake in shares of Unity Software by 146.7% in the 1st quarter. Atreides Management LP now owns 9,430,955 shares of the company's stock valued at $184,752,000 after purchasing an additional 5,607,572 shares during the period. PDT Partners LLC bought a new stake in shares of Unity Software during the first quarter valued at approximately $835,000. Vident Advisory LLC purchased a new stake in Unity Software in the first quarter worth $200,000. Finally, Canada Pension Plan Investment Board grew its stake in Unity Software by 45,600.0% in the first quarter. Canada Pension Plan Investment Board now owns 91,400 shares of the company's stock worth $1,791,000 after purchasing an additional 91,200 shares during the period. 73.46% of the stock is currently owned by hedge funds and other institutional investors.

Unity Software Stock Performance

NYSE:U traded up $0.15 during trading hours on Thursday, reaching $43.25. The company had a trading volume of 10,539,591 shares, compared to its average volume of 11,099,564. The firm has a market cap of $18.27 billion, a price-to-earnings ratio of -40.80 and a beta of 2.33. The company has a current ratio of 2.73, a quick ratio of 2.73 and a debt-to-equity ratio of 0.70. The firm's 50 day moving average price is $35.76 and its 200-day moving average price is $26.86. Unity Software Inc. has a 52 week low of $15.33 and a 52 week high of $46.00.

Unity Software (NYSE:U - Get Free Report) last released its quarterly earnings results on Wednesday, August 6th. The company reported ($0.26) earnings per share for the quarter, missing the consensus estimate of ($0.25) by ($0.01). Unity Software had a negative net margin of 24.38% and a negative return on equity of 13.59%. The firm had revenue of $440.94 million for the quarter, compared to the consensus estimate of $425.18 million. During the same period in the previous year, the company earned ($0.32) earnings per share. Unity Software's quarterly revenue was down 1.9% compared to the same quarter last year. On average, analysts forecast that Unity Software Inc. will post -1.25 EPS for the current year.

Insider Activity

In related news, CEO Matthew S. Bromberg sold 120,000 shares of the firm's stock in a transaction on Tuesday, August 26th. The stock was sold at an average price of $40.03, for a total value of $4,803,600.00. Following the transaction, the chief executive officer directly owned 1,222,812 shares of the company's stock, valued at approximately $48,949,164.36. This trade represents a 8.94% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, Director David Helgason sold 1,350,000 shares of the company's stock in a transaction dated Monday, September 8th. The stock was sold at an average price of $44.43, for a total value of $59,980,500.00. Following the completion of the sale, the director owned 6,139,173 shares of the company's stock, valued at approximately $272,763,456.39. The trade was a 18.03% decrease in their position. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 1,981,485 shares of company stock worth $82,447,777. Company insiders own 3.61% of the company's stock.

Analysts Set New Price Targets

Several equities analysts have commented on U shares. Bank of America assumed coverage on Unity Software in a research report on Thursday, June 26th. They set an "underperform" rating and a $15.00 price objective for the company. Wall Street Zen raised shares of Unity Software from a "hold" rating to a "buy" rating in a research report on Saturday, August 9th. Citigroup boosted their price objective on shares of Unity Software from $29.00 to $44.00 and gave the stock a "buy" rating in a research note on Wednesday, July 23rd. Needham & Company LLC raised their target price on shares of Unity Software from $30.00 to $40.00 and gave the company a "buy" rating in a research note on Wednesday, August 6th. Finally, Jefferies Financial Group lifted their price objective on Unity Software from $29.00 to $35.00 and gave the company a "buy" rating in a research note on Wednesday, July 16th. Two equities research analysts have rated the stock with a Strong Buy rating, eight have assigned a Buy rating, seven have given a Hold rating and two have issued a Sell rating to the company. According to data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and an average target price of $31.20.

Unity Software Profile

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.