ARK Investment Management LLC Sells 256,558 Shares of Unity Software Inc. (NYSE:U)

Key Points

• ARK Investment Management LLC reduced its holdings in Unity Software Inc. by 22.7%, bringing the total to 873,348 shares after selling 256,558 shares in the first quarter.
• Insider trading activity saw Director Tomer Bar-Zeev sell 250,000 shares for approximately $6.6 million, representing a 9.44% decrease in his position.
• Unity Software reported a negative net margin of 25.21% and EPS of ($0.19), exceeding estimates but showing a 5.5% decline in revenue year-over-year.

ARK Investment Management LLC reduced its stake in shares of Unity Software Inc. (NYSE:U - Free Report) by 22.7% during the first quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The firm owned 873,348 shares of the company's stock after selling 256,558 shares during the quarter. ARK Investment Management LLC owned approximately 0.21% of Unity Software worth $17,109,000 at the end of the most recent reporting period.

Other hedge funds have also added to or reduced their stakes in the company. Vanguard Group Inc. increased its stake in shares of Unity Software by 2.1% in the 4th quarter. Vanguard Group Inc. now owns 31,123,035 shares of the company's stock worth $699,335,000 after acquiring an additional 625,872 shares in the last quarter. Capital International Investors increased its stake in shares of Unity Software by 10.4% in the 4th quarter. Capital International Investors now owns 18,886,853 shares of the company's stock worth $424,388,000 after acquiring an additional 1,786,032 shares in the last quarter. Norges Bank purchased a new stake in Unity Software during the 4th quarter valued at about $269,320,000. Geode Capital Management LLC grew its position in Unity Software by 1.8% during the 4th quarter. Geode Capital Management LLC now owns 4,769,609 shares of the company's stock valued at $107,208,000 after purchasing an additional 84,480 shares during the last quarter. Finally, Slate Path Capital LP purchased a new stake in Unity Software during the 4th quarter valued at about $62,387,000. 73.46% of the stock is owned by hedge funds and other institutional investors.

Insider Activity at Unity Software

In other Unity Software news, Director David Helgason sold 261,473 shares of the firm's stock in a transaction that occurred on Friday, June 6th. The shares were sold at an average price of $25.70, for a total transaction of $6,719,856.10. Following the sale, the director owned 7,489,173 shares in the company, valued at approximately $192,471,746.10. This trade represents a 3.37% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CAO Mark Barrysmith sold 1,011 shares of the firm's stock in a transaction that occurred on Wednesday, July 16th. The stock was sold at an average price of $32.30, for a total transaction of $32,655.30. Following the sale, the chief accounting officer owned 464,372 shares in the company, valued at approximately $14,999,215.60. The trade was a 0.22% decrease in their position. The disclosure for this sale can be found here. Insiders have sold 1,276,809 shares of company stock worth $31,561,623 in the last 90 days. Insiders own 3.61% of the company's stock.

Wall Street Analyst Weigh In

U has been the topic of several recent analyst reports. Jefferies Financial Group increased their price objective on shares of Unity Software from $29.00 to $35.00 and gave the company a "buy" rating in a research report on Wednesday, July 16th. BTIG Research downgraded shares of Unity Software from a "neutral" rating to a "sell" rating and set a $25.00 price objective on the stock. in a research report on Wednesday, July 23rd. Wall Street Zen downgraded shares of Unity Software from a "buy" rating to a "hold" rating in a research report on Friday, June 27th. Stifel Nicolaus cut their price objective on shares of Unity Software from $35.00 to $28.00 and set a "buy" rating on the stock in a research report on Thursday, May 8th. Finally, Wells Fargo & Company increased their price objective on shares of Unity Software from $19.00 to $24.00 and gave the company an "equal weight" rating in a research report on Monday, July 7th. Two equities research analysts have rated the stock with a sell rating, ten have issued a hold rating, seven have assigned a buy rating and two have assigned a strong buy rating to the company. Based on data from MarketBeat, Unity Software currently has a consensus rating of "Hold" and a consensus price target of $27.22.

Unity Software Stock Performance

Shares of NYSE:U traded down $0.99 during trading on Tuesday, hitting $32.50. The company's stock had a trading volume of 7,336,426 shares, compared to its average volume of 12,127,616. The company has a 50-day moving average of $26.60 and a 200-day moving average of $23.34. Unity Software Inc. has a 12 month low of $13.90 and a 12 month high of $38.96. The company has a debt-to-equity ratio of 0.70, a current ratio of 2.74 and a quick ratio of 2.74. The firm has a market cap of $13.51 billion, a price-to-earnings ratio of -29.02 and a beta of 2.29.

Unity Software (NYSE:U - Get Free Report) last issued its quarterly earnings data on Wednesday, May 7th. The company reported ($0.19) earnings per share for the quarter, topping the consensus estimate of ($0.38) by $0.19. Unity Software had a negative net margin of 25.21% and a negative return on equity of 14.12%. The firm had revenue of $435.00 million for the quarter, compared to analysts' expectations of $415.77 million. During the same quarter in the prior year, the business earned $0.28 EPS. The business's quarterly revenue was down 5.5% on a year-over-year basis. On average, sell-side analysts expect that Unity Software Inc. will post -1.25 earnings per share for the current year.

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.