Unity Software (NYSE:U) CEO Sells $3,777,829.74 in Stock

Key Points

• Unity Software CEO Matthew Bromberg sold 138,993 shares on May 26 for about $3.78 million, reducing his direct ownership by 8.19%. The company said the sale was to cover tax withholding obligations tied to vested equity awards.
• The stock rose 7.7% in Thursday trading to $29.89, with volume above average. Unity remains well below its 52-week high of $52.15 but above its 12-month low of $16.78.
• Analyst sentiment is mostly positive, with several firms raising price targets and the consensus rating sitting at “Moderate Buy” with an average price target of $38.77. Recent headlines also point to growing interest in Unity’s AI expansion and improving earnings estimates.

Unity Software Inc. (NYSE:U - Get Free Report) CEO Matthew Bromberg sold 138,993 shares of the firm's stock in a transaction dated Tuesday, May 26th. The stock was sold at an average price of $27.18, for a total value of $3,777,829.74. Following the sale, the chief executive officer directly owned 1,557,514 shares of the company's stock, valued at $42,333,230.52. This trade represents a 8.19% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards.

Unity Software Stock Up 7.7%

Shares of U traded up $2.13 during midday trading on Thursday, reaching $29.89. 14,147,768 shares of the stock were exchanged, compared to its average volume of 10,821,225. Unity Software Inc. has a 12-month low of $16.78 and a 12-month high of $52.15. The firm has a 50 day simple moving average of $24.19 and a 200-day simple moving average of $31.44. The company has a quick ratio of 1.95, a current ratio of 1.95 and a debt-to-equity ratio of 0.56. The company has a market cap of $13.05 billion, a price-to-earnings ratio of -19.04, a P/E/G ratio of 3.55 and a beta of 2.04.

Analyst Ratings Changes

A number of research firms have recently weighed in on U. Benchmark reaffirmed a "hold" rating on shares of Unity Software in a research note on Monday, February 2nd. Wells Fargo & Company raised their price target on Unity Software from $29.00 to $35.00 and gave the stock an "overweight" rating in a research note on Friday, May 8th. Wall Street Zen downgraded Unity Software from a "buy" rating to a "hold" rating in a research note on Saturday, March 28th. Barclays raised their price objective on Unity Software from $28.00 to $33.00 and gave the company an "equal weight" rating in a research note on Friday, May 8th. Finally, BTIG Research raised their price objective on Unity Software from $39.00 to $43.00 and gave the company a "buy" rating in a research note on Thursday, May 7th. One investment analyst has rated the stock with a Strong Buy rating, twelve have given a Buy rating, eight have assigned a Hold rating and one has issued a Sell rating to the company's stock. Based on data from MarketBeat, the stock currently has an average rating of "Moderate Buy" and a consensus price target of $38.77.

Key Headlines Impacting Unity Software

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

• Positive Sentiment: Analysts have been raising earnings estimates for Unity, and recent reports say the stock could still have meaningful upside from current levels. This kind of estimate momentum often supports buying interest. Earnings Estimates Moving Higher for Unity Software (U): Time to Buy?
• Positive Sentiment: Wall Street price-target coverage remains constructive, with analysts citing a sizable upside potential for Unity Software, reinforcing the bullish sentiment around the shares. Wall Street Analysts Think Unity Software (U) Could Surge 37.62%: Read This Before Placing a Bet
• Positive Sentiment: One report highlighted Unity’s AI expansion as a factor keeping the company in focus, which may be encouraging investors to view the business as a longer-term AI beneficiary. Unity AI Expansion Keeps Software Markets Watching Closely
• Neutral Sentiment: Multiple executives, including CEO Matthew S. Bromberg, CFO Jarrod Yahes, COO Alexander Blum, SVP Rebecca Berenice Boyden, and CAO Mark Barrysmith, sold shares recently. The company said the transactions were tied to tax withholding on vested equity awards, which makes the sales less alarming, but heavy insider selling can still be a mild overhang for sentiment. SEC filing for CEO sale

Institutional Inflows and Outflows

A number of institutional investors have recently made changes to their positions in U. Wellington Management Group LLP raised its stake in shares of Unity Software by 58.7% in the 3rd quarter. Wellington Management Group LLP now owns 18,213,875 shares of the company's stock valued at $729,284,000 after acquiring an additional 6,734,285 shares in the last quarter. Norges Bank bought a new position in shares of Unity Software in the 4th quarter valued at approximately $230,285,000. Renaissance Technologies LLC bought a new position in shares of Unity Software in the 1st quarter valued at approximately $54,534,000. Duquesne Family Office LLC acquired a new stake in Unity Software in the 2nd quarter valued at approximately $42,932,000. Finally, Dimensional Fund Advisors LP grew its holdings in Unity Software by 52.8% in the 1st quarter. Dimensional Fund Advisors LP now owns 4,245,014 shares of the company's stock valued at $93,089,000 after buying an additional 1,465,962 shares during the last quarter. 73.46% of the stock is owned by institutional investors.

About Unity Software

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.