
Unity Software (U) Stock Forecast & Price Target
Unity Software (U) Analyst Ratings
Bulls say
Unity Software Inc. has demonstrated a positive growth trajectory, with an expected revenue increase of +2% for '26E, driven by strong performance in the Grow segment, which saw a sequential growth of +10.8%, outperforming prior estimates. The mobile gaming market, projected to expand at a 10-15% year-over-year pace, is anticipated to further benefit Unity's Create and Operate platforms as engagement and advertising expenses continue to rise. Additionally, enhanced revenue estimates for '25E indicate a favorable outlook, with significant growth potential in the Unity Ads segment and improvements in developer margins expected to drive future revenue growth.
Bears say
Unity Software Inc. is facing significant challenges, evidenced by declining legacy operations such as Tapjoy, Bidalgo, and LevelPlay, which are expected to contribute to ongoing revenue losses. The company struggles with revenue headwinds in its Operate segment, compounded by competitive pressures and a shift in industry dynamics, including declining demand for game creation software and the negative impact of changes in advertising spend efficacy. While the most recent quarterly results exceeded revenue expectations, the disappointing EBITDA guidance indicates underlying financial instability and raises concerns over the sustainability of growth in the near term.
This aggregate rating is based on analysts' research of Unity Software and is not a guaranteed prediction by Public.com or investment advice.
Unity Software (U) Analyst Forecast & Price Prediction
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