Unity Software Sees Unusually High Options Volume (NYSE:U)

Unity Software Inc. (NYSE:U) saw unusually large options trading on Wednesday. Investors bought 145,220 call options on the company. This is an increase of 535% compared to the average volume of 22,883 call options.

Unity Software Stock Performance

Shares of U stock traded up $0.72 during mid-day trading on Wednesday, reaching $43.83. The stock had a trading volume of 5,159,382 shares, compared to its average volume of 12,824,245. The company has a current ratio of 2.03, a quick ratio of 2.03 and a debt-to-equity ratio of 0.55. Unity Software has a 1-year low of $16.78 and a 1-year high of $52.15. The business’s fifty day moving average is $39.62 and its 200-day moving average is $30.46. The firm has a market cap of $19.29 billion, a price-to-earnings ratio of -32.23, a PEG ratio of 1.89 and a beta of 2.06.

Unity Software (NYSE:U) last released its quarterly earnings data on Thursday, August 6th. The company reported $0.28 EPS for the quarter, beating the consensus estimate of ($0.11) by $0.39. The business had revenue of $546.47 million for the quarter, compared to the consensus estimate of $514.72 million. Unity Software had a negative net margin of 28.97% and a positive return on equity of 4.64%. The business’s revenue for the quarter was up 24.0% on a year-over-year basis. During the same period in the prior year, the firm earned $0.18 EPS. On average, research analysts forecast that Unity Software will post 0.55 earnings per share for the current year.

Wall Street Analyst Weigh In

U has been the topic of a number of research reports. Piper Sandler lifted their price objective on Unity Software from $45.00 to $55.00 and gave the stock an “overweight” rating in a research note on Friday, August 7th. Needham & Company LLC upped their target price on Unity Software from $40.00 to $54.00 and gave the company a “buy” rating in a research note on Friday, August 7th. Benchmark raised shares of Unity Software from a “hold” rating to a “buy” rating and set a $50.00 price target on the stock in a research note on Friday, August 7th. Citizens Jmp upped their target price on Unity Software from $37.00 to $45.00 and gave the stock a “market outperform” rating in a report on Friday, August 7th. Finally, HSBC raised shares of Unity Software from a “hold” rating to a “buy” rating and set a $47.10 price objective for the company in a research note on Friday, August 7th. Two equities research analysts have rated the stock with a Strong Buy rating, seventeen have issued a Buy rating, three have given a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and a consensus price target of $45.16.

Insider Buying and Selling

In related news, CEO Matthew S. Bromberg sold 16,383 shares of the company’s stock in a transaction on Tuesday, August 25th. The shares were sold at an average price of $45.31, for a total value of $742,313.73. Following the completion of the transaction, the chief executive officer owned 1,541,131 shares of the company’s stock, valued at approximately $69,828,645.61. This represents a 1.05% decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, SVP Rebecca Boyden sold 1,032 shares of the stock in a transaction dated Tuesday, August 25th. The stock was sold at an average price of $45.32, for a total value of $46,770.24. Following the sale, the senior vice president owned 308,413 shares of the company’s stock, valued at $13,977,277.16. This represents a 0.33% decrease in their position. 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. Insiders sold 109,547 shares of company stock worth $4,884,202 over the last ninety days. 0.77% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Several large investors have recently made changes to their positions in U. IFP Advisors Inc raised its position in shares of Unity Software by 29.1% in the 4th quarter. IFP Advisors Inc now owns 2,254 shares of the company’s stock worth $100,000 after buying an additional 508 shares during the period. KBC Group NV lifted its position in shares of Unity Software by 1.0% during the first quarter. KBC Group NV now owns 52,505 shares of the company’s stock worth $1,152,000 after purchasing an additional 545 shares in the last quarter. Versant Capital Management Inc lifted its holdings in Unity Software by 37.6% in the 2nd quarter. Versant Capital Management Inc now owns 2,041 shares of the company’s stock worth $58,000 after buying an additional 558 shares in the last quarter. REAP Financial Group LLC acquired a new position in shares of Unity Software in the 4th quarter valued at approximately $28,000. Finally, Greenleaf Trust raised its holdings in Unity Software by 4.6% in the second quarter. Greenleaf Trust now owns 15,837 shares of the company’s stock valued at $453,000 after acquiring an additional 691 shares in the last quarter. 73.46% of the stock is owned by institutional investors and hedge funds.

About Unity Software

Unity Software Inc develops software and services for creating, operating and monetizing interactive, real-time 2D and 3D content. Its platform is widely used to build video games for mobile devices, personal computers, consoles and the web, as well as applications for industries such as automotive, architecture, engineering, construction, manufacturing and media.

The company’s core offerings include the Unity Engine and related development tools, which support graphics, physics, animation, audio, scripting and deployment across multiple platforms.