Overview Dividends

(U) Unity Software - Ratings and Ratios

Exchange: NYSE • Country: United States • Currency: USD • Type: Common Stock • ISIN: US91332U1016

Engine, Platform, SDK, Ads, Cloud

Application Software
Market Cap in USD: 18,935m

IPO / Inception: 2020-09-18
Return 12m vs S&P 500: 66.7%

EPS (Earnings per Share)

EPS CAGR: 2.96%
EPS Trend: -10.5%

Last SUE: -0.76
Qual. Beats: 0

Revenue

Rev. CAGR: 11.22%
Rev. Trend: 55.6%

Last SUE: 0.92
Qual. Beats: 1

Dividends

Currently no dividends paid

Risk via 5d forecast
Volatility	58.6%
Value at Risk 5%th	89.4%
Relative Tail Risk	-7.27%

Reward TTM
Sharpe Ratio	1.21
Alpha	51.87
CAGR/Max DD	0.18

Character TTM
Hurst Exponent	0.488
Beta	1.964
Beta Downside	2.314

Drawdowns 3y
Max DD	71.28%
Mean DD	38.02%
Median DD	39.58%

Description: U Unity Software January 03, 2026

Unity Software Inc. (NYSE: U) runs a cloud-based development platform that enables creators to build, operate, and monetize real-time 2D/3D experiences across mobile, PC, console, and extended-reality (XR) devices worldwide.

The platform is divided into three core suites: Create Solutions (authoring tools, runtime engine, and cloud services), Grow Solutions (user-acquisition, analytics, and in-app monetization), and Enterprise Services (consulting, integration, and advertising/publishing support). Unity distributes these offerings via its online store, direct field sales, and a network of independent distributors and resellers, serving everyone from indie developers to Fortune-500 enterprises and government agencies.

Key performance indicators as of FY 2023 show $1.9 billion in total revenue, a 23 % YoY increase driven largely by a 31 % rise in subscription-based “Create” revenue and a 19 % jump in “Grow” services. The company’s monthly active developers (MAD) reached roughly 2.1 million, indicating strong network effects, while average revenue per user (ARPU) has been trending upward as more developers adopt premium analytics and advertising tools.

Sector-wide, Unity benefits from two macro trends: the continued expansion of mobile gaming, which now accounts for over 50 % of global game revenue, and the accelerating adoption of XR experiences, projected to grow at a CAGR of ~30 % through 2030. Additionally, the integration of generative AI into content creation is expected to boost developer productivity, a capability Unity is actively embedding across its toolchain.

For a deeper quantitative comparison, you might explore ValueRay’s platform for granular analyst-grade metrics.

Piotroski VR‑10 (Strict, 0-10) 4.0

Net Income (-435.5m TTM) > 0 and > 6% of Revenue (6% = 108.2m TTM)

FCFTA 0.06 (>2.0%) and ΔFCFTA 2.37pp (YES ≥ +1.0pp, WARN ≥ +0.5pp)

NWC/Revenue 93.16% (prev 63.06%; Δ 30.10pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp)

CFO/TA 0.06 (>3.0%) and CFO 413.7m > Net Income -435.5m (YES >=105%, WARN >=100%)

Net Debt (335.7m) to EBITDA (37.5m) ratio: 8.95 <= 3.0 (WARN <= 3.5)

Current Ratio 2.78 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active)

Outstanding Shares last Quarter (424.3m) change vs 12m ago 6.39% (target <= -2.0% for YES)

Gross Margin 74.29% (prev 68.12%; Δ 6.17pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0)

Asset Turnover 26.70% (prev 29.22%; Δ -2.52pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0)

Interest Coverage Ratio -16.58 (EBITDA TTM 37.5m / Interest Expense TTM 23.8m) >= 6 (WARN >= 3)

Altman Z'' -1.99

(A) 0.25 = (Total Current Assets 2.62b - Total Current Liabilities 942.2m) / Total Assets 6.78b

(B) -0.60 = Retained Earnings (Balance) -4.05b / Total Assets 6.78b

(D) -1.22 = Book Value of Equity -4.05b / Total Liabilities 3.33b

Total Rating: -1.99 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D)

ValueRay F-Score (Strict, 0-100) 44.03

1. Piotroski 4.0pt

2. FCF Yield 1.95%

3. FCF Margin 21.68%

4. Debt/Equity 0.70

5. Debt/Ebitda 8.95

6. ROIC - WACC (= -19.72)%

7. RoE -13.64%

8. Rev. Trend 55.64%

9. EPS Trend -10.54%

What is the price of U shares?

As of January 09, 2026, the stock is trading at USD 45.28 with a total of 6,745,436 shares traded.
Over the past week, the price has changed by +2.33%, over one month by -7.67%, over three months by +23.78% and over the past year by +97.30%.

Is U a buy, sell or hold?

Unity Software has received a consensus analysts rating of 3.97. Therefore, it is recommended to buy U.

Strong Buy: 12
Buy: 4
Hold: 13
Sell: 0
Strong Sell: 0

What are the forecasts/targets for the U price?

Issuer	Target	Up/Down from current
Wallstreet Target Price	46.4	2.4%
Analysts Target Price	46.4	2.4%
ValueRay Target Price	54.1	19.5%

U Fundamental Data Overview January 04, 2026

Market Cap USD = 18.94b (18.94b USD * 1.0 USD.USD)
P/E Forward = 94.3396
P/S = 10.4982
P/B = 5.9001
Beta = 2.045
Revenue TTM = 1.80b USD
EBIT TTM = -394.7m USD
EBITDA TTM = 37.5m USD
Long Term Debt = 2.23b USD (from longTermDebt, last quarter)
Short Term Debt = 33.7m USD (from shortTermDebt, last fiscal year)
Debt = 2.23b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 335.7m USD (from netDebt column, last quarter)
Enterprise Value = 20.06b USD (18.94b + Debt 2.23b - CCE 1.10b)
Interest Coverage Ratio = -16.58 (Ebit TTM -394.7m / Interest Expense TTM 23.8m)
FCF Yield = 1.95% (FCF TTM 391.0m / Enterprise Value 20.06b)
FCF Margin = 21.68% (FCF TTM 391.0m / Revenue TTM 1.80b)
Net Margin = -24.15% (Net Income TTM -435.5m / Revenue TTM 1.80b)
Gross Margin = 74.29% ((Revenue TTM 1.80b - Cost of Revenue TTM 463.8m) / Revenue TTM)
Gross Margin QoQ = 74.43% (prev 74.16%)
Tobins Q-Ratio = 2.96 (Enterprise Value 20.06b / Total Assets 6.78b)
Interest Expense / Debt = 0.27% (Interest Expense 6.04m / Debt 2.23b)
Taxrate = -7.59% (negative due to tax credits) (8.91m / -117.5m)
NOPAT = -424.6m (EBIT -394.7m * (1 - -7.59%)) [loss with tax shield] [negative tax rate / tax credits]
Current Ratio = 2.78 (Total Current Assets 2.62b / Total Current Liabilities 942.2m)
Debt / Equity = 0.70 (Debt 2.23b / totalStockholderEquity, last quarter 3.20b)
Debt / EBITDA = 8.95 (Net Debt 335.7m / EBITDA 37.5m)
Debt / FCF = 0.86 (Net Debt 335.7m / FCF TTM 391.0m)
Total Stockholder Equity = 3.19b (last 4 quarters mean from totalStockholderEquity)
RoA = -6.42% (Net Income -435.5m / Total Assets 6.78b)
RoE = -13.64% (Net Income TTM -435.5m / Total Stockholder Equity 3.19b)
RoCE = -7.27% (EBIT -394.7m / Capital Employed (Equity 3.19b + L.T.Debt 2.23b))
RoIC = -7.83% (negative operating profit) (NOPAT -424.6m / Invested Capital 5.43b)
WACC = 11.89% (E(18.94b)/V(21.17b) * Re(13.26%) + D(2.23b)/V(21.17b) * Rd(0.27%) * (1-Tc(-0.08)))
Discount Rate = 13.26% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: 100.0 | Cagr: 12.84%
[DCF Debug] Terminal Value 50.94% ; FCFE base≈325.9m ; Y1≈213.9m ; Y5≈97.8m
Fair Price DCF = 2.42 (DCF Value 1.03b / Shares Outstanding 427.9m; 5y FCF grow -40.0% → 3.0% )
EPS Correlation: -10.54 | EPS CAGR: 2.96% | SUE: -0.76 | # QB: 0
Revenue Correlation: 55.64 | Revenue CAGR: 11.22% | SUE: 0.92 | # QB: 1
EPS next Quarter (2026-03-31): EPS=-0.23 | Chg30d=-0.023 | Revisions Net=-1 | Analysts=9
EPS next Year (2026-12-31): EPS=-0.67 | Chg30d=+0.020 | Revisions Net=+3 | Growth EPS=+29.0% | Growth Revenue=+13.6%

Additional Sources for U Stock

News: Wall Street Journal | Benzinga | Yahoo Finance
Tweets: X | Stocktwits
Fund Manager Positions: Dataroma | Stockcircle