Latest news with #UnitySoftwareInc
Yahoo
6 days ago
- Business
- Yahoo
Why Unity Software Inc. (U) Soared On Wednesday
We recently published a list of . In this article, we are going to take a look at where Unity Software Inc. (NYSE:U) stands against other best-performing stocks. Unity Software increased by 12.52 percent on Wednesday to close at $24.54 apiece despite the lack of fresh catalyst to spark buying appetite. In recent news, Unity Software Inc. (NYSE:U) announced that it narrowed its net loss by 73 percent in the first quarter of the year to $77.9 million from the $291.5 million registered in the same period last year, while revenues declined by 5.4 percent to $435 million from $460 million year-on-year on the back of lower revenues from its core businesses. For the second quarter of the year, Unity Software Inc. (NYSE:U) said that it is targeting to hit revenues between $415 million and $425 million, as well as adjusted EBITDA of $70 million to $75 million. A software engineer coding while surrounded by the latest industry tools and technology. Last month, Unity Software Inc. (NYSE:U) launched its AI-powered platform called Vector, as it aims to keep pace with AppLovin Corp. 'Vector is designed to leverage data from across the Unity ecosystem, integrating self-learning artificial intelligence models that will provide deeper insights, optimize performance, and deliver better results for customers,' said Unity President and CEO Matt Bromberg in the company's last earnings call. Overall, U ranks 4th on our list of best-performing stocks. While we acknowledge the potential of U, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than U and that has 10,000x upside potential, check out our report about this cheapest AI stock. READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. Disclosure: None. This article is originally published at Insider Monkey. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
20-04-2025
- Business
- Yahoo
Is Unity Software Inc. (U) the Best Metaverse Stock to Invest in?
We recently published a list of . In this article, we are going to take a look at where Unity Software Inc. (NYSE:U) stands against other best metaverse stocks to invest in. The metaverse, which comes under the video games industry, is a fast-growing digital frontier where immersive tech creates interactive virtual worlds. It is built on virtual reality (VR), augmented reality (AR), blockchain, and mixed reality, offering simulated spaces for socializing, working, learning, and playing. Essentially, it blends digital and physical realities to provide customized and immersive experiences via avatars, live communication, and spatial computing. Users no longer just browse static web pages – they move through dynamic 3D environments that mirror and enhance real-world interactions, marking a shift from simple apps to fully immersive virtual spaces. Metaverse is segmented into four types: lifelogging, augmented reality, mirror world, and virtual reality. The metaverse grows mainly by combining content streaming and blockchain infrastructure, where blockchain has improved secure transactions, digital asset ownership, and governance. These systems support user-driven economies where people build, sell, and profit from digital experiences, similar to Roblox. At the same time, the rise of 3D platforms, virtual markets, and gaming worlds drives investment. In 2024, the global video streaming market—crucial for immersive media—hit $674.25 billion. The Business Research Company reports that the global metaverse market is predicted to grow from $227.05 billion in 2024 to $316.34 billion in 2025, with a strong 39.3% CAGR. Whereas, S&P Global Market Intelligence predicts that global metaverse revenue will climb from $17.5 billion in 2023 to $54.5 billion by 2028, growing at a 25.5% CAGR. Businesses became the main customer segment, driven by the need for digital twin software and remote collaboration tools. According to S&P, these businesses strengthened their position in 2023, accounting for 42.8% of the entire metaverse market. As major companies expand virtual platforms and adopt faster streaming, metaverse services strengthen across industries. Moreover, social media and mobile internet have sped up the growth of the virtual ecosystem. With over 2.4 billion users on Meta (previously Facebook) and billions more on WhatsApp and YouTube, the digital world is more connected than ever. The line between digital and physical life keeps blurring as many daily activities—hanging out, entertainment, shopping—are already happening in early metaverse settings. This has sparked the development of virtual learning, workplace collaborative tools, and blockchain-based gaming economies. According to NewGenApps, VR and AR gaming is set to reach 216 million players worldwide by 2025, with a market worth $11.6 billion. Markedly, a 2024 survey revealed that 34% of game developers globally are creating titles for the Meta Quest Store, a digital marketplace, showing strong developer interest in immersive gaming platforms. Furthermore, generative AI is reshaping the next phase of the metaverse, ranging from custom content suggestions to auto-dubbing, editing, and better visuals. Streaming platforms now use large language models like GPT-4 to create real-time content and ensure moderation, making digital interactions safer and more accessible. Although the broader metaverse is still under development, technologies powering virtual economies—such as play-to-earn games, NFT marketplaces, and digital event tickets—already create income opportunities for users and developers. The Entertainment Software Association reported that 227 million Americans play video games every week, with an average age of 31. This shows a growing mainstream adoption of immersive content across different age groups. The combination of AI with VR/AR is helping platforms expand beyond gaming and entertainment into healthcare and business applications. As users want more personalized, high-resolution experiences, metaverse tech is advancing on low-latency infrastructures. Platforms like are changing streaming with super-fast delivery for gaming, education, and live shopping. Initially, the metaverse faced a lot of backlash due to a not-so-appealing experience and inability to connect with users. Despite less public buzz after 2022, progress hasn't stopped—the metaverse is young, with ongoing improvements pushing it forward. These advances, plus the growing demand for video-on-demand services, show how deeply the metaverse fits into digital viewing habits. As North America leads the market, with major players and high digital spending, Asia Pacific is also set for future growth due to the quick adoption of immersive tech. This shows that the metaverse isn't just a passing trend—it is a fundamental shift changing how people live, talk, and connect in digital spaces. As immersive environments disrupt traditional media, the metaverse is becoming a promising investment. To compile our list of the 12 Best Metaverse Stocks to Invest in, we first conducted extensive research to identify companies with significant exposure to the metaverse technology. First, we used stock screeners, ETFs, and online rankings to make an extended list of the relevant companies. Then, we extracted the number of hedge fund holders having a stake in the respective companies as of Q4 2024, using data from Insider Monkey's hedge fund database. The finalists are stocks with the highest hedge fund interest. Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter's strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here). A technician inspecting a modern battery cell. Number of Hedge Fund Holders: 55 Unity Software Inc. (NYSE:U) offers a platform for creating 3D and 2D interactive content across gaming, mobile, PC, XR, and industrial apps. As a key tech partner for immersive environments, Unity helps build metaverse experiences and digital twins. Mainstream companies, including Meta, use Unity's technology for its XR package, showing its importance in the metaverse world. In addition, the company's tools help developers create AI-enabled environments with built-in user acquisition and monetization features. The success of its products makes Unity Software one of the best metaverse stocks. Unity Software Inc. (NYSE:U) beat expectations in Q4, ending December 31, 2024, with $442 million in strategic portfolio revenue, an increase of 4% from last year. Furthermore, adjusted EBITDA hit $106 million with a 23% margin, and free cash flow more than doubled to $106 million in Q4, reaching $286 million for the full year. Subscription revenue grew 15%, and industry segment revenue jumped 50%, making it Unity's fastest-growing business. Moreover, the new Unity 6 engine gained traction with 2.8 million downloads and quick user adoption. Although Grow Solutions saw just 2% growth to $303 million, Unity is shifting to its new AI-powered platform, 'Unity Vector.' The first phase rollout should finish by Q2 2025, aiming at improving target precision and boosting ad performance through self-learning models. Meanwhile, Unity continues to power about 70% of top mobile games and 30% of top PC games, keeping its strong market position. For Q1 2025, Unity Software Inc. (NYSE:U) expects revenue between $405-$415 million and an adjusted EBITDA of $60-$65 million. For now, the advertisement business faces short-term challenges, although Unity continues to focus on AI, XR, and industrial uses to broaden its market appeal. Clients like Toyota and Raytheon highlight the growing demand from businesses beyond the gaming sector. Overall, U ranks 12th on our list of best metaverse stocks to invest in. While we acknowledge the potential of U, our conviction lies in the belief that certain AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than U but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock. READ NEXT: and . Disclosure: None. This article is originally published at . 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Associated Press
16-04-2025
- Business
- Associated Press
Unity Announces Date of First Quarter 2025 Financial Results Webcast
SAN FRANCISCO--(BUSINESS WIRE)--Apr 16, 2025-- Unity (NYSE: U) announced today it will release first quarter 2025 financial results before the market opens on May 7, 2025, with a webcast to follow at 8:30 a.m. ET/5:30 a.m. PT. The webcast and financial results will be accessible at A replay of the webcast will also be available on Unity's Investor Relations website. About Unity Software Inc. (Unity) Unity [NYSE: U] offers a suite of tools to create, market, and grow games and interactive experiences across all major platforms from mobile, PC, and console, to extended reality (XR). For more information, visit Unity uses its website ( ), filings with the SEC, press releases, social media posts, public conference calls, and public webcasts as means of disclosing material nonpublic information and for complying with its disclosure obligations under Regulation FD. View source version on CONTACT: Investor Relations: Alex Giaimo, Head of Investor Relations [email protected] 516-287-4847 [email protected] Relations: Julianne Whitelaw, Head of Corporate Communications [email protected] KEYWORD: EUROPE UNITED STATES UNITED KINGDOM NORTH AMERICA CALIFORNIA INDUSTRY KEYWORD: DATA MANAGEMENT ENTERTAINMENT APPS/APPLICATIONS TECHNOLOGY GENERAL ENTERTAINMENT SOFTWARE ELECTRONIC GAMES SOURCE: Unity Software Inc. Copyright Business Wire 2025. PUB: 04/16/2025 08:50 AM/DISC: 04/16/2025 08:51 AM
Yahoo
30-03-2025
- Business
- Yahoo
Unity Software Inc. (U): Among the Best Gaming Stocks to Invest In According to Billionaires
We recently compiled a list of the 10 Best Gaming Stocks to Invest In According to Billionaires. In this article, we are going to take a look at where Unity Software Inc. (NYSE:U) stands against the other best gaming stocks. The gaming industry has experienced significant changes over the past few years. During the COVID-19 pandemic, the sector saw remarkable growth as more people spent time indoors. However, this momentum did not continue after restrictions eased, which led to lower consumer spending on games and consoles. Economic uncertainties and challenges like inflation further impacted the industry, resulting in layoffs, studio closures, and project cancellations across the industry in 2024. Despite these setbacks, analysts are optimistic about a recovery supported by upcoming major releases. READ ALSO: 8 Fastest Growing AI Stocks To Buy Right Now and 20 Best Fintech Stocks to Buy According to Billionaires. According to research firm Newzoo, video game consoles are expected to be the biggest growth driver in the market until 2027. The anticipated launches of GTA VI in fall 2025 and the new Switch console in summer 2025 are seen as key factors fueling a rebound. GTA V, the predecessor to GTA VI, is one of the most profitable games ever and has sold over 210 million by December 2024. Analysts believe new releases will encourage players to spend more on consoles and games. This could potentially reverse the industry's recent slowdown. According to the report by Newzoo, console software revenue is projected to increase 7% from 2024 to 2027 and outperform PC software revenue growth of 2.6%. By 2027, console revenue is expected to account for over 56% of the total PC and console software revenue of $92.7 billion. Total playtime increased by 6% in 2024 and Q4 saw the highest quarterly playtime thanks to blockbuster releases like the new Call of Duty title. Emmanuel Rosier, director of market analysis at Newzoo, told Reuters that major console titles, such as Spider-Man and God of War, are driving engagement on consoles. He also pointed out that these AAA or AAAA releases have less impact on PC gamers, who prefer older titles. To compile our list of the 10 best gaming stocks to invest in according to billionaires, we looked for the largest gaming companies. We reviewed our own rankings, financial media reports, ETFs, and various online resources to compile a list of the best gaming stocks. Next, we focused on the top 10 gaming stocks most favored by billionaires. Data for the number of billionaire investors for each stock was taken from Insider Monkey's Q4 2024 database. Finally, the 10 best gaming stocks to invest in were ranked in ascending order based on the number of billionaires holding stakes in them as of Q4 2024. Additionally, we mentioned the hedge fund sentiment surrounding each stock, which was taken from Insider Monkey's Q4 2024 database of more than 1,000 elite hedge funds. Why do we care about what hedge funds do? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter's strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here). A close-up of an experienced game engineer's hands typing a complex code on a laptop. Number of Billionaire Investors: 10 Number of Hedge Fund Holders: 48 Unity Software Inc. (NYSE:U) is an American video game software development company that ranks among the best gaming stocks. The company is best known for Unity, a leading game creation engine used to create video games and other applications. Unity Software Inc. (NYSE:U) offers a suite of tools that help developers create, market, and grow video games and other applications across all major platforms. In October 2024, the company launched Unity 6, the company's next-gen game development platform with new features including multiplayer workflows, improved graphics capabilities, and tools for mobile web development. The new graphics capabilities move workloads from the CPU to the GPU to improve performance. The company is focused on innovation and improving developer workflows through new technologies and updates. On March 19, Unity Software Inc. (NYSE:U) announced its plans for three major updates to Unity 6 in 2025, starting with Unity 6.1 in April. This update will enable higher frame rates, smoother gameplay, and reduced CPU/GPU load to deliver better device performance. It will also enhance debugging for easier optimization. Unity Software Inc. (NYSE:U) will expand Unity 6.1's platform support to include large and foldable Android screens, Meta Quest, Android XR profiles, and Instant Games, with WebGPU for developers on supported browsers. These features will provide developers with more capabilities to create optimized games across diverse platforms. Later updates in 2025 will help developers leverage AI-driven workflows to create games faster and more efficiently. New AI-powered tools integrated into the Unity Editor will automate repetitive tasks and streamline game creation. Developers will also benefit from the seamless integration of third-party generative AI solutions. The updates will empower developers with efficiency tools that will help improve problem diagnosis, player experience optimization, and new player acquisition. Overall, U ranks 8th on our list of the best gaming stocks to invest in according to billionaires. While we acknowledge the potential of U as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than U but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock. READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. Disclosure: None. This article is originally published at Insider Monkey.
Yahoo
02-03-2025
- Business
- Yahoo
Unity Software Inc. (NYSE:U): Taking a U Turn
We came across a bullish thesis on Unity Software Inc. (NYSE:U) on ValueInvestorsClub by wfc. In this article, we will summarize the bulls' thesis on U. The company's shares were trading at $23.75 when this thesis was published, vs. the closing price of $25.64 on Feb 28. A close up of a person's hands using a home console gaming device. U is an international company that operates a platform to create and grow games and interactive experiences for mobile phones, PCs, consoles, and extended reality devices. While it is often classified as a gaming engine, U also has an ad tech business with a wide array of products. A series of poor strategic decisions is the reason why U has been losing market share since 2021-2022. To begin with, a number of expensive M&A deals like IronSource at $4.4 billion bore no result. U also applied retrospective pricing on existing games based on royalty was not well received by the developers. The mobile ad market revenue was also impacted by changes made by Apple that allowed companies to track users and gain insights into their activities. This prompted many iPhone users to drop out. With the appointment of Matt Bromberg as CEO, the pricing was made favorable for studios enabling U to monetize from large developers that generated large revenue. The platform was made free to new and small users. This will enable U to maintain its dominance in the mobile gaming market in which 70% of the top 1,000 games are developed on its engine. Unity 6, a superior technology, offering a better and faster interface is also gaining popularity and along with the new pricing strategy, could drive double-digit growth. U is in a turnaround phase with its Grow Solutions segment reporting a 5% decline in Y-o-Y Q3-24 revenue even though it grew 1% on a sequential basis. The business is expected to benefit from an improved AI model. On the other hand, revenue for Create Solutions was up 5% Y-o-Y due to a 12% increase in subscription base. The valuation based on current EBITDA can be misleading as there is enough scope for cost cuts. U enjoys a gross margin of 75% and can achieve a 25% EBITDA margin in a few years if costs are checked. U appears to have a reasonable valuation based on 6x EV/Sales and 20x EV/EBITDA if it manages to sustain a 25% normalized EBITDA margin. While we acknowledge the potential of U as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than U but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock. READ NEXT: 8 Best Wide Moat Stocks to Buy Now and 30 Most Important AI Stocks According to BlackRock. Disclosure: None. This article was originally published at Insider Monkey. Sign in to access your portfolio
