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Unity Software Inc. (U) Outpaces Stock Market Gains: What You Should Know

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In the latest trading session, Unity Software Inc. (U - Free Report) closed at $130.38, marking a +1.82% move from the previous day. This change outpaced the S&P 500's 0.41% gain on the day.

Prior to today's trading, shares of the company had lost 6.03% over the past month. This has was narrower than the Computer and Technology sector's loss of 7.83% and lagged the S&P 500's loss of 4.08% in that time.

Wall Street will be looking for positivity from U as it approaches its next earnings report date. This is expected to be November 9, 2021. In that report, analysts expect U to post earnings of -$0.06 per share. This would mark year-over-year growth of 33.33%. Meanwhile, our latest consensus estimate is calling for revenue of $266.14 million, up 32.55% from the prior-year quarter.

For the full year, our Zacks Consensus Estimates are projecting earnings of -$0.23 per share and revenue of $1.06 billion, which would represent changes of +41.03% and +37.41%, respectively, from the prior year.

Investors might also notice recent changes to analyst estimates for U. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. U is currently a Zacks Rank #3 (Hold).

The Internet - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 167, which puts it in the bottom 35% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.


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