Yahoo Finance Unity Software Inc. (U) Beats Stock Market Upswing: What Investors Need to Know
In the latest market close, Unity Software Inc. (U) reached $26.99, with a +1.09% movement compared to the previous day. The stock's performance was ahead of the S&P 500's daily gain of 0.86%. Elsewhere, the Dow saw an upswing of 1.22%, while the tech-heavy Nasdaq appreciated by 0.51%.
Shares of the company witnessed a loss of 13.93% over the previous month, trailing the performance of the Computer and Technology sector with its gain of 3.76% and the S&P 500's gain of 2.84%.
Analysts and investors alike will be keeping a close eye on the performance of Unity Software Inc. in its upcoming earnings disclosure. It is anticipated that the company will report an EPS of $0.05, marking a 16.67% fall compared to the same quarter of the previous year. Simultaneously, our latest consensus estimate expects the revenue to be $422.53 million, showing a 15.55% drop compared to the year-ago quarter.
For the full year, the Zacks Consensus Estimates are projecting earnings of $0.61 per share and revenue of $1.79 billion, which would represent changes of +48.78% and -18.12%, respectively, from the prior year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Unity Software Inc. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. The Zacks Consensus EPS estimate has moved 22.22% lower within the past month. Currently, Unity Software Inc. is carrying a Zacks Rank of #3 (Hold).
Looking at its valuation, Unity Software Inc. is holding a Forward P/E ratio of 43.65. This expresses a premium compared to the average Forward P/E of 30.17 of its industry.
It's also important to note that U currently trades at a PEG ratio of 1.68. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Internet - Software was holding an average PEG ratio of 1.85 at yesterday's closing price.
The Internet - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 40, which puts it in the top 16% of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
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Unity Software Inc. (U) : Free Stock Analysis Report
