Unity Software (U.US) Price Target 2026/2027: 25% Upside – Rating and Stock Analysis

40.39
Price history for Unity Software (U.US) – stock price at $40.39, October 2026
Unity Software stock price – price development 2026. Updated Oct 17, 2026.
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Unity Software Price Target 2026: Analysts See 23% Upside

The average price target for Unity Software is $49.73. This price target represents the analysts' view of the stock price over the next 12 months. The stock may be undervalued, because the price target is higher than the current price. The stock is 23.12% below the target, which can point to potential returns within the next 12 months if the analysts' view proves right. Also consider the stock's valuation ratios such as P/E, P/S and P/B, plus the technical analysis further down the page, for the full picture.

Is Unity Software overvalued or undervalued?

Unity Software is currently undervalued with a gap of 23.1% relative to the price target.


The current price is $40.39, which places Unity Software in the undervalued category. The stock is considered undervalued when the price is below $44.76, and overvalued when the price exceeds $54.70.


The fair value range is defined as ±10% of the price target, because price targets are estimates rather than exact values. For Unity Software, the fair value range lies between $44.76 and $54.70.


See the full price target analysis for Unity Software →

Analyst Ratings for Unity Software stock in 2026: Strong Buy

26 analysts cover Unity Software. There is broad agreement on a positive view — 84.6% recommend buying. The average price target is $49.73, which gives an upside of 23.1% from the current price.

Consensus: Strong Buy (4.54/5)
Strong Buy
18 (69.2%)
Buy
4 (15.4%)
Hold
4 (15.4%)
Strong Sell Sell Hold Buy Strong Buy
4.54 out of 5 based on 26 analysts

About Unity Software – Software - Application

Unity Software makes a platform that lets people create interactive 3D content in real time. It makes money by selling access to this platform and its tools.

The company's customers are developers, artists, and engineers who use Unity to build games and simulations. Their software is used to create 2D and 3D content that runs on many devices, including mobile phones, gaming consoles, and VR (virtual reality) equipment.

Unity Software was founded in 2004 in San Francisco. The company sells its products worldwide through its own online store and through resellers. It operates in around 20 countries, including Denmark.
Read more about the company

Key Figures for Unity Software

$20.6B Market cap
$2.0B Revenue
Software - Application Industry
- P/E
10.17 P/S
6.40 P/B
United States Listed on exchange
unity.com Website

What kind of stock is Unity Software?

Momentum stock

Unity Software is classified as a momentum stock with a momentum score in the top 16% of all stocks. The price has risen 0.0% over the long term.

Score Overview for Unity Software

💰 Value Score 11/100 (Very Low)
⭐ Quality Score 20/100 (Low)
🚀 Momentum Score 84/100 (Very High)
📊 Total Score 38/100

⚠️ 3 red flags identified 2 critical

Our analysis has identified 3 potential risk factors in Unity Software that investors should be aware of.

🚨 Weak balance sheet (elevated risk): Altman Z2 is -0.24 – the balance sheet is measurably weaker than average. This is a risk signal based on the numbers, not a bankruptcy prediction.
🚨 Negative profit margin: The profit margin is -29.0% – the company is losing money on its operations.
⚠️ Negative return on equity: ROE is -17.4% – the company is generating a negative return for shareholders.

📈 Valuation

The P/S ratio is 10.2 (high — the market pays a premium for the revenue). The P/B ratio is 6.4.

🏦 Financial Health

The Piotroski score is 5 out of 9 — average financial health. Altman Z2 is -0.24 (weak balance sheet — elevated risk). The debt-to-equity ratio (D/E) is 103.7% — moderate debt.

🚀 Momentum & Short Interest

Short interest is 6.65% — elevated, some investors are betting on a decline.

Insider Trading in Unity Software 2026: The Signal Is negative

In 2026, insiders at Unity Software have made 20 transactions, all of which were sales. On a net basis, insiders took $10,836,296 out of the stock. Active insiders include Blum Alexander, Yahes Jarrod, Bromberg Matthew S and others. In the short term (last 3 months), the insider signal is negative.

Short-Term Signal (3 months): Negative

Insiders have exclusively sold shares over the last 3 months.

Over the last 3 months: 0 purchases and 6 sales. A net $4,273,621 out of the stock.

Long-Term Signal (all transactions): Negative

Insiders have exclusively sold shares in the recent period. This can suggest management sees limited opportunity.

Across the last 20 transactions: 0 purchases and 20 sales. A net $10,836,296 out of the stock.

Latest sale: Blum Alexander sold 31,609 shares at $43.86 each on 2026-08-28.

Who is selling: Blum Alexander, Yahes Jarrod, Bromberg Matthew S, Boyden Rebecca Berenice, Barrysmith Mark and others.

Latest Insider Trades in Unity Software (2026)

The table shows the last 20 reported insider transactions in Unity Software. Green rows are purchases, red rows are sales. The data is based on official filings.

Transaction date Name Type Number of shares Price per share ($) Total amount ($)
2026-08-28 Blum Alexander Sell 31,609 44 1,386,371
2026-08-27 Blum Alexander Sell 1,964 45 88,007
2026-08-25 Yahes Jarrod Sell 24,817 46 1,140,341
2026-08-25 Bromberg Matthew S Sell 15,713 46 722,169
2026-08-25 Boyden Rebecca Berenice Sell 940 46 43,165
2026-08-25 Blum Alexander Sell 19,455 46 893,568
2026-05-28 Blum Alexander Sell 2,099 27 57,450
2026-05-26 Yahes Jarrod Sell 24,021 27 652,891
2026-05-26 Bromberg Matthew S Sell 138,993 27 3,777,830
2026-05-26 Boyden Rebecca Berenice Sell 952 27 25,894

Who is buying and selling Unity Software shares in 2026?

The following insiders have sold shares: Blum Alexander, Yahes Jarrod, Bromberg Matthew S, Boyden Rebecca Berenice, Barrysmith Mark and others. In total, $10,836,296 was sold across 20 transactions. Insider trades are legal transactions in which executives and board members buy or sell shares of their own company. These transactions are reported to the SEC and are publicly available.

Unity Software Short Selling 2026: 6.7% Sold Short

High short interest: 6.7% of the free float
Short % of free float
6.7%
Assessment
High short interest
Short squeeze risk
Moderate
Data source
EODHD
Reported about twice a month

Short interest over time: Unity Software

0.0%4.9%9.9%
Peak 8.6% · 6/28
5/307/299/27
6.7% today (high)Peaked at 8.6% on Jun 28, 2026Last 30 days: −1.3 percentage pointsMeasured over 120 days
What does the trend tell you?
Short interest is falling. It is down 1.3 percentage points over the last month and now stands at 6.7%. The peak was 8.6% on Jun 28, 2026, so it is now 2.0 percentage points lower. This is how shorting works: whoever shorts has borrowed the share and sold it, and to close the position again they must buy the share back. Falling short interest therefore means shares are being bought back in Unity Software right now.

Many investors watch for exactly this: short interest that has been high and starts falling back. The professionals who bet on a falling price are closing down. That is not in itself a signal about what the price will do — we cannot predict the market, and short interest is only one number among many. But it does say something about what the large players are doing.
The stock has a high share of short selling. Between 5-10% of the freely traded shares are sold short, which suggests some investors are betting on falling prices. Positive surprises can lead to a moderate short squeeze.

What does this mean for you as an investor?
A short interest of 6.7% means that 6.7% of the freely traded shares in Unity Software have been borrowed and sold by investors betting on falling prices.

The next potential catalyst is the earnings report on Nov 5, 2026. With a short interest of 6.7%, the report can trigger considerable volatility.

Short interest comes from our data provider EODHD. The figure is reported about twice a month; we check it every trading day.
Short Interest Scale
0% 2% 5% 10% 20%+
Low Moderate High Very High Extreme
▲
6.7%

When Does Unity Software Report Earnings – Next Date: Nov 5, 2026

The next earnings report from Unity Software is scheduled for November 5, 2026, before the market opens. This report covers the third quarter (Q3), which ended on September 30, 2026.



Technical Analysis of Unity Software 2026 – Signal: Buy

Overall Technical Signal: Buy

Based on trend analysis (SMA50/SMA200) and MACD trend (positive/negative on a daily + weekly basis). Updated October 17, 2026.

Technical analysis of Unity Software (U.US) – RSI 42, MACD positive (bullish), daily candlestick chart October 2026
Unity Software technical analysis – candlestick chart with RSI, MACD and volume profile. Updated Oct 17, 2026.

Trend Analysis of Unity Software Inc

Unity Software Inc is in a short-term downtrend. The price of $40.40 is 7.0% below the 20-day average ($43.42). Medium term, the picture is negative: the price is 7.4% below the 50-day average ($43.61). Long term, the stock is 26.6% above the 200-day average ($31.90), which confirms a long-term uptrend.

Golden Cross: The 50-day average (43.61) is above the 200-day average (31.90), which is a classic bullish signal for Unity Software Inc.

Is Unity Software Inc overbought or oversold?

Unity Software Inc has an RSI of 41.8. The stock sits in the lower part of the neutral zone, which points to weak momentum without being oversold.

MACD Analysis for Unity Software Inc

Daily MACD: MACD is positive (0.358), which means the short-term trend is bullish (the 12-day EMA is above the 26-day EMA). MACD is below the signal line (0.724) by 0.366, which suggests the positive momentum is fading – the trend could be turning.

Weekly MACD: MACD5 is positive (3.940), which indicates a broader bullish long-term trend. MACD5 is above the signal line (3.160) by 0.780, which confirms rising long-term momentum.

Overall MACD assessment: Both the daily and weekly trend are bullish (MACD positive). However, momentum shows signs of weakening on a daily basis. Watch whether the trend holds.

Risk Profile for Unity Software Inc

Unity Software Inc has an annual standard deviation of 71.7%, which classifies the stock as Extremely speculative. Only risk-tolerant investors should consider this stock, because the price swings can be very large.

Overall Technical Conclusion for Unity Software Inc

Trend: Neutral/mixed.

MACD trend (zero line): Daily bullish (0.358). Weekly bullish (3.940).

MACD momentum (signal): Daily falling. Weekly rising.

RSI: 41.8 – neutral.

Technical signal: Buy

The broader trend is positive and MACD supports the picture. Consider buying with a stop-loss below the nearest support level.

Frequently Asked Questions About Unity Software stock in 2026

Should you buy Unity Software stock now?
Yes, the technical signal for Unity Software is currently Buy. Unity Software trades at $40.39 as of Oct 17, 2026. The technical analysis shows the following: MACD is positive (bullish trend) at 0.358 with falling momentum (signal: 0.724); RSI is at 41.8 (neutral zone); the stock is in a short-term downtrend (price below the 20-day average); the analyst price target of $49.73 points to 23.1% upside. This is a technical observation based on current data, not investment advice.
What is the price target for Unity Software stock?
The average analyst price target for Unity Software is $49.73. The current price is $40.39, which gives an upside of 23.1%. Based on this, the stock is considered undervalued. The fair value range (±10% of the price target) is between $44.76 and $54.70.
Is Unity Software a dividend stock?
No, Unity Software does not currently pay a dividend to shareholders. The company reinvests its profits in growth instead of paying dividends.
What is the risk of Unity Software stock?
Unity Software is rated as a stock in the risk category Extremely speculative. the annual standard deviation is 71.7%, which classifies the stock as Extremely speculative.
Is Unity Software overvalued?
No, Unity Software is considered undervalued based on the analyst price target (23.1% upside). Unity Software has the following valuation ratios: a P/S ratio of 10.2, a P/B ratio of 6.4. The analyst price target suggests that the stock is undervalued by 23.1%.
Is Unity Software overbought?
No, Unity Software is not overbought. RSI is at 41.8 (neutral zone). The technical indicators show: RSI is at 41.8 (neutral zone between 30-70), which signals neither overbought nor oversold. In addition, the price is 7.0% below the 20-day average (short-term downtrend). In addition, MACD is positive, but momentum is falling.
When is the next Unity Software earnings report?
Unity Software reports its next earnings on November 5, 2026. The stock currently trades at $40.39.
Is Unity Software shorted?
Yes, Unity Software is shorted with 6.7% of the free float sold short. This is a high level of short selling, which suggests some investors are betting on falling prices. Positive surprises can lead to a moderate short squeeze. The figure comes from our data provider EODHD, is reported about twice a month, and we check it every trading day.
Are insiders buying Unity Software stock?
No, insiders are not buying Unity Software shares – they are net sellers. Over the last 3 months, insiders have made 0 purchases and 6 sales. On a net basis, 4,273,621 $ worth of shares were sold. Across the last 20 reported transactions, the split is 0 purchases and 20 sales, with a net 10,836,296 $ sold. Active sellers include Blum Alexander, Yahes Jarrod, Bromberg Matthew S and others. Insider selling can have several explanations (e.g. planned 10b5-1 sales, portfolio diversification or taxes), but sustained selling by several insiders is worth watching closely.
Is Unity Software a good stock?
Based on our total score, Unity Software is rated as a poor stock with a total score of 38 out of 100. The stock scores below average on value, quality and momentum – it sits at the lower end of the market. The score is made up of Value: 11/100, Quality: 20/100, Momentum: 84/100. In addition: analysts see 23.1% upside to the price target. Whether now is the time to buy is a separate question: the technical signal is Buy. Whether Unity Software is a good investment depends on your time horizon, risk profile and portfolio. This is a data-driven observation, not investment advice.
What is the outlook for Unity Software stock?
The outlook for Unity Software based on current data: the average analyst price target is $49.73 (+23.1%); the next earnings report is due on Nov 5, 2026, which can move the price. Keep in mind that stock prices are affected by many factors, including earnings reports, the economy and market sentiment. Past returns are no guarantee of future returns.
Why is Unity Software stock falling?
Unity Software is falling right now. The technical indicators show: the price is 7.0% below the 20-day average; short interest is 6.7% (high – many are betting on a decline); insiders have mostly been selling the stock recently. For the latest context, see our technical analysis and insider section above.
How high can Unity Software go?
The average analyst price target for Unity Software is $49.73, which corresponds to a potential gain of 23.1% from the current price of $40.39. The stock has traded between $16.78 and $52.15 over the last 52 weeks. The price is 22.6% below the 52-week high, which can indicate potential if the underlying fundamentals are intact. Keep in mind that price targets are estimates, not guarantees. Actual price moves depend on earnings, market conditions and unexpected events.
How low can Unity Software fall?
The stock has traded as low as $16.78 over the last 52 weeks — that is 58.5% below the current price of $40.39. The biggest decline (drawdown) in the same period was 67.8% from high to low. Within a year, the price typically swings about ±71.7% (standard deviation — a measure of price swings). A difficult year could therefore mean a further decline of that size. Remember: past price swings are no guarantee for the future — a stock can fall further than the last 52 weeks suggest, especially on profit warnings, sector crises or a market crash. Use stop-loss orders and spread your portfolio to limit losses in single stocks.
What does Unity Software do?
Unity Software makes a platform that lets people create interactive 3D content in real time. It makes money by selling access to this platform and its tools. The company's customers are developers, artists, and engineers who use Unity to build games and simulations. Their sof... The company belongs to the Technology sector, more specifically the Software - Application industry, is headquartered in United States, and is traded on the USA Stocks. See the key figures, earnings history and price development above to evaluate Unity Software as an investment.
Did Unity Software raise or lower its guidance?
Over the last 60 days we have not registered a guidance raise or cut from Unity Software. The company can still adjust its guidance at quarterly reports or between reports — see the earnings history above.
Is Unity Software making money or losing money?
No, Unity Software is currently not making money — the company is losing money with a negative profit margin of -29.0%, a substantial loss. That means the business loses money on every dollar of revenue. For growth stocks investing in expansion this is normal — but it raises the risk if the company does not reach break-even before its capital runs out.
Can Unity Software go bankrupt?
The bankruptcy risk of Unity Software is rated as elevated. Altman Z2 (a model for assessing financial distress) is -0.24 — that places the company in the weak zone. This is a probability based on the numbers, not a verdict — bankruptcy is not imminent. But the balance sheet is measurably weaker than average, so watch the debt, liquidity and possible capital raises. The Piotroski score (financial health 0-9, higher is better) is 5 — which is average. Debt relative to equity is 104% (moderate). Remember: models like Altman Z2 are statistical — unexpected shocks (fraud, a sector collapse, lawsuits) can always happen. Spread your portfolio.
Does Unity Software have a lot of debt?
Unity Software has moderate debt relative to equity. The debt-to-equity ratio (D/E — interest-bearing debt to equity) is 104%. For the technology sector, 60-120% counts as a typical level. Tech companies are usually asset-light and need little borrowed capital — anything below 60% counts as low in this sector. Note: D/E levels are highly sector-specific — a bank at 300% debt is normal, a tech stock at 300% is extremely leveraged. Always compare with similar companies in the same sector. Can Unity Software service its debt? Could struggle to service its debt — the interest coverage ratio (how many times earnings can cover interest payments) is -2.4x, and the company has more cash than debt (net cash).

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