Unity Software U
United StatesTechnology · Software - ApplicationUSD
49.39 USD (+8.7%)
24 analysts
Trading 2120.30 €Open account ↗
Lightyear0.90 €Open account ↗
N260.90 €Open account ↗
XTB1.00 €★ featured · affiliateOpen account ↗Trading 2120.30 €Open account ↗Lightyear0.90 €Open account ↗XTB1.00 €★ featured · affiliateOpen account ↗200.00 € order · cheapest cheapest available in your country iCompare all 22 brokers →What does it do?
Unity Software is a leading platform for creating and operating real-time 3D games and interactive experiences, generating revenue through subscriptions to its development engine and monetization services, as well as solutions for industries beyond gaming.
Key points
from its scores- ✓Strong growth8.6
- ✓Good share-price trend8.3
- ✕Little or no dividend0.5
- ✕Unfavourable risk and backdrop1.7
- ✕Demanding valuation3.8
AI analysis
bottom line, main risk, context and newsStrong growth and high gross margin justify the premium, but the lack of profitability and demanding valuation limit upside potential in the short term.
Unity Software shows very strong revenue growth (23.90%) and an excellent gross margin (76.13%), but remains in an investment phase with negative operating margins and profitability (ROE -17.38%), justifying a demanding valuation (EV/EBITDA 138.44) and a low quality score.
The main risk is that the company fails to translate its high revenue growth and leadership position into sustainable profitability, maintaining negative operating margins that erode market confidence in its business model.
Context and risks
Unity Software has no recent relevant news. Its 3D content creation and gaming software business has no material direct exposure to interest rates, oil prices, or shipping routes. The current macro context does not demonstrably affect its fundamentals.
Is Unity Software stock cheap or expensive?
at the analysis dateOn EV / EBITDA, it trades 578% above the Technology median.
| Multiple | Company | Sector | Difference |
|---|---|---|---|
| EV / EBITDA | 138.4 | 20.4 | +578% |
| Price / book | 6.6 | 6.3 | +5% |
| Price / sales | 9.9 | 5.3 | +87% |
Sector: median of the 283 Technology companies analysed. In bold, the multiples used for the comparison.
Valuation score: 3.8 out of 10 (median for Technology: 5.3).
Average analyst target: 49.39 USD, +8.7% versus the price.
A premium can be justified if the company is of higher quality or grows faster than its sector: Quality / Moat 4.7 (sector 6.4), Growth 8.6 (sector 7.5).
Classic formulas with standard assumptions (5.0% growth, 8-9% discount rate). Indicative only: they change a lot with the assumptions and are not a recommendation.
Work out its fair value yourself →How much would you have made investing every month? →
Comparing it with its sector does not say whether it is a good buy: this is not investment advice.
Score by category
0 to 10 · hover overtap each one to see what it measuresKey metrics
at the analysis date · compared with the Technology medianValuation
- Forward P/E
- 26.1
- EV / EBITDA
- 138.4
- Price / book
- 6.6
- Price / sales
- 9.9
- Market cap
- 20.0B USD
- Enterprise value
- 20.2B USD
Profitability
- ROE
- −17.4%
- ROA
- −3.1%
- ROIC (approx.)
- −2.0%
- Gross margin
- 76.1%
- Operating margin
- −5.2%
- Net margin
- −29.0%
- Free cash flow
- 599.6M USD
- FCF yield
- 3.0%
- Cash conversion
- 410%
Solvency
- Total debt
- 2.3B USD
- Net debt
- −31.1M USD
- Cash
- 2.4B USD
- EBITDA
- 146.2M USD
- Net debt / EBITDA
- −0.21
- Debt / equity
- 70.18
- Current ratio
- 2.03
- Quick ratio
- 1.94
Growth
- Revenue growth
- +23.9%
- EPS (TTM)
- −1.36 USD
- EPS (forward)
- 1.74 USD
Dividend
- Dividend yield
- 0.0%
Risk and market
- Beta
- 2.11
- Analyst consensus
- Strong buy (24)
- Target price
- 49.39 USD
- 52-week range
- 16.78 – 52.15
Recent news
All U news →Compare it with its sector
All 283 in Technology →Frequently asked questions about Unity Software
Is Unity Software stock cheap or expensive?
On EV / EBITDA, it trades 578% above the Technology median. Valuation score: 3.8 out of 10 (median for Technology: 5.3). Average analyst target: 49.39 USD, +8.7% versus the price. This is not investment advice.
What score does Unity Software get on MeridIAn Screener?
It scores 5.1 out of 10, rank 1,673 of 2,130 (better than 21% of the companies analysed). Its strongest category is Growth (8.6) and its weakest, Dividend (0.5). Analysis of 08/10/2026.
How much is Unity Software worth on the stock market?
Its market capitalisation is 20.0B USD and its enterprise value, debt included, is 20.2B USD.
How much debt does Unity Software have?
It has more cash than debt: net cash of 31.1M USD.
Does Unity Software pay a dividend?
It pays no dividend, or almost none.
How has Unity Software stock performed over the last year?
It has risen 25.9% over the last year, excluding dividends. Over the last 52 weeks it has traded between 16.78 and 52.15 USD. Past performance does not guarantee future results.
What do analysts think of Unity Software?
24 analysts cover it; their average recommendation is “Strong buy” and their average target is 49.39 USD (+8.7% versus the price). It is an estimate, not market data.