Core Insights - Unity Software's stock experienced a significant increase of over 14%, reaching a new 52-week high, driven by a trading volume of nearly 40 million shares, which is more than three times its daily average [1][2] - The positive market reaction is attributed to an analyst at Jefferies raising the stock's price target to $35 and maintaining a Buy rating, indicating a shift in investor perception towards Unity [2][3] - The company's turnaround narrative is evolving, with a focus on the successful implementation of its strategy under new leadership [3] Advertising Business Momentum - The renewed confidence in Unity is primarily due to the accelerating performance of its Grow Solutions segment, which aids game developers in attracting players and monetizing their creations [4] - Unity Vector, the new AI-powered advertising platform, has shown a significant performance lift of 15-20% for advertisers, enhancing the platform's attractiveness [5][6] - The launch of the Unity Audience Hub in June 2025, supported by partnerships with Experian and Roku, aims to create targeted ad campaigns and expand into the Connected TV (CTV) advertising space [6][8] Financial and Operational Stability - Unity's core Create Solutions business is showing strong performance, with double-digit revenue growth from high-margin subscriptions, indicating a solid financial foundation [10] - The company's strategic portfolio reset is yielding positive results, as evidenced by improvements highlighted in its first-quarter financial report [11] - Unity's net loss under GAAP decreased to $78 million from $291 million year-over-year, and the company generated $7 million in free cash flow, reversing a previous cash burn [14] Future Outlook - The combination of a revitalized advertising business, a stable core engine, and disciplined financial management positions Unity for potential revenue growth in the latter half of 2025 [12][13] - The next significant milestone for Unity will be the second-quarter earnings report, which will assess whether the operational momentum can translate into improved financial performance [15] - Overall, Unity's narrative is shifting from a turnaround phase to one focused on execution and long-term growth potential [16]

Group 1: Momentum Investing Overview - Momentum investing involves following a stock's recent trend, with the strategy of buying high and hoping to sell even higher [1] - The Zacks Momentum Style Score helps investors identify which metrics are effective for assessing momentum in stocks [2] Group 2: Unity Software Inc. Performance - Unity Software Inc. currently has a Momentum Style Score of A and a Zacks Rank of 2 (Buy) [3][4] - Over the past week, Unity's shares increased by 10.72%, while the Zacks Internet - Software industry declined by 2.73% [6] - In the last quarter, Unity's shares rose by 63.69%, and over the past year, they gained 123.09%, compared to the S&P 500's increases of 19.7% and 14.09% respectively [7] Group 3: Trading Volume and Earnings Outlook - Unity's average 20-day trading volume is 14,861,725 shares, indicating a bullish sign with rising stock prices [8] - In the past two months, one earnings estimate for Unity moved higher, increasing the consensus estimate from -$0.90 to -$0.80 [10] - For the next fiscal year, one estimate has also moved upwards, with no downward revisions during the same period [10] Group 4: Conclusion - Given the strong performance metrics and positive earnings outlook, Unity Software Inc. is positioned as a promising investment opportunity [12]

Group 1 - Morgan Stanley is optimistic about Unity Software's advertising business prospects, citing significant improvements in product competitiveness due to strategic restructuring and technological investments over the past 18 months [1] - Recent feedback from Unity's advertising clients indicates a substantial increase in campaign effectiveness, with installation and purchase conversion rates rising by 15%-20%, aligning with management's statements in the Q2 earnings report [1] - The firm anticipates that as Unity continues to provide efficient technological solutions, advertising budgets will increasingly shift towards its platform, driven by a strong focus on return on advertising spend (ROAS) [1] Group 2 - Three key drivers supporting this trend are highlighted: the full launch of Unity's new Vector advertising model in May, which has shown technical strength within just two months, leveraging Unity's scale and leading position in the gaming engine market [2] - Unity's unique user behavior data, recently utilized for ad targeting, is expected to enhance the performance of the Vector model as more real-time gaming data is inputted [2] - The adoption rate of Unity 6 is rapidly increasing, nearing 50% in Q2, with 80% of clients planning to upgrade, which could lead to subscription revenue growth for the Create department and provide richer data sources for Unity Ads, thereby improving clients' ROAS [2] Group 3 - Morgan Stanley believes that Unity's recovery indicates a multi-win scenario in the market, suggesting that if the Vector model can provide differentiated insights, the overall advertising market size may expand rather than being a zero-sum game [2] - The firm maintains a positive outlook on Unity's investment in its high-margin advertising network and the utilization of its unique data assets, noting that market skepticism regarding Unity's competitiveness in advertising presents significant upside potential for its expectations and valuations [2] - Morgan Stanley retains an "overweight" rating on Unity with a target price of $25, suggesting that under bullish scenarios, valuations could reach $40, corresponding to a 10% annual growth rate in the advertising business [2]

Group 1: Market Performance - Bilibili-W (09626) rose over 4% due to growth in gaming and advertising, with Bank of America raising the target price to HKD 211 [1] - Innovation drugs continue to attract funding, with companies like 3SBio (01530) up over 8%, CanSino Biologics (09926) up over 12%, and others reaching historical highs [1] - DaMai Entertainment (01060) increased over 5% as it became the official channel for Scottish Super League matches, indicating growth in sports ticketing [1] Group 2: Industry Developments - The National Healthcare Security Administration of China initiated the 11th batch of centralized drug procurement, focusing on mature "old drugs" and excluding innovative drugs from the procurement [1] - In the first half of this year, the total amount of License out for Chinese innovative drugs approached USD 66 billion, surpassing the total BD transaction amount for 2024, indicating sustained interest from multinational corporations [1] Group 3: Company-Specific News - Meitu (01357) rose over 5% due to significant progress in overseas lifestyle and productivity scene expansion, including a strategic partnership with Alibaba [2] - Tengsheng Bo Pharmaceutical-B (02137) increased over 7% after granting exclusive rights for a new drug in Greater China to Health元 Group [2] - Smoore International (06969) fell over 2% as it expects a profit decline of up to 35% in the first half of the year due to increased expenses [2] Group 4: Notable Stock Movements - Blueport Interactive (08267) surged over 40% after establishing the LK Crypto division to accelerate Web3 and RWA layout [2] - Gilead Sciences-B (01672) saw an early morning increase of over 11% as clinical research for ASC47 in treating obesity was completed [2] - MicroPort Medical (0853.HK) rose over 6% as it considers a non-binding proposal to restructure its CRM business [3]

Should you buy Unity Software stock below $35?Unity Software (U 14.28%), a 3D graphics software specialist, rocketed 12.7% through 1:05 p.m. ET on Wednesday, and it's not hard to figure out why.This morning, StreetInsider.com reported that Jefferies analyst Brent Thill raised his price target on Unity by more than 20% to $35 and reiterated his buy recommendation on the stock. What Jefferies says about UnityCiting data from his company's 2Q mobile game ad tech survey, Thill said "overall 2025 ad spend expec ...

Group 1: Circle Internet Group - Circle Internet Group (CRCL) is the leading stablecoin issuer in the United States, managing USD Coin (USDC) in partnership with Coinbase Global (COIN) [1] - The company experienced a rise in early trading following President Donald Trump's announcement that 11 of 12 House representatives support the GENIUS Act, which aims to establish a regulatory framework for stablecoins [1] - The GENIUS Act vote is expected to take place on Wednesday afternoon, potentially impacting the regulatory landscape for stablecoins [1] Group 2: Unity Software - Unity Software (U) received an upgrade from Jefferies, with a new price target set at $35, driven by the launch of its AI platform 'Vector' [2] - The 'Vector' platform focuses on optimizing advertising and user acquisition in the mobile gaming industry by analyzing in-game behavior and user patterns [2] - Analysts expect robust double-digit EPS growth for Unity through 2026, indicating strong future performance [2] Group 3: Rigetti Computing - Rigetti Computing (RGTI) achieved a significant performance milestone in quantum computing, reaching a 99.5% median fidelity rate for two-qubit gates on its 36-qubit modular system [4] - This breakthrough represents a twofold improvement in quantum computing capabilities, crucial for developing reliable quantum systems [4] - RGTI shares are anticipated to rise to multi-month highs, potentially influenced by a short squeeze, as approximately 20% of the RGTI float is currently short [4]

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Group 1 - Michael Wiggins De Oliveira is an inflection investor, focusing on buying undervalued companies at pivotal moments when their profitability is expected to improve significantly over the next year [1] - The investment strategy emphasizes technology and the Great Energy Transition, including uranium, with a concentrated portfolio of approximately 15 to 20 stocks and an average holding period of 18 months [1] - Michael has over 10 years of experience analyzing companies in tech and energy sectors, and has built a following of over 40,000 on Seeking Alpha [2] Group 2 - The Investing Group Deep Value Returns, led by Michael, offers insights through its concentrated portfolio of value stocks, timely updates on stock picks, and a weekly webinar for live advice [3] - The group provides "hand-holding" support for both new and experienced investors, fostering an active and kind community accessible via chat [3]

Group 1 - Unity Software Inc. shares increased by 6.6% to close at $27.86, supported by strong trading volume, compared to a 4% gain over the past four weeks [1] - The company is experiencing growth due to its AI-powered ad platform Unity Vector, increased adoption of Unity 6, and double-digit subscription revenue growth, while focusing on high-margin services for profitable expansion [2] - The expected quarterly loss is $0.26 per share, reflecting an 18.8% year-over-year change, with revenues projected at $425.02 million, down 5.4% from the previous year [2] Group 2 - The consensus EPS estimate for Unity Software has remained unchanged over the last 30 days, indicating that stock price movements may not sustain without earnings estimate revisions [4] - Unity Software holds a Zacks Rank of 2 (Buy), while another company in the same industry, nCino, has a Zacks Rank of 1 (Strong Buy) [4][5] - nCino's consensus EPS estimate is $0.13, representing a 7.1% decrease from the previous year [5]

In the latest close session, Unity Software Inc. (U) was down 3.11% at $23.40. This move lagged the S&P 500's daily gain of 0.8%. Meanwhile, the Dow gained 0.94%, and the Nasdaq, a tech-heavy index, added 0.97%. The company's stock has dropped by 1.59% in the past month, falling short of the Computer and Technology sector's gain of 8.5% and the S&P 500's gain of 5.12%.The upcoming earnings release of Unity Software Inc. will be of great interest to investors. In that report, analysts expect Unity Software I ...