Core Viewpoint - Unity Software's stock price target has been raised by Jefferies analyst Brent Thill to $35, reflecting a more than 20% increase, with a buy recommendation reiterated [1][3] Group 1: Market Insights - Jefferies' survey indicates that overall ad spend expectations for 2025 have improved, now projected to grow nearly 4% year-over-year [3] - Unity's market share in mobile game advertising is growing, which is viewed as incrementally positive, prompting an increase in earnings estimates [3] Group 2: Financial Performance - Unity has generated substantial positive free cash flow of $308 million over the last 12 months, despite being unprofitable under GAAP [4] - The current valuation of Unity's stock stands at a 45x price-to-free-cash-flow based on its $14 billion market capitalization [4] Group 3: Growth Projections - Analysts forecast that Unity's free cash flow will more than triple to nearly $1 billion by 2030, which could justify the current stock valuation [5] - The projected growth rate of free cash flow from $308 million to just under $1 billion over five years translates to a 26% annualized growth rate [6]