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Unity Software Inc. U AI

Technology · Software - Application · United States
https://unity.com
Company Profile ↓
$31.75
+8.66% 1Y
Mkt Cap$13.86B
P/E-20.22
P/B3.64
52W High$49.47
52W Low$17.13
Book Value$7.48
EPS (TTM)$-1.57

Company Overview

Unity Software Inc. operates a platform to develop, deploy, and grow games and interactive experiences for mobile phones, PCs, consoles, and extended reality devices in the United States, China, Hong Kong, Taiwan, Europe, the Middle East, Africa, the Asia Pacific, Canada, and Latin America. The company's platform offers artificial intelligence solutions that support developers through the entire development lifecycle, which includes prototyping, live service operation, user acquisition, and monetization. It also provides Create Solutions, a set of tools and services used to build, ship, and run real-time 2D and 3D content; and Grow Solutions, which allows customers to grow and engage their user base and monetize their content. In addition, the company offers enterprise support and consumption services; professional services, including consulting, platform integration, training, and custom application and workflow development services; and advertising and game publishing services. It provides its solutions directly through its online store, field sales operations, independent distributors, and resellers. The company serves enterprises, mid-market companies, government, and non-profit institutions; mid-sized, small, and independent businesses; and individuals from various industries. Unity Software Inc. was founded in 2004 and is headquartered in San Francisco, California.

Why Investors Should Care

Steady Revenue Expansion

Revenue has grown at a 25.3% CAGR over the past five years.

Positive Free Cash Flow

Generates positive free cash flow, funding growth and shareholder returns internally.

Recent Developments

  • Dec 2025 Revenue of $1.85B (+2.0% YoY); net profit $-402.76M.
  • Trailing 12 Months Year-on-year growth — revenue +16.8%.
  • 5-Year Trend Long-term compounding — revenue CAGR 25.3%.

Growth & Price Performance

Compounded Sales Growth

5 Years:25.33%
1 Year:16.80%

Stock Price Performance

1 Year:+8.66%
6 Months:-28.91%
3 Months:+39.25%
1 Month:+18.87%

Highlights auto-generated from reported financials and price data; not investment advice. Verify with official filings before acting.

AI Exposure AI AI / Game Dev
Core Focus

Unity Muse (text-to-3D), Sentis runtime AI, Wētā Tools.

Key Initiatives
  • AI-driven ad optimisation (Unity Vector) Unity's AI ad engine (Vector) improves targeting and monetisation across mobile games — its key Grow-segment turnaround.
  • AI for content creation GenAI tools (Unity Muse/Sentis) help developers create and run AI models inside real-time 3D content.
  • Real-time 3D + AI Unity's engine is positioning for AI-assisted creation across games, industrial and XR.
Why Investors Should Care
  • AI ad engine (Vector) is the core of Unity's monetisation turnaround.
  • Dominant real-time 3D engine with a large developer base.
  • Loss-making (net margin ~-35%) — execution on the turnaround is unproven.
  • Competition and developer-relations missteps are key risks.
AI InvestmentMuse + Sentis investment; restructuring underway.
AI RevenueCreate growing; Grow segment recovering.
ROI (Now)Adj-EBITDA positive but unprofitable GAAP.
ROI (Expected)AI-creation tools and runtime monetization.

Curated from public filings and analyst commentary; figures are illustrative.

Ad space

Price Chart

Robinhood TradingView

Fundamental Growth Charts

Interactive charts for Revenue, Net Income, EBITDA, Free Cash Flow, EPS, ROE, ROCE, Gross/Net/Operating Margin and more — switch metric and period using the dropdowns above. CAGR is computed across the displayed window (quarterly CAGR is annualised). Visual growth charts make it easy to spot multi-year compounding trends at a glance — far faster than reading raw numbers in a table.

PROS

  • Compounding revenue at 25.3% over 5 years.
  • Generates positive free cash flow.

CONS

  • Trading 35.8% below its 52-week high.
  • In a downtrend (50-DMA below 200-DMA).

* The pros and cons are auto-generated from financial metrics.

Ad space

Valuation

Stock P/E
-20.22
Industry PE
36.02
Forward P/E
23.77
PEG Ratio
-
Book Value
$7.48
Price to Book
3.64
P/S
6.18
EV/EBITDA
173.44
Dividend Yield
0.00%

Growth (CAGR)

Revenue 5Y
25.33%
Profit 5Y
-
Revenue (YoY)
16.80%
Earnings (YoY)
-

Profitability & Returns

ROCE
-9.02%
ROE
-20.11%
ROA
-4.00%
Profit Margin
-34.99%
Op Margin
-15.23%
Gross Margin
74.69%
EPS (Latest Qtr)
$-0.80
EPS (TTM)
$-1.57

Balance Sheet & Liquidity

Debt/Equity
0.72
Quick Ratio
1.86
Current Ratio
1.95
Debt
$2.32B
Total Assets
$6.52B
Current Assets
-
Working Capital
-

Ownership

Promoter Holding
3.37%
Chg in Prom Hold
-
FII / Inst Holding
81.86%
Chg in FII Hold
-0.04%

Financial Snapshot

Enterprise Value
$13.86B
Total Revenue (TTM)
$1.92B
EBITDA
$71.12M
Free Cash Flow
$600.42M
Operating Cash Flow
$481.22M
Shares Outstanding
436.53M
Gross Margin
74.69%
Payout Ratio
0.00%

Peer comparison

Peer companies in the same sector (Technology).

#NameCMP $P/E Mkt CapDiv Yld % ROCE %ROE % Rev CAGR 5Y %Profit CAGR 5Y %
1 U Unity Software Inc. AI 31.75 -20.22 $13.86B 0.00% -9.02% -20.11% 25.33% -
2 NVDA NVIDIA Corporation NDXSPXAI 211.80 32.43 $5.13T 0.49% 74.66% 114.29% 24.64% 32.12%
3 AAPL Apple Inc. NDXSPX 314.86 38.07 $4.62T 0.37% 68.72% 141.47% 1.81% 3.92%
4 MSFT Microsoft Corporation NDXSPXAI 384.93 22.91 $2.86T 0.93% 26.90% 34.01% 9.48% 10.85%
5 TSM Taiwan Semiconductor Manufacturing Company Limited AI 420.39 36.18 $2.18T 0.90% 30.20% 36.21% 18.94% 19.57%
6 AVGO Broadcom Inc. NDXSPXAI 389.11 64.85 $1.85T 0.68% 16.70% 37.28% 24.38% 26.24%
7 MU Micron Technology, Inc. NDXSPXAI 983.12 46.37 $1.11T 0.06% 13.69% 39.82% 13.68% 26.02%
8 AMD Advanced Micro Devices, Inc. NDXSPXAI 548.13 181.50 $893.78B 0.00% 6.33% 8.06% 13.64% 48.64%
9 ASML ASML Holding N.V. NDXAI 1,775.64 59.55 $684.36B 0.47% 42.97% 52.24% 15.55% 19.55%
Financial Statements Quarterly Results · Profit & Loss · Balance Sheet · Cash Flows · Ratios

Quarterly Results

Figures in USD.

Metric Sep 2019Mar 2020Jun 2020Sep 2020Mar 2021Jun 2021Sep 2021Mar 2022Jun 2022Sep 2022Mar 2023Jun 2023Sep 2023Mar 2024Jun 2024Sep 2024Mar 2025Jun 2025Sep 2025Mar 2026
Revenue 130.94M166.99M184.33M200.78M234.77M273.56M286.33M320.13M297.04M322.88M500.36M533.48M544.21M460.38M449.26M446.52M435.00M440.94M470.62M508.24M
Gross Profit 104.49M135.13M143.90M153.24M176.04M215.84M222.81M226.29M200.21M210.98M338.40M374.65M392.86M315.99M340.38M334.46M321.04M326.73M350.28M156.60M
Operating Income -41.73M-27.44M-24.84M-141.68M-110.90M-149.18M-126.75M-171.16M-197.67M-239.63M-254.98M-191.45M-127.40M-374.93M-129.42M-127.15M-127.94M-118.75M-125.86M-351.41M
Net Income -45.55M-26.74M-27.35M-144.72M-107.46M-148.34M-115.15M-177.56M-204.16M-250.02M-253.03M-192.16M-124.07M-291.07M-125.57M-124.74M-77.64M-108.80M-126.36M-347.61M
Diluted EPS ---0.21-0.97-0.39-0.53-0.41-0.60-0.69-0.84-0.67-0.51-0.32-0.75-0.32-0.31-0.19-0.26-0.30-0.80
R&D Expense 64.03M81.75M85.11M116.65M154.01M154.22M178.41M221.04M215.96M248.38M280.48M267.95M240.00M282.73M208.94M215.20M220.62M214.81M244.36M254.43M

Profit & Loss (Annual)

Figures in USD.

Metric Dec 2018Dec 2019Dec 2020Dec 2021Dec 2022Dec 2023Dec 2024Dec 2025
Revenue 380.75M541.78M772.45M1.11B1.39B2.19B1.81B1.85B
Gross Profit 299.49M423.18M600.10M856.90M948.52M1.45B1.33B1.37B
Operating Income -130.30M-150.67M-274.81M-531.66M-882.21M-832.79M-755.15M-479.05M
Net Income -131.60M-163.19M-282.31M-532.61M-921.06M-822.01M-664.11M-402.76M
Diluted EPS --2.39-1.66-1.89-2.96-2.16-1.68-0.96
R&D Expense 204.07M255.93M403.51M695.71M959.49M1.05B924.83M929.52M

Balance Sheet (Annual)

Figures in USD.

Metric Dec 2017Dec 2018Dec 2019Dec 2020Dec 2021Dec 2022Dec 2023Dec 2024Dec 2025
Total Assets --762.86M2.67B4.84B7.83B7.24B6.74B6.84B
Total Equity 256.39M316.13M393.91M2.04B2.39B3.53B3.18B3.19B3.24B
Cash & Equivalents -258.73M129.96M1.27B1.06B1.49B1.59B1.52B2.06B
Total Liabilities --368.95M634.08M2.45B4.08B3.83B3.31B3.34B
Current Liabilities --336.53M503.22M626.15M1.01B894.10M889.49M1.53B

Cash Flows (Annual)

Figures in USD.

Metric Dec 2018Dec 2019Dec 2020Dec 2021Dec 2022Dec 2023Dec 2024Dec 2025
Operating Cash Flow -81.06M-67.94M19.91M-111.45M-59.43M234.70M315.55M422.95M
Investing Cash Flow -40.04M-219.54M-575.19M-1.84B723.23M44.04M-42.41M-24.02M
Financing Cash Flow 148.25M161.47M1.70B1.72B-226.63M-174.01M-338.31M110.09M
Capital Expenditure -38.02M-27.04M-40.16M-41.94M-57.14M-55.92M-29.55M-19.02M
Free Cash Flow -119.08M-94.97M-20.24M-153.39M-116.57M178.78M286.00M403.93M
Share Buybacks 0286.38M110.00K01.50B250.00M00

Ratios (Annual)

Figures in %.

Metric Dec 2018Dec 2019Dec 2020Dec 2021Dec 2022Dec 2023Dec 2024Dec 2025
Gross Margin % 78.7%78.1%77.7%77.2%68.2%66.5%73.5%74.2%
Operating Margin % -34.2%-27.8%-35.6%-47.9%-63.4%-38.1%-41.6%-25.9%
Net Margin % -34.6%-30.1%-36.5%-48.0%-66.2%-37.6%-36.6%-21.8%
ROE % -41.6%-41.4%-13.9%-22.2%-26.1%-25.8%-20.8%-12.4%
ROCE % --35.3%-12.7%-12.6%-12.9%-13.1%-12.9%-9.0%

Shareholding Pattern

Insiders
3.37%
Institutions
81.86%
Public Float
84.71%

Top Institutional Holders

#Holder% HeldSharesValue
1 Silver Lake Group, LLC 7.96% 34.74M $1.04B
2 Sc Us (ttgp), Ltd. 7.29% 31.82M $950.77M
3 Blackrock Inc. 4.34% 18.93M $565.66M
4 Vanguard Portfolio Management LLC 4.26% 18.59M $555.31M
5 Vanguard Capital Management LLC 3.56% 15.56M $464.77M
6 Atreides Management, LP 2.84% 12.39M $370.01M
7 Slate Path Capital, LP 2.60% 11.35M $339.07M
8 Wellington Management Group, LLP 2.27% 9.92M $296.31M
9 Shaw D.E. & Co., Inc. 1.84% 8.02M $239.54M
10 Two Sigma Investments, LP 1.81% 7.91M $236.27M

Analyst View

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U — Frequently Asked Questions

What is the current share price of Unity Software Inc. (U)?

As of 2026-07-14 21:23 PDT, Unity Software Inc. (U) trades at $31.75 on NYSE. Its 52-week range is $17.13 to $49.47.

What is the market capitalisation of U?

Unity Software Inc. (U) has a market capitalisation of $13.86B on NYSE.

What is the P/E ratio of U?

U trades at a trailing price-to-earnings (P/E) ratio of -20.22. The industry average P/E is 36.02. Its price-to-book (P/B) ratio is 3.64.

What is the return on equity (ROE) of U?

U has a return on equity (ROE) of -20.11%. Its return on capital employed (ROCE) is -9.02%.

Is U a good stock to buy?

This page provides a data-driven analysis of Unity Software Inc. (U), including valuation ratios, profitability, growth trends, auto-generated pros and cons, peer comparison and AI exposure. Review these fundamentals alongside your own research and risk tolerance. This is informational content, not investment advice.

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