Unity Software’s Create Platform ‘Best in Class’ – Needham & Company
2022.10.07 16:30
© Reuters Unity Software’s (U) Create Platform ‘Best in Class’ – Needham & Company
By Sam Boughedda
Needham & Company initiated coverage of Unity Software Inc (NYSE:) with a Buy rating and a $50 price target in a research memo Friday.
Unity, a video game software development company, is aiming to democratize game development. The company is said to power over 70% of all mobile games.
Needham analysts told investors Unity’s Create platform “is best in class” and should benefit from the rising demand for real-time, interactive, 3-D content in gaming and beyond.
“This positioning will be further bolstered should U close the proposed IS acquisition, with Create and SuperSonic acting as vital on-ramps for creators to then use U’s monetization tools, with IS filling in the final holes in the creation of this end-to-end platform,” wrote the analysts.
The analysts added that this “prime position in the ecosystem” should equip Unity to ride the wave of diversified demand for content creation while also protecting against the downside in the monetization industry from tougher competition and lower consumer spending.
They stated that Unity’s Create “is best-in-class software with a growing TAM as the need for real-time, interactive, 3-D content proliferates.”
Unity shares fell over 8% in Friday’s session.
