© Reuters Unity Software (U) Create Platform ‘Best in Class’ – Needham & Company
By Sam Boughedda
Needham & Company launched the cover of Unity Software Inc. (NYSE:) with a buy rating and a price target of $50 in a research note on Friday.
Unity, a video game software development company, aims to democratize game development. The company is said to power over 70% of all mobile games.
Needham analysts told investors that Unity’s Create platform “is best-in-class” and should benefit from the growing demand for real-time interactive 3D content in games and beyond.
“This positioning will be further strengthened if U closes the proposed acquisition of SI, 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 creation. of this end-to-end platform,” the analysts wrote.
Analysts added that this “prime position in the ecosystem” should allow Unity to ride the wave of diverse demand for content creation while protecting itself against the downsides of the monetization industry in the face of more competition. harsh and lower consumer spending.
They said Unity’s Create “is best-in-class software with growing TAM as the need for real-time interactive 3D content proliferates.”
Shares of Unity fell more than 8% in Friday’s session.