Shares of Unity Software (NYSE: U) fell over 6% in after-hours trading after the company reported earnings for its third quarter of Fiscal Year 2022. Adjusted earnings per share came in at -$0.14, which beat analysts’ consensus estimate of -$0.15 per share.
Sales increased by 12.7% year-over-year, with revenue hitting $322.8 million. This missed analysts’ expectations of $325.8 million.
In addition, the dollar-based net expansion rate decreased to 111% in the most recent quarter compared to 142% in the prior year.
Is U Stock a Buy?
U stock has a Moderate Buy consensus rating based on nine Buys, two Holds, and one Sell assigned in the past three months. The average U stock price target of $50.27 implies 133.81% upside potential.
