Unity price target raised to $23 from $20 at Jefferies

Jefferies analyst Brent Thill raised the firm’s price target on Unity (U) to $23 from $20 and keeps a Buy rating on the shares. A combination of second half weighted share performance in 2024 and a seasonally challenging Q1 leads the firm to believe a more cautious, selective approach to software going into 2025 is justified, the analyst tells investors. However, the firm adds that it expects the space to accelerate in the second half of 2025 on potentially more contributions from AI and as “positive revisions on conservative guidance come through.”