Shares of Unity Software Inc. (U) soared 5.03% in intraday trading on Friday, outperforming the broader market. The rally was fueled by an influential investment bank maintaining its bullish stance on the video game engine developer.
Morgan Stanley analyst Matthew Cost reiterated his "overweight" or buy recommendation on Unity Software's stock. He cited several positive developments during recent investor meetings with the company's CEO Matt Bromberg.
Cost highlighted Unity's plans to introduce a new advertising model in 2025 that is expected to boost the company's "grow solutions" business. Additionally, Unity is working on leveraging its vast data trove through the development of a neural network powered by artificial intelligence (AI). The company also aims to streamline its advertising operations into a single platform as part of broader cost-cutting efforts.
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