Unity Software (U) Jumps 6.6% on Strong Buy Reco

Unity Software Inc. (NYSE:U) is one of the 10 Stocks Crushing Market Expectations.

Unity Software jumped for a third day on Monday, adding 6.62 percent to close at $27.86 apiece as investors continued to scoop up shares following an investment firm’s “strong buy” recommendation on its stock.

In a market note last week, Wedbush said its bullish rating for Unity Software Inc. (NYSE:U) was due to expectations of posting earnings per share of $0.31 for the second quarter of the year.

Additionally, it expects the ad tech company to post EPS of $0.29 in the third quarter, $0.23 in the fourth quarter, and $1.25 for the full year 2025.

In 2026, Wedbush projects Unity Software Inc. (NYSE:U) to book $0.24 EPS in the first quarter, $0.25 in the second quarter, and $0.27 both for the third and fourth quarters.

For full-year 2026 and 2027, Wedbush expects the company’s EPS to be at $1.02 and $0.94, respectively.

While we acknowledge the potential of U as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.