03:35 PM EDT, 06/02/2025 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:
We lift our 12-month target to $32 from $25, shifting to an EV/Sales of 6.3x our 2026 revenue estimate, above its three-year average of 6.1x. We keep our 2025 EPS view at $0.76 and 2026's at $0.84. We maintain our Buy rating, as we believe the risk-reward has turned favorable following Vector's migration completion, which we think positions U for 9% revenue growth in FY 26. While Q1 results showed broad weakness, we expect the improved Vector ad model's 15%-20% performance gains to drive accelerating growth, particularly as we anticipate sequential improvement in Q3 2025. We view the new management team's execution as encouraging, delivering improved subscription metrics and cost discipline targeting over 50% margins. We think Unity 6's strong 43% user adoption rate validates the Create segment's stability for double-digit growth ahead, while we expect planned 1H 2025 price increases and expanding non-gaming applications to fuel 2026 acceleration despite near-term portfolio reset challenges.