Unity Technologies (NYSE:U): A metaverse stock for your portfolio?

Be the First to Comment Read

Unity Technologies (NYSE:U): A metaverse stock for your portfolio?

Unity Technologies
Image source: © Solarseven | Megapixl.com
Highlights:
  • Recently, it was announced that Unity would acquire Ziva Dynamics, one of the leading companies for digital character creation.
  • According to the company's official blog, Unity aims to democratize Ziva's tools through this acquisition.
  • Ziva's technology allows users to create 3D people, animals, or similar items like cloth and then deform them in realistic ways.

Over the years, metaverse became popular among millennials and in 2021, it gained massive momentum. Metaverse is a term used to describe the network of three-dimensional (3D) virtual reality space.

Metaverse uses augmented reality (AR), artificial intelligence (AI), blockchain technology, and virtual reality (VR) to create spaces for rich user interaction, just like the real world.

Due to the increasing popularity of metaverse, companies exploring this space often attract investors' attention.

Also Read: Top 3 Canadian metaverse stocks of 2021

In this article, we will explore Unity Software Inc (NYSE:U) or Unity Technologies and find out if it is worth your investment portfolio:

Unity (NYSE:U) stock worth exploring?

Recently, it was announced that Unity will acquire Ziva Dynamics, one of the leading companies for digital character creation. The Vancouver-based Ziva Dynamics enables users to create avatars, animals or items like clothes

Ziva's technology allows users to create 3D people, animals, or similar items like cloth and then deform them in realistic ways.

Ziva's software was reportedly featured in video games like Spider-Man: Miles Morales and Hellblade: Senua's Sacrifice.

Unity Technologies                                                                                       ©2022 Kalkine Media® 

According to the company's official blog, Unity aims to democratize Ziva's tools through this acquisition. This will reportedly help artists create digital characters, irrespective of their skill level.

Last year in December, Unity had completed the acquisition of Weta Digital's engineering talent, technology, tools, and pipeline. Weta Digital's tools have been used in iconic movies and shows like The Suicide Squad and Game of Thrones.

Unity will have a team of 275 engineers from Weta Digital, and they are known for building and maintaining the company’s tools and pipeline.

Bottom line

At the end of the trading session on Thursday, January 28, the Unity stock was priced at US$ 94.7 per share after declining about five per cent.

In the third quarter of fiscal 2021, Unity's revenue increased 43 per cent year-over-year (YoY) to US$ 286.3 million. Meanwhile, the net loss narrowed down to US$ 115.15 million from US$ 144.7 million in Q3 2020.

Also Read: 2 Canadian metaverse stocks that rose over 200% in a year

 

Disclaimer

Speak your Mind

Featured Articles

We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it. OK