Morgan Stanley Maintains "Overweight" Rating on Unity (U.US): Q3 Results Reinforce Bull Case, $25 Billion Acquisition Rumor Acts as a "Call Option"

Zhitong Finance APP has learned that Morgan Stanley issued a research report maintaining an "Overweight" rating on real-time 3D game engine company Unity Software (U.US) with a price target of $62. The bank believes that Unity's third-quarter results further reinforce its standalone fundamental bull case, and the accelerated growth of its Vector advertising platform provides a realistic basis for the bank's $95 bull-case valuation; at the same time, Silver Lake and Saudi Arabia's Public Investment Fund (PIF) reportedly made approaches regarding an acquisition of Unity, making the potential M&A value a "valuable call option" and a source of downside protection.