Unity price target lowered to $18 from $21 at BofA

BofA lowered the firm’s price target on Unity (U) to $18 from $21 and keeps an Underperform rating on the shares. Trading at a meaningful premium to large-scale online ad stocks and AppLovin (APP), the firm thinks Unity is “priced for perfection,” the analyst tells investors in a Q4 preview. The firm sees significant de-rating risk at the first sign of Vector’s growth deceleration and reiterates an Underperform rating as it argues that “the balance of risk appears asymmetric to the downside.”