SAN DIEGO--(BUSINESS WIRE)--Shareholder rights law firm Robbins LLP is investigating the officers and directors of Unity Software Inc. (NYSE: U) to determine whether they breached fiduciary duties or violated securities laws in connection with the Company's failure to disclose that deficiencies in Unity’s product platform reduced the accuracy of the Company’s machine learning technology, which would likely have a material negative impact on the Company’s revenues. Unity Software Inc. creates and operates an interactive real-time 3D content platform.
If you would like more information about our investigation into Unity Software Inc.'s misconduct, click here.
What is this Case About: According to the complaint, between March 5, 2021 and May 10, 2022, defendants made materially false and misleading statements and failed to disclose that deficiencies in Unity’s product platform reduced the accuracy of the Company’s machine learning technology and that this was likely to have a material negative impact on the Company’s revenues. As such, Unity had overstated the Company’s commercial and/or financial prospects for 2022 and would likely have to reduce its fiscal 2022 guidance.
On May 10, 2022, Unity announced its financial results for the first quarter of 2022. The Company also reduced its fiscal 2022 guidance, citing "challenges with monetization products." Specifically, Unity stated that “a fault in [Unity’s] platform . . . resulted in reduced accuracy for [its] Audience Pinpointer tool, a revenue expensive issue given that [the] Pinpointer tool experienced significant growth post the IDFA changes.” On this news, Unity’s stock price fell $17.83 per share, or approximately 37%, to close at $30.30 per share on May 11, 2022.
Next Steps: If you acquired shares of Unity Software Inc. securities between March 5, 2021 and May 10, 2022, you have legal options. Contact Robbins LLP for more information.
All representation is on a contingency fee basis. Shareholders pay no fees or expenses.
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About Robbins LLP: A recognized leader in shareholder rights litigation, the attorneys and staff of Robbins LLP have been dedicated to helping shareholders recover losses, improve corporate governance structures, and hold company executives accountable for their wrongdoing since 2002. To be notified if a class action against Unity Software Inc. settles or to receive free alerts when corporate executives engage in wrongdoing, sign up for Stock Watch today.
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