Why Unity Software Is Down More Than 12% on Tuesday
Shares of Unity Software (NYSE: U) are down 12.5% as of 1:35 p.m. ET today, upended by broad-market weakness and steep sell-offs from a pair of closely related peers.
Blame Roblox (NYSE: RBLX) and Snap (NYSE: SNAP), mostly. Roblox stock is 8.7% lower today in response to a downgrade from Atlantic Equities, while Snap -- the name behind the social media app Snapchat -- cautioned its shareholders that it wouldn't meet its initial second-quarter earnings estimates, sending its shares down more than 40%. Although distinct companies, all three organizations are working on metaverse-based products. If one or more of them is struggling, investors are willing to bet that others operating in the same arena are running into the same headwind.
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Source Fool.com
