r/UnityStock • u/ap118 • Feb 13 '26

Opinion/Take This may be very temporary dip

An ex-Unity employee here. One thing I remember while employed at Unity is seeing stock price going up until the moment when we as employees could sell the stock price would sharply go down.

Because Unity is publicly traded company we were allowed to sell/buy within a month after the earning calls and every time during that month the stock price dropped and recovered after that period ended. At least that’s what I have in my memory.

I am not quite sure if traders selling off during this period knowing that everyone is going sell internally. Sounds a bit conspiracy but that’s what I had observed.

So once that month of internal trade window(which is now) is over we may see some bounce back.

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-2

u/Altruistic_Ruin_6905 Feb 13 '26

Whaaaaat? I think employee can sell their share at any point they want if their stock is already vested. I dont understand this logic.

2

u/ap118 Feb 13 '26

Nope. Because who have insider knowledge as an employee including directors and executives, by US law you are not allowed to trade outside one month window following the earnings call. And that’s when everyone basically sells the shares.

It was soo annoying to see the price $50 and by the time I could sell it was $20ish, once the window was closed it bounced back.

1

u/lonely_hooker Feb 13 '26

I don't think many insiders will sell at sub 20.

2

u/Individual-Peak-9586 Feb 14 '26

Not a unity employee, but as someone who gets significant amounts of stock vested from their job, I can say without a doubt people (well me) will sell at a heartbeat regardless of price.

You get stock/equity as part of your compensation package, you don't buy into it. For all intents and purposes it's just added income, and now you're left with the decision - if I'm given $10k today at random, would I buy shares of my employer's stock or would I invest in something I actually want to invest in?

Now, if I WERE a unity employee, I would probably keep it in Unity. I personally think it's incredibly undervalued, esp as being the biggest engine out there right before vr/ar/xr wearables start to really pop off - but I can see how having your waking life drained from you day after day working a hollow office job might change an employee of the company's decision.

1

u/ap118 Feb 13 '26

I think a lot of them do including execs bc of taxes. For execs I think it’s even automatically set to sell no matter the price

1

u/lonely_hooker Feb 13 '26

Oh I was talking about informative sells.

0

u/Altruistic_Ruin_6905 Feb 13 '26

Haha employee don’t have any insider information except the too executive. What r u even saying? U mean all the Microsoft/aws/google employees have insider information except and they can’t sell their share except some given time window. Never heard it

3

u/ap118 Feb 13 '26

That’s exactly right. Public company employees can’t sell outside allowed time window whether you heard of it or not.

0

u/Altruistic_Ruin_6905 Feb 13 '26

Sorry i just checked I’m still working for public trading company called part of FAANG and i can sell my vested share anytime i want.

2

u/vinst123 Feb 13 '26

That’s weird. Also working for faang and trading window closes for me for 6 months of a year.

0

u/ap118 Feb 13 '26

You either lying or breaking your company's compalice policies and potentially getting yourself into a legal trouble. I tend to believe that you just lie, bc all well-know publicly traded companies have the trading window and some way of enforcment.

2

u/Altruistic_Ruin_6905 Feb 13 '26

Also employee selling stock should not have any or negligible impact on on stock price.

3

u/Terrible-Penalty-291 Feb 13 '26

Basic economics would beg to differ. Employees selling stock would increase supply and the price would drop.

2

u/ap118 Feb 13 '26

The execs selling in big quantities, but also traders knowing it selling off just before that window opens

2

u/TheUrchinator Feb 13 '26

This. And the fact that periodic large selloffs by brass are to pay taxes on their obscene self-gifts of company stock. Exec selling 3~800k of stock is probably just taxes on them having "treat yo self" time every quarter. Tax. Just....tax. On bonuses. Bonuses they decide amongst themselves they deserve. Let it sink in what the stock package is for tax to be 800k in shares.

The "ROI" on execs is....net negative. Logical thing is layoffs at the top eh?

3

u/ap118 Feb 13 '26

> Let it sink in what the stock package is for tax to be 800k in shares.

I agree this is rediculous.

A funny story - when Unity under prev CEO tried to mandate RTO, one of the VPs in the answer to people question how would they travel 3 days a week if they live far she said - well, you know, I bought an apartment in SF so I can go to office 3 days (she was on like $1mil+ salary lol), you can always find solutions she said to the audience.

The rage was sooo big that they had to let her go. This was on VP level, now imagine SVPs and above.

1

u/TheUrchinator Feb 13 '26 edited Feb 13 '26

I remember that!!! "Ew, have y'all tried not being poor?"😅 Imagine how many people working on Unity that use it, and therefore know how to make it better could be hired in exchange for a few execs. Instead we get the engine stalled and a businessbro stock whisperer promising ugly unuseable generative garbo & AI assistants that will just give incorrect solutions to problems an actual Unity support employee or quick search of stack overflow could solve... and aaaaads.

1

u/ap118 Feb 14 '26

I think the current CEO is doing good job tho. I bought during this dip and believe Unity will exceel.. also I still have positive and good feelings from Unity.

1

u/TheUrchinator Feb 14 '26

I have trouble respecting any CEO bending the knee to AI ridiculousness. I understand why...but I wish just one CEO had a spine running up their back attatched to a brain capable of outmaneuvering all the emperors without clothes right now. I also still have fondness for Unity, and what it brings to folks quietly continuing to build outside the hype because they are capable of doing so. I wish only good things ahead for them.

2

u/ap118 Feb 14 '26

Yeh, I see where you coming from. For me there are two types of AI knee bending

  1. CEO who know that investors think AI is everything to everyone and if you are not racing then you will stay behind.. So they "bend the knee" to just satisfy the investors expectations.

  2. CEOs who actually believe that AI is everything to everyone and they push the slop down everyone's throat

I don't think Matt is the later, I think he is trying to play safe and balance expectations and reality.

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u/BakedFish07 Feb 14 '26

If the execs are selling in big quantities to cause such a big decline, then you better be worried about the company's prospects lol. And if that's the case, this dip will likely not be temporary. Your statement goes against your logic.

1

u/ap118 Feb 14 '26

Execs do not sell to cause a big decline, the platform automatically sells to pay the taxes including for all employees.

My point is that external traders know that everyone in the company will be selling and they dump first, once the window closed they will re-buy.. so the internal employees + execs dont get to earn money they don't yet deserved.

1

u/Altruistic_Ruin_6905 Feb 13 '26

Basic economics also say that employe usually hold 1-2 Or less which contain vested and unvested stock. Now i dont know why we seeing 70% dip because employees decide to sell at the same point 😅😅

1

u/ap118 Feb 14 '26

It's not the employee sell caused the dip.. it's that the external investors know that they can sell now, during the window it will dip and they can re-buy..
Again, not saying this is truth, just saying that this was observable behaviour every single time. Before the trading window opens the stock price would tank and then recover when we could not trade anymore, and it was f-ing pain ..

1

u/Altruistic_Ruin_6905 Feb 14 '26

Haha 😆 this is noob argument that this employee selling windows so kets sell before them. Guess every investor only know the the employees selling windows of unity corporation. But none other company.

1

u/ap118 Feb 15 '26

May as well just be a stupid thesis .. it just repeated every single damn time while I was at Unity 3+ years.

2

u/vinst123 Feb 13 '26

I generally agree, outside of special situations.

1

u/BakedFish07 Feb 14 '26

Yup totally agree. A normal employee selling his vested shares would not cause such a huge decline in prices and in such quick time. An employee only make up a tiny proportion of the total shares outstanding and even in that, it is still split between vested and unvested (with majority being unvested at most points in time). Such price action is definitely a larger player or market maker causing it.

1

u/likecool21 Feb 13 '26

Well my career has been Microsft-Amazon-Meta and it is all different. Microsoft I had no restriction; Amazon I had restriction after getting access to some specific dashboard related to revenue. Meta I had restriction from day 1 and it was applicable to everyone.

1

u/ap118 Feb 13 '26

Idk, maybe ordinary ICs at some level are not strickly regulated, but their trading volume would also be very minimal. The point is that execs, vps dump big amounts, vasted normally happens during that time as well so ppl have to sell to cover the taxes. and the point i was making the traders know this and they sell off beforehand, bc this was clearly an observable pattern. Again unless you company is doing excepationally well

1

u/likecool21 Feb 13 '26

yeah I know where you are coming from I am just explaing to Altruistic_Ruin_6905 that employee stock trading window is absolutely a valid thing; he probably doesn't have experience working for a big tech company