If you missed my previous signal on U (Unity):
Now Unity Technologies (NYSE: U) just caught fire — surging 12.5% in a single day — on a massive uptick in volume that should have every sharp trader watching closely. With $39.1M in volume against a daily average of 9.4M shares, something is clearly brewing beneath the surface.
But this isn’t just about technicals — the options market is lighting up with unusual activity, and there’s fundamental buyout potential that’s getting harder to ignore.
🔍 Options Traders Are Making Bold Bets
Yesterday: Traders loaded up on January 16 $37 strike calls — deep out-of-the-money, high-risk, high-reward plays.
Today: A massive $3.5 million bet was placed on the $30 strike calls, also expiring January 16.
These aren’t casual bets. This is smart money positioning for a potential takeover or major catalyst, and the timeline is clear: January 2025.
📈 Why a Buyout Could Be Back on the Table
Let’s rewind. On August 9, 2022, AppLovin (APP) made an unsolicited offer to acquire Unity in an all-stock deal worth $17.5B, valuing Unity shares at $58.85 — an 18% premium at the time. Unity rejected the deal.
Fast forward to today:
AppLovin's market cap has exploded — now sitting at a jaw-dropping $127B, up 3,800% since late 2022.
Unity, meanwhile, is a shadow of its former self, trading far below its ATH of $201.12 (November 2021), with ongoing struggles in monetization and competition.
But this disparity creates a prime M&A setup:
AppLovin now has the firepower and strategic incentive to revisit the acquisition — with Unity’s depressed valuation, it’s arguably a bargain.
The AI + gaming narrative is red hot. Combining Unity’s engine with AppLovin’s ad and monetization capabilities could be the synergy Wall Street loves.
🎯 The Trade Setup
Unity just broke out with conviction on high volume — this could be the first leg of a larger move.
Options flow suggests bullish sentiment into early 2025.
A renewed takeover offer could easily push the stock back toward the $50–60 zone, if not higher.
🧠 Final Thoughts
Unity is no stranger to volatility, but when volume spikes, options explode, and a cash-rich suitor like AppLovin is thriving, traders should sit up and pay attention.
We may be watching the early stages of a buyout story 2.0 unfold — and Wall Street might be starting to price it in.
📌 Watch Unity (U) closely in the coming weeks. The market may be whispering — or shouting — "Takeover incoming."
Now Unity Technologies (NYSE: U) just caught fire — surging 12.5% in a single day — on a massive uptick in volume that should have every sharp trader watching closely. With $39.1M in volume against a daily average of 9.4M shares, something is clearly brewing beneath the surface.
But this isn’t just about technicals — the options market is lighting up with unusual activity, and there’s fundamental buyout potential that’s getting harder to ignore.
🔍 Options Traders Are Making Bold Bets
Yesterday: Traders loaded up on January 16 $37 strike calls — deep out-of-the-money, high-risk, high-reward plays.
Today: A massive $3.5 million bet was placed on the $30 strike calls, also expiring January 16.
These aren’t casual bets. This is smart money positioning for a potential takeover or major catalyst, and the timeline is clear: January 2025.
📈 Why a Buyout Could Be Back on the Table
Let’s rewind. On August 9, 2022, AppLovin (APP) made an unsolicited offer to acquire Unity in an all-stock deal worth $17.5B, valuing Unity shares at $58.85 — an 18% premium at the time. Unity rejected the deal.
Fast forward to today:
AppLovin's market cap has exploded — now sitting at a jaw-dropping $127B, up 3,800% since late 2022.
Unity, meanwhile, is a shadow of its former self, trading far below its ATH of $201.12 (November 2021), with ongoing struggles in monetization and competition.
But this disparity creates a prime M&A setup:
AppLovin now has the firepower and strategic incentive to revisit the acquisition — with Unity’s depressed valuation, it’s arguably a bargain.
The AI + gaming narrative is red hot. Combining Unity’s engine with AppLovin’s ad and monetization capabilities could be the synergy Wall Street loves.
🎯 The Trade Setup
Unity just broke out with conviction on high volume — this could be the first leg of a larger move.
Options flow suggests bullish sentiment into early 2025.
A renewed takeover offer could easily push the stock back toward the $50–60 zone, if not higher.
🧠 Final Thoughts
Unity is no stranger to volatility, but when volume spikes, options explode, and a cash-rich suitor like AppLovin is thriving, traders should sit up and pay attention.
We may be watching the early stages of a buyout story 2.0 unfold — and Wall Street might be starting to price it in.
📌 Watch Unity (U) closely in the coming weeks. The market may be whispering — or shouting — "Takeover incoming."
Private SIGNALS patreon.com/PremiumOptionsSignals
Trading COURSE bit.ly/tradex
RESULTS bit.ly/TG10x
TradeNation bit.ly/t10X
CRYPTO partner.bybit.com/b/37880
BUY-SELL INDICATORS tradingindicators.store/
Trading COURSE bit.ly/tradex
RESULTS bit.ly/TG10x
TradeNation bit.ly/t10X
CRYPTO partner.bybit.com/b/37880
BUY-SELL INDICATORS tradingindicators.store/
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Private SIGNALS patreon.com/PremiumOptionsSignals
Trading COURSE bit.ly/tradex
RESULTS bit.ly/TG10x
TradeNation bit.ly/t10X
CRYPTO partner.bybit.com/b/37880
BUY-SELL INDICATORS tradingindicators.store/
Trading COURSE bit.ly/tradex
RESULTS bit.ly/TG10x
TradeNation bit.ly/t10X
CRYPTO partner.bybit.com/b/37880
BUY-SELL INDICATORS tradingindicators.store/
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.