StockNews.com Begins Coverage on 2U (NASDAQ:TWOU)

StockNews.com initiated coverage on shares of 2U (NASDAQ:TWOU) in a research note issued to investors on Thursday. The brokerage issued a hold rating on the software maker’s stock.

A number of other equities research analysts have also recently issued reports on the company. Morgan Stanley reduced their price objective on 2U from $2.00 to $1.00 and set an equal weight rating for the company in a report on Tuesday, February 13th. Needham & Company LLC cut 2U from a buy rating to a hold rating in a report on Tuesday, February 13th. Nine research analysts have rated the stock with a hold rating and one has issued a buy rating to the stock. According to MarketBeat.com, the stock has a consensus rating of Hold and an average price target of $4.31.

2U Stock Down 8.1 %

Shares of TWOU stock opened at $0.25 on Thursday. The stock has a market cap of $20.74 million, a price-to-earnings ratio of -0.06 and a beta of 0.83. The company has a debt-to-equity ratio of 4.09, a quick ratio of 0.97 and a current ratio of 0.97. 2U has a 52-week low of $0.24 and a 52-week high of $6.10. The firm’s 50-day moving average is $0.39 and its 200-day moving average is $1.04.

2U (NASDAQ:TWOU) last issued its quarterly earnings data on Monday, February 12th. The software maker reported $0.43 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.50 by ($0.07). 2U had a negative return on equity of 7.92% and a negative net margin of 33.58%. The firm had revenue of $255.66 million for the quarter, compared to the consensus estimate of $275.84 million. Sell-side analysts predict that 2U will post -0.25 EPS for the current year.

Institutional Investors Weigh In On 2U

Hedge funds and other institutional investors have recently made changes to their positions in the business. Axxcess Wealth Management LLC acquired a new stake in shares of 2U in the third quarter valued at approximately $25,000. Point72 Middle East FZE acquired a new position in 2U during the fourth quarter valued at approximately $25,000. Principal Financial Group Inc. acquired a new position in 2U during the third quarter valued at approximately $28,000. Qtron Investments LLC acquired a new position in 2U during the third quarter valued at approximately $35,000. Finally, Hsbc Holdings PLC acquired a new position in 2U during the third quarter valued at approximately $35,000. 80.53% of the stock is currently owned by institutional investors and hedge funds.

2U Company Profile

2U, Inc operates as an online education platform company in the United States and internationally. The company operates through two segments, Degree Program and Alternative Credential. The Degree Program segment provides the technology and services to nonprofit colleges and universities to enable the online delivery of degree programs.