2U (NASDAQ:TWOU) Coverage Initiated at StockNews.com

StockNews.com initiated coverage on shares of 2U (NASDAQ:TWOU) in a report published on Monday morning. The firm issued a hold rating on the software maker’s stock.

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

2U Stock Up 13.9 %

Shares of 2U stock opened at $0.41 on Monday. 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 $0.31 and a 52-week high of $6.97. The stock has a market capitalization of $34.07 million, a price-to-earnings ratio of -0.10 and a beta of 0.84. The company’s 50 day moving average price is $0.57 and its 200-day moving average price is $1.30.

2U (NASDAQ:TWOU) last issued its earnings results on Monday, February 12th. The software maker reported $0.43 earnings per share (EPS) for the quarter, missing the consensus estimate 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 during the quarter, compared to the consensus estimate of $275.84 million. Equities research analysts forecast that 2U will post -0.25 EPS for the current year.

Hedge Funds Weigh In On 2U

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Barclays PLC lifted its position in 2U by 131.3% during the third quarter. Barclays PLC now owns 126,320 shares of the software maker’s stock valued at $312,000 after buying an additional 71,696 shares during the period. Jacobs Levy Equity Management Inc. raised its position in shares of 2U by 14.7% in the 3rd quarter. Jacobs Levy Equity Management Inc. now owns 1,759,732 shares of the software maker’s stock worth $4,347,000 after purchasing an additional 225,253 shares during the last quarter. ARK Investment Management LLC raised its position in shares of 2U by 11.2% in the 3rd quarter. ARK Investment Management LLC now owns 9,765,122 shares of the software maker’s stock worth $24,120,000 after purchasing an additional 981,368 shares during the last quarter. Los Angeles Capital Management LLC raised its position in shares of 2U by 37.2% in the 3rd quarter. Los Angeles Capital Management LLC now owns 215,142 shares of the software maker’s stock worth $531,000 after purchasing an additional 58,331 shares during the last quarter. Finally, SG Americas Securities LLC raised its position in shares of 2U by 232.6% in the 3rd quarter. SG Americas Securities LLC now owns 56,607 shares of the software maker’s stock worth $140,000 after purchasing an additional 39,590 shares during the last quarter. Hedge funds and other institutional investors own 80.53% of the company’s stock.

About 2U

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.