Needham & Company Reiterates Buy on 2u (TWOU) Following Berkeley MDIS Program Release

Needham & Company reiterated a Buy rating and $40.00 price target on 2U, Inc. (NASDAQ: TWOU) following an annual online degree program check-in released from The University of California at Berkeley Graduate Council. The program reveals the importance of 2U as what is believed to be an indispensable partner and the success of the program.

Analyst Kerry Rice commented, "The University of California at Berkeley Graduate Council released its annual online degree program check-in for the Masters of Information and Data Science (MIDS) program, which reveals the importance of 2U as what we believe is an indispensable partner and the success of the program. This independent report highlights the rapid enrollment of the program to over 200 students, the fact that the MIDS program may be the most successful online program in the UC System, how 2U provides an exceptionally strong partnership, and the incremental revenue driven by the program. We believe the program's success could propagate the 2U platform to additional programs and verticals within the UC System. The alumni network and positive student feedback should also help boost the program's reputation. In addition, we expect marketing efficiency should be gained as the program scales. These factors could in turn allow 2U to lower its student acquisition costs and improve the program's contribution margin."

For an analyst ratings summary and ratings history on 2U, Inc. click here. For more ratings news on 2U, Inc. click here.

Shares of 2U, Inc. closed at $33.27 yesterday.

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