COUR - 2U: Cathie Wood Favorite In Trouble
2024-02-13 01:47:55 ET
Summary
- Online education platform 2U reported disappointing Q4 revenues and declining enrollments, while also issuing a going concern warning.
- Guidance for Q1 and full year 2024 was extremely disappointing.
- TWOU faces significant near-term debt maturities, raising the possibility of bankruptcy and adding to ARK Invest's poor recent investments.
Back in October, I detailed how online education platform 2U ( TWOU ) was in need of a serious restructuring . The company has a significant amount of debt on the balance sheet coming due by the end of January 2025, while it is also facing significant revenue and profit headwinds. Since my article, shares have lost more than half of their value, but there are still plenty of downsides possible, as the equity here may end up being worthless....
2U: Cathie Wood Favorite In Trouble