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2U (TWOU) Cyclically Adjusted Price-to-FCF : (As of May. 15, 2024)


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What is 2U Cyclically Adjusted Price-to-FCF?

Shiller PE for Stocks: The True Measure of Stock Valuation


2U Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for 2U's Cyclically Adjusted Price-to-FCF can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

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2U Cyclically Adjusted Price-to-FCF Chart

2U Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Cyclically Adjusted Price-to-FCF
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2U Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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Competitive Comparison of 2U's Cyclically Adjusted Price-to-FCF

For the Education & Training Services subindustry, 2U's Cyclically Adjusted Price-to-FCF, along with its competitors' market caps and Cyclically Adjusted Price-to-FCF data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


2U's Cyclically Adjusted Price-to-FCF Distribution in the Education Industry

For the Education industry and Consumer Defensive sector, 2U's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

* The bar in red indicates where 2U's Cyclically Adjusted Price-to-FCF falls into.



2U Cyclically Adjusted Price-to-FCF Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted Price-to-FCF takes the Free Cash Flow per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/FCF calculation. Because it considers this 10-year average, it's often referred to as the CAPFCF Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted Price-to-FCF.

2U's Cyclically Adjusted FCF per Share for the quarter that ended in Mar. 2024 is calculated as:

For example, 2U's adjusted Free Cash Flow per Share data for the three months ended in Mar. 2024 was:

Adj_FreeCashFlowPerShare=Free Cash Flow per Share/CPI of Mar. 2024 (Change)*Current CPI (Mar. 2024)
=0.778/129.4194*129.4194
=0.778

Current CPI (Mar. 2024) = 129.4194.

2U Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201406 -0.087 100.560 -0.112
201409 -0.606 100.428 -0.781
201412 0.131 99.070 0.171
201503 -0.113 99.621 -0.147
201506 0.100 100.684 0.129
201509 -0.773 100.392 -0.997
201512 0.215 99.792 0.279
201603 0.052 100.470 0.067
201606 0.014 101.688 0.018
201609 -0.717 101.861 -0.911
201612 0.242 101.863 0.307
201703 -0.548 102.862 -0.689
201706 -0.178 103.349 -0.223
201709 -0.592 104.136 -0.736
201712 0.389 104.011 0.484
201803 -0.807 105.290 -0.992
201806 -0.416 106.317 -0.506
201809 -0.354 106.507 -0.430
201812 0.095 105.998 0.116
201903 -0.847 107.251 -1.022
201906 -0.649 108.070 -0.777
201909 -0.938 108.329 -1.121
201912 0.277 108.420 0.331
202003 -0.442 108.902 -0.525
202006 -0.239 108.767 -0.284
202009 -0.229 109.815 -0.270
202012 0.280 109.897 0.330
202103 -0.101 111.754 -0.117
202106 -0.364 114.631 -0.411
202109 -0.257 115.734 -0.287
202112 -0.459 117.630 -0.505
202203 -0.253 121.301 -0.270
202206 0.102 125.017 0.106
202209 -0.630 125.227 -0.651
202212 -0.037 125.222 -0.038
202303 0.198 127.348 0.201
202306 -0.492 128.729 -0.495
202309 -0.372 129.860 -0.371
202312 0.010 129.419 0.010
202403 0.778 129.419 0.778

Add all the adjusted free cash flow per share together and divide 10 will get our Cyclically Adjusted FCF per Share.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.


2U  (NAS:TWOU) Cyclically Adjusted Price-to-FCF Explanation

Compared with the regular Price-to-Free-Cash-Flow, which works poorly for cyclical businesses, the Cyclically Adjusted Price-to-FCF smoothed out the fluctuations of free cash flow during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted Price-to-FCF should give similar results to regular Price-to-Free-Cash-Flow.


2U Cyclically Adjusted Price-to-FCF Related Terms

Thank you for viewing the detailed overview of 2U's Cyclically Adjusted Price-to-FCF provided by GuruFocus.com. Please click on the following links to see related term pages.


2U (TWOU) Business Description

Industry
Traded in Other Exchanges
Address
7900 Harkins Road, Lanham, MD, USA, 20706
2U Inc provides educational technology services for nonprofit colleges and universities. It builds, delivers, and monitors educational platforms that enable online delivery of degree programs and alternative credentials such as short technical courses. The company provides cloud-based software-as-a-service platform and various technology-enabled services such as learning technology, live class application monitoring, content development, marketing, among others that help its clients to reach students globally. It is organized in two reportable business segments: Degree Program segment and Alternative Credential segment. The vast majority of revenue comes from the company's Degree Program segment, and most of the company's revenue is earned in the United States.
Executives
Aaron Mccullough officer: CHIEF PRODUCT OFFICER C/O 2U, INC., 7900 HARKINS ROAD, LANHAM MD 20706
Edward S. Macias director C/O 2U, INC., 8201 CORPORATE DRIVE, SUITE 900, LANDOVER MD 20785
Gregory K Peters director C/O NETFLIX, INC., 121 ALBRIGHT WAY, LOS GATOS CA 95032
Christopher J Paucek director, officer: Chief Executive Officer 7900 HARKINS ROAD, LANHAM MD 20706
Paul A Maeder director C/O HIGHLAND CAPITAL PARTNERS, HIGH ST TOWER 125 HIGH ST, BOSTON MA 02110
Alexis Maybank director C/O 2U, INC., 7900 HARKINS ROAD, LANHAM MD 20706
James Kenigsberg officer: Chief Technology Officer C/O 2U, INC., 7900 HARKINS ROAD, LANHAM MD 20706
Matthew J. Norden officer: Co-General Counsel C/O 2U, INC., 7900 HARKINS ROAD, LANHAM MD 20706
Mark Chernis director 2315 BROADWAY, NEW YORK NY 10024
Paul S Lalljie officer: Chief Financial Officer 7900 HARKINS ROAD, LANHAM MD 20706
John M Larson director 2895 GREENSPOINT PARKWAY, SUITE 600, HOFFMAN ESTATES IL 60195
Robert M Stavis director 211 HOMMOCKS ROAD, LARCHMONT NY 10538
John B. Ellis officer: Chief Accounting Officer THREE GLENLAKE PKWY., ATLANTA GA 30328
Earl Lewis director C/O 2U, INC., 8201 CORPORATE DRIVE, LANDOVER MD 20785
Timothy M Haley director 3000 SAND HILL ROAD, 2-290, MENLO PARK CA 94025