2U (TWOUQ) Debt-to-Equity: -3.61 (As of Jun. 2024)

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Director of Data and Quant Analytics at GuruFocus
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TWOUQ 2U Inc TWOUQ
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What is 2U Debt-to-Equity?

2U TWOUQ +28.57% 12 Debt-to-Equity is -3.61 as of Jun. 2024. GuruFocus rates TWOUQ with a GF Score™ of 12/100.

2U's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2024 was $922.1 Mil. 2U's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2024 was $77.2 Mil. 2U's Total Stockholders Equity for the quarter that ended in Jun. 2024 was $-277.2 Mil. 2U's debt to equity for the quarter that ended in Jun. 2024 was -3.60.

A high debt to equity ratio generally means that a company has been aggressive in financing its growth with debt. This can result in volatile earnings as a result of the additional interest expense.

The historical rank and industry rank for 2U's Debt-to-Equity or its related term are showing as below:

TWOUQ's Debt-to-Equity is not ranked *
in the Education industry.
Industry Median: 0.3
* Ranked among companies with meaningful Debt-to-Equity only.

2U  (OTCPK:TWOUQ) Debt-to-Equity Explanation

In the calculation of Debt to Equity, we use the total of Short-Term Debt & Capital Lease Obligation and Long-Term Debt & Capital Lease Obligation divided by Total Stockholders Equity. In some calculations, Total Liabilities is used to for calculation.


Be Aware

Because a company can increase its ROE % by having more financial leverage, it is important to watch the leverage ratio when investing in high ROE % companies.


2U Debt-to-Equity Related Terms


2U Debt-to-Equity Historical Data

* Premium members only.

The historical data trend for 2U's Debt-to-Equity 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.

2U Debt-to-Equity Chart

2U Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Debt-to-Equity
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.45 0.39 1.15 2.07 4.53

2U Quarterly Data
Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24
Debt-to-Equity Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 3.26 3.81 4.53 5.87 -3.61

TWOUQ vs STG, APEI, LINC: Debt-to-Equity Comparison

For the Education & Training Services subindustry, 2U's Debt-to-Equity, along with its competitors' market caps and Debt-to-Equity 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 Debt-to-Equity vs Education Industry

For the Education industry and Consumer Defensive sector, 2U's Debt-to-Equity distribution charts can be found below:

* The bar in red indicates where 2U's Debt-to-Equity falls into.


TWOUQ
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2U Inc TWOUQ
Debt-to-Equity is just one metric. See GF Score™, valuation, warning signs, and more.
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2U Debt-to-Equity Calculation

Debt to Equity measures the financial leverage a company has.

2U's Debt to Equity Ratio for the fiscal year that ended in Dec. 2023 is calculated as

2U's Debt to Equity Ratio for the quarter that ended in Jun. 2024 is calculated as

* 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.

Frequently Asked Questions Learn more about Debt-to-Equity →
What does a Debt-to-Equity of -3.61 mean?
2U (TWOUQ) has a Debt-to-Equity of -3.61 as of Jun. 2024. Debt-to-Equity ratio represents the ratio of total debt to total company equity. View historical data on 2U and its competitors.
Is 2U's Debt-to-Equity too high?
2U's current Debt-to-Equity is -3.61. Overall, 2U has a GF Score™ of 12/100, reflecting its overall financial health beyond just this single metric.
How does 2U's Debt-to-Equity compare to STG and APEI?
2U's Debt-to-Equity of -3.61 can be compared against companies in the Education industry. The industry median Debt-to-Equity is 0.30. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Debt-to-Equity for an Education company?
The median Debt-to-Equity among Education companies is 0.30, based on 224 companies in the industry. Companies in the top quartile (top 25%) have a Debt-to-Equity significantly above this median, while those in the bottom quartile fall well below. However, Debt-to-Equity should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Debt-to-Equity mean?
A high Debt-to-Equity can signal that a stock is expensive relative to its fundamentals. Debt-to-Equity ratio represents the ratio of total debt to total company equity. View historical data on 2U and its competitors. For the Education industry, the median Debt-to-Equity is 0.30 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. 2U's current Debt-to-Equity is -3.61. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is 2U stock overvalued right now?
2U (TWOUQ) has a current Debt-to-Equity of -3.61. The current Debt-to-Equity is -3.61. 2U's overall GF Score™ is 12/100. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Debt-to-Equity calculated?
Debt-to-Equity is calculated from a company's financial statements. For 2U (TWOUQ), the current Debt-to-Equity is -3.61 as of Jun. 2024. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

2U Business Description

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 a cloud-based software-as-a-service platform and various technology-enabled services such as learning technology, live class application monitoring, content development, and marketing, among others that help its clients to reach students globally. It is organized into two reportable business segments: the Degree Program segment and the 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.
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Debt-to-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

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