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2U (NASDAQ:TWOU) stock has more than doubled over the past 12 months as the education technology company, which helps colleges and universities provide online degree programs, generated robust growth throughout the pandemic. But is it a worthy long-term investment?
How does 2U make money?
Founded in 2008, 2U enjoyed an early-mover s advantage in its market. After signing its first contract with the University of Southern California in 2009, other major universities such as Georgetown, Syracuse, Northwestern, UC Berkeley, and Yale followed suit.
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The company splits its business into two main segments. Its Degree Program business, which generated 63% of its revenue in 2020, provides both undergraduate and graduate degrees online. The business only started offering undergraduate degrees in 2019. ....

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