Joseph Janssen, a Director of Barrington Research Associates, says one of the stocks he is currently recommending is 2U Inc (TWOU). He says the company’s CEO has done a fantastic job.
“They are called the enablers in the space,” Janssen says. “They basically allow Ivy League tier-1 institutions to go online. They have clients such as USC, Georgetown, and they recently signed Yale.”
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Janssen says 2U brings those institutions into the online modality. They don’t have the same regulatory risk as other for-profit education companies, he says.
“They essentially work with the university, create the curriculum; they are the enrollment funnel for the university as well as the learning management system all the way through to graduation,” Janssen says. “The only things they don’t do, which is interesting, are they don’t control the admissions process and the actual professors themselves. It alleviates a lot of the regulatory headaches that some of the others have fallen into. “
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