Alec Hogg: Long neglected 2U catches fire

My neighbour Manny is a devoted BizNews Premium subscriber – and regularly teases me about any stock selections that don't match the gains of his favourite share, the ever-rising Pinterest (4x past year). He's especially enjoyed ribbing me about 2U Inc, the global leader in online tertiary education. That's about to end..Read also: Alec Hogg: Revisiting Amazon – tips from ARK.On Thursday night, 2U reported fourth quarter financial results far surpassing market expectations with revenue +32% and operating profit almost quadrupling from a year before. What investors absolutely love, however, is how free cash flow contracted for the fifth successive quarter to a virtual break-even position (below). That opens a $518m bank balance for growth or acquisitions..___STEADY_PAYWALL___.Read also: Alec Hogg: Three reasons to consider selling Amazon.We added 2U to the BizNews Share portfolio last year through the usual three tranches (May, June, July) at an average cost price of just under $39 a share. For some months the investment was underwater. The stock is now showing a 44% gain. Good things come to those who wait. Especially, it seems, with investing..PS We're still dotting the i's and crossing the t's on the inaugural BizNews Investment Conference at Champagne Sports Resort from 16-18 March. Am not ready to share details just yet. Will do so tomorrow. Premium members will still have a day's advance booking..NB FOR YOUR WALL STREET JOURNAL ACCESS….Because of The Wall Street Journal's credential requirements to access its site, your password MUST be at least 8 characters and include at least one letter and one number; and it MAY NOT contain any special characters (ie #, !, @ etc). To maintain access to WSJ.com, you MUST enter our partner's website at least once a month via BizNews Premium..And for your listening pleasure….Latest audio on BizNews Radio.…..(click on the link to access).FB: Fresh call for Western Cape independence; Eskom property scandalTaking Stock: Wrap of the JSE's week featuring Telkom, Italtile, ImplatsMackenzie Scott, the well divorced ex-Mrs Jeff Bezos, gives away $6bn How it all works – Bright Light's CEO unpacks 19% pa after tax return Don't buy Bitcoin warns former chair of US Federal Deposit Insurance CorpInside Covid-19: Medical breathroughs, common drugs beat coronavirus

Alec Hogg: Long neglected 2U catches fire

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