{
  "docId": "019dd923-622c-750b-8b98-75b90dee081f",
  "docSlug": "664272f4012c",
  "documentTitle": "2U, Inc. (TWOU)",
  "authorId": "54_Spruce_Point_Capital",
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  "documentKindSlug": "activist-deck",
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  "sourceTypeSlug": "short_seller",
  "sourceTypeLabel": "Short seller",
  "presentationDate": "2018-07-19 00:00:00",
  "orientation": "landscape",
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  "pageNumber": 42,
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  "notes": "The slide highlights 2U's premium valuation relative to its peers, suggesting a potential re-rating.",
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      "text": "2U is the highest valued “Cloud based SaaS” company. 2U is currently priced for perfection and we believe the stock will re-rate as downward estimate revisions come to fruition as well as the realization that the EBITDA margin profile will never mature similar to its SaaS peer group.",
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      "text": "EBITDA margin: 5.3%",
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      "text": "2U is the highest valued \"Cloud based SaaS\" company. 2U is currently priced for perfection and we believe the stock will re-rate as downward estimate revisions come to fruition as well as the realization that the EBITDA margin profile will never mature similar to its SaaS peer group.",
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      "kind": "source-note",
      "text": "Source: Bloomberg, Company Filings and Spruce Point Estimates. Financials have been calandered for comparative purposes. Peer Group includes companies from 2U's compensation peer group in its proxy filed on April 30, 2018",
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      "text": "Peer Group Comparison",
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      "evidence": "The document provides a solution to the problem by arguing that 2U's valuation is unsustainable and that shorting the stock is a viable option",
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      "name": "Cost Of Inaction",
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      "evidence": "The document highlights the potential downside risk of 2U's stock and the benefits of shorting it",
      "position": 0,
      "objective": "to highlight the risks of not shorting 2U",
      "structure": "The Status Quo -> The Hidden Costs Accumulating -> The Future State of Inaction -> The Tipping Point",
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