DA Davidson analyst Rishi Jaluria initiated 2U with a Buy rating and a price target of $98, citing the company's "unique positioning and established relationships with leading universities, rapid growth, and attractive long-term economics". The analyst contends that the company is a leading provider of solutions and services that supports established universities in offering their graduate programs online, adding that the trend in graduate education is favorable with about 1/3 of the programs going online. Jaluria further notes 2U's "impressive revenue growth" of 44% per year from 2011 to 2017, and expects strong growth rates to continue.