• Coursera's reported 60% Q2 revenue growth was primarily driven by the Udemy merger, with normalized revenue actually declining 1% year-over-year, which gave investors pause.
  • The company's operating margin slid to -28.4% and free cash flow was -$32.6 million, including significant merger and integration costs.
  • A $100 million strategic investment in LearnVector, an AI-native learning company founded by Coursera's co-founder and chairman, also raised governance concerns among investors.