Duolingo, Inc. (NASDAQ:DUOL) Receives Average Recommendation of “Hold” from Brokerages

Duolingo, Inc. (NASDAQ:DUOL) has earned an average rating of “Hold” from the twenty-four research firms that are presently covering the company, Marketbeat.com reports. One analyst has rated the stock with a sell recommendation, eleven have given a hold recommendation and twelve have assigned a buy recommendation to the company. The average 12-month price target among brokerages that have issued a report on the stock in the last year is $300.25.

A number of research analysts have issued reports on the company. JPMorgan Chase & Co. lowered their price objective on Duolingo from $300.00 to $200.00 and set an “overweight” rating for the company in a research note on Tuesday, January 20th. Evercore set a $330.00 price target on Duolingo and gave the stock an “outperform” rating in a research report on Thursday, November 6th. Wells Fargo & Company cut their price objective on shares of Duolingo from $185.00 to $160.00 and set an “underweight” rating on the stock in a research report on Thursday, January 8th. Truist Financial set a $245.00 price objective on shares of Duolingo in a research note on Thursday, January 15th. Finally, Bank of America upgraded shares of Duolingo from a “neutral” rating to a “buy” rating and dropped their target price for the stock from $301.00 to $250.00 in a research note on Monday, January 5th.

Duolingo Price Performance

Shares of DUOL opened at $119.40 on Tuesday. Duolingo has a fifty-two week low of $112.41 and a fifty-two week high of $544.93. The firm’s 50-day simple moving average is $168.45 and its two-hundred day simple moving average is $248.78. The stock has a market cap of $5.52 billion, a PE ratio of 15.13, a price-to-earnings-growth ratio of 0.64 and a beta of 0.86. The company has a debt-to-equity ratio of 0.07, a quick ratio of 2.82 and a current ratio of 2.82.

Duolingo (NASDAQ:DUOL) last issued its quarterly earnings results on Wednesday, November 5th. The company reported $5.95 EPS for the quarter, topping analysts’ consensus estimates of $0.72 by $5.23. The firm had revenue of $271.71 million for the quarter, compared to analysts’ expectations of $260.14 million. Duolingo had a return on equity of 14.02% and a net margin of 40.03%.The business’s revenue for the quarter was up 41.1% compared to the same quarter last year. During the same period in the previous year, the firm posted $0.49 EPS. Analysts anticipate that Duolingo will post 2.03 earnings per share for the current fiscal year.

Insider Buying and Selling

In other Duolingo news, insider Severin Hacker sold 10,000 shares of the stock in a transaction on Wednesday, November 19th. The stock was sold at an average price of $172.74, for a total transaction of $1,727,400.00. Following the sale, the insider directly owned 72 shares in the company, valued at approximately $12,437.28. This trade represents a 99.29% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, insider Robert Meese sold 1,444 shares of Duolingo stock in a transaction on Monday, November 17th. The stock was sold at an average price of $177.95, for a total value of $256,959.80. Following the completion of the sale, the insider directly owned 123,636 shares of the company’s stock, valued at approximately $22,001,026.20. The trade was a 1.15% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold 33,169 shares of company stock worth $5,826,651 over the last 90 days. 15.67% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Duolingo

Hedge funds have recently bought and sold shares of the business. Kiker Wealth Management LLC bought a new stake in shares of Duolingo in the second quarter worth approximately $31,000. Emerald Mutual Fund Advisers Trust bought a new position in Duolingo during the second quarter valued at approximately $40,000. Atlantic Union Bankshares Corp purchased a new stake in Duolingo in the third quarter worth approximately $32,000. Farther Finance Advisors LLC grew its position in Duolingo by 82.2% in the 3rd quarter. Farther Finance Advisors LLC now owns 133 shares of the company’s stock worth $43,000 after purchasing an additional 60 shares during the period. Finally, KERR FINANCIAL PLANNING Corp purchased a new stake in Duolingo during the 3rd quarter valued at $47,000. Hedge funds and other institutional investors own 91.59% of the company’s stock.

About Duolingo

Duolingo, Inc (NASDAQ:DUOL) is a technology-driven education company that operates a widely used language-learning platform. Founded in 2011 by Luis von Ahn and Severin Hacker, Duolingo offers a freemium service featuring bite-sized lessons, gamified exercises and adaptive learning algorithms. The company’s core product is its mobile and web application, which supports instruction in more than 40 languages, ranging from widely spoken tongues such as English and Spanish to lesser-taught options including Irish and Swahili.

In addition to its flagship language courses, Duolingo has expanded its product suite to include the Duolingo English Test, an on-demand, computer-based English proficiency exam designed for academic and professional admissions.