Duolingo, Inc. (NASDAQ:DUOL) Receives $124.38 Average Price Target from Brokerages

Shares of Duolingo, Inc. (NASDAQ:DUOL) have earned a consensus rating of “Hold” from the twenty-four brokerages that are currently covering the company, Marketbeat Ratings reports. One analyst has rated the stock with a sell rating, fourteen have issued a hold rating, eight have given a buy rating and one has given a strong buy rating to the company. The average 12 month target price among brokerages that have updated their coverage on the stock in the last year is $124.3750.

A number of research firms have commented on DUOL. Craig Hallum downgraded Duolingo to a “hold” rating in a research report on Tuesday, August 18th. Truist Financial raised their price objective on Duolingo from $100.00 to $120.00 and gave the stock a “hold” rating in a report on Thursday, August 6th. KeyCorp upgraded Duolingo from a “hold” rating to an “overweight” rating in a research report on Tuesday, August 18th. Weiss Ratings reissued a “hold (c-)” rating on shares of Duolingo in a research note on Monday. Finally, Wedbush boosted their target price on shares of Duolingo from $139.00 to $150.00 and gave the company a “neutral” rating in a report on Thursday, August 20th.

Insider Activity

In other Duolingo news, Director William Gordon sold 10,000 shares of Duolingo stock in a transaction that occurred on Tuesday, September 8th. The shares were sold at an average price of $145.67, for a total transaction of $1,456,700.00. Following the transaction, the director directly owned 68,415 shares of the company’s stock, valued at $9,966,013.05. The trade was a 12.75% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Natalie Glance sold 1,539 shares of the stock in a transaction on Tuesday, August 18th. The shares were sold at an average price of $137.80, for a total value of $212,074.20. Following the completion of the sale, the insider owned 169,111 shares of the company’s stock, valued at approximately $23,303,495.80. This represents a 0.90% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last 90 days, insiders have sold 53,032 shares of company stock worth $7,786,498. Insiders own 16.62% of the company’s stock.

Institutional Investors Weigh In On Duolingo

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Sequoia Financial Advisors LLC acquired a new stake in shares of Duolingo during the second quarter valued at about $379,000. Integrated Wealth Concepts LLC acquired a new stake in shares of Duolingo during the second quarter worth approximately $328,000. IFP Advisors Inc grew its position in shares of Duolingo by 92.9% during the second quarter. IFP Advisors Inc now owns 1,491 shares of the company’s stock worth $171,000 after buying an additional 718 shares in the last quarter. Baird Financial Group Inc. increased its stake in shares of Duolingo by 881.9% in the second quarter. Baird Financial Group Inc. now owns 69,331 shares of the company’s stock worth $7,975,000 after buying an additional 62,270 shares during the last quarter. Finally, Allworth Financial LP increased its stake in shares of Duolingo by 268.9% in the second quarter. Allworth Financial LP now owns 1,907 shares of the company’s stock worth $219,000 after buying an additional 1,390 shares during the last quarter. Hedge funds and other institutional investors own 91.59% of the company’s stock.

Trending Headlines about Duolingo

Here are the key news stories impacting Duolingo this week:

• Positive Sentiment: Duolingo launched a global crossover with Supercell’s Brawl Stars, featuring the Duo owl in a promotional boss battle. The campaign could expand brand awareness, user engagement and customer acquisition, although its direct financial impact is not yet clear. Brawl Stars’ and Duolingo’s Iconic Mascots Face Off in New Collaboration
• Neutral Sentiment: Analysts compared Duolingo with Ingram Micro and Coursera on valuation and investment appeal. These reports keep attention on whether Duolingo’s growth prospects justify its price relative to other technology and online-learning companies, but do not provide a decisive new catalyst. INGM or DUOL: Which Is the Better Value Stock Right Now? Analyzing Duolingo and Coursera
• Neutral Sentiment: Coverage of Duolingo’s AI upgrade and Super subscription changes suggests the initiatives could improve product capabilities and monetization. However, investors remain focused on execution, user adoption and whether the changes translate into sustained earnings growth. Duolingo’s AI Upgrade and Insider Sale
• Negative Sentiment: Several reports characterized DUOL as appearing expensive as AI-related product changes reshape the investment outlook. Valuation concerns can pressure the stock when investors demand clearer evidence that new offerings will accelerate growth. Duolingo Stock Seems Pricey as AI Product Changes Draw Focus
• Negative Sentiment: Director Stephen Chen sold 8,072 Duolingo shares. While an insider sale does not necessarily indicate deteriorating fundamentals, it adds near-term selling pressure and can reinforce investor concerns when the stock is already facing valuation scrutiny. Stephen Chen Sells 8,072 Shares of Duolingo Stock

Duolingo Trading Down 3.5%

Shares of DUOL stock opened at $141.90 on Wednesday. The business’s fifty day moving average price is $139.73 and its 200 day moving average price is $119.40. Duolingo has a 1-year low of $87.89 and a 1-year high of $353.00. The firm has a market capitalization of $6.64 billion, a PE ratio of 16.81, a P/E/G ratio of 1.21 and a beta of 0.89. The company has a debt-to-equity ratio of 0.06, a current ratio of 2.72 and a quick ratio of 2.72.

Duolingo (NASDAQ:DUOL) last announced its quarterly earnings data on Wednesday, August 5th. The company reported $0.66 EPS for the quarter, beating the consensus estimate of $0.60 by $0.06. Duolingo had a net margin of 35.88% and a return on equity of 12.10%. The firm had revenue of $298.45 million during the quarter, compared to analysts’ expectations of $295.58 million. During the same quarter last year, the business earned $0.91 earnings per share. The business’s revenue for the quarter was up 18.3% compared to the same quarter last year. As a group, sell-side analysts forecast that Duolingo will post 2.62 EPS for the current fiscal year.

About Duolingo

Duolingo, Inc develops digital learning products designed to make education accessible through mobile devices and the web. Its primary product is the Duolingo language-learning platform, which offers courses in numerous languages through interactive, game-like lessons, practice exercises and personalized learning features.

The company also provides the Duolingo English Test, an online English-proficiency assessment used by educational institutions and other organizations. In addition, Duolingo has expanded beyond language learning with products such as Duolingo Math and Duolingo Music, while offering premium subscription features through plans including Super Duolingo and Duolingo Max.

Duolingo serves users internationally, with its applications and online services available across a broad range of geographies.