Duolingo (NASDAQ:DUOL) Insider Sells 1,539 Shares

Duolingo, Inc. (NASDAQ:DUOL) 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 sale, the insider directly owned 169,111 shares in the company, valued at $23,303,495.80. This trade represents a 0.90% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. 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.

Natalie Glance also recently made the following trade(s):

• On Monday, August 17th, Natalie Glance sold 2,751 shares of Duolingo stock. The stock was sold at an average price of $129.13, for a total value of $355,236.63.

Duolingo Stock Performance

DUOL traded up $6.39 during midday trading on Wednesday, hitting $146.03. 2,261,304 shares of the company traded hands, compared to its average volume of 2,013,961. The company has a quick ratio of 2.72, a current ratio of 2.72 and a debt-to-equity ratio of 0.06. The firm has a market capitalization of $6.83 billion, a PE ratio of 17.30, a price-to-earnings-growth ratio of 1.07 and a beta of 0.87. The company’s 50-day moving average is $129.06 and its 200 day moving average is $114.21. Duolingo, Inc. has a 52 week low of $87.89 and a 52 week high of $355.00.

Duolingo (NASDAQ:DUOL) last announced its quarterly earnings results on Wednesday, August 5th. The company reported $0.66 EPS for the quarter, topping analysts’ consensus estimates 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 analyst estimates of $295.58 million. During the same period in the previous year, the business posted $0.91 earnings per share. The business’s revenue for the quarter was up 18.3% on a year-over-year basis. On average, research analysts expect that Duolingo, Inc. will post 2.67 EPS for the current year.

Duolingo News Roundup

Here are the key news stories impacting Duolingo this week:

• Positive Sentiment: D.A. Davidson’s upgrade and higher price target provided the main catalyst, implying further upside from recent trading levels. The analyst sees improving execution and strategic developments supporting Duolingo’s next phase of growth. Duolingo Nears a Turning Point and It’s Why This Analyst Upgraded the Stock to Buy
• Positive Sentiment: Recent momentum is supported by strong user growth, continued product improvements, healthy cash flow and declining artificial-intelligence costs. Duolingo’s shares had already gained 22.1% over three months, indicating that investors are rewarding progress in operating efficiency and engagement. Duolingo Stock Jumps 22.1% in Three Months
• Neutral Sentiment: Market coverage is focused on whether Duolingo can sustain its rally after the analyst upgrade. The company’s strong balance sheet and user expansion support the long-term case, but investors are increasingly focused on evidence that growth can reaccelerate. Can Duolingo Keep Its Momentum Going?
• Negative Sentiment: Risks include slower bookings and user-growth trends, rising costs and a premium valuation. These factors raise the execution bar and could limit additional gains if monetization or growth fails to meet elevated expectations. Should You Buy Duolingo as Growth Slows and Valuation Stays High?

Analyst Ratings Changes

DUOL has been the subject of a number of research reports. Jefferies Financial Group boosted their target price on shares of Duolingo from $95.00 to $125.00 and gave the company a “hold” rating in a research note on Tuesday, July 14th. Zacks Research raised Duolingo from a “strong sell” rating to a “hold” rating in a report on Tuesday, April 28th. Evercore set a $105.00 price objective on Duolingo in a report on Thursday, August 6th. Wall Street Zen upgraded Duolingo from a “sell” rating to a “hold” rating in a research report on Sunday. Finally, Citigroup raised Duolingo from a “hold” rating to a “buy” rating in a report on Tuesday. One analyst has rated the stock with a Strong Buy rating, eight have assigned a Buy rating, sixteen have given a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, Duolingo presently has a consensus rating of “Hold” and a consensus target price of $130.50.

Institutional Inflows and Outflows

Several institutional investors have recently added to or reduced their stakes in the business. Meiji Yasuda Asset Management Co Ltd. grew its holdings in shares of Duolingo by 3.5% during the second quarter. Meiji Yasuda Asset Management Co Ltd. now owns 940 shares of the company’s stock valued at $385,000 after buying an additional 32 shares during the last quarter. Evergreen Capital Management LLC raised its stake in Duolingo by 5.0% in the 2nd quarter. Evergreen Capital Management LLC now owns 818 shares of the company’s stock worth $335,000 after acquiring an additional 39 shares during the last quarter. Public Employees Retirement System of Ohio lifted its position in Duolingo by 0.6% during the 3rd quarter. Public Employees Retirement System of Ohio now owns 11,740 shares of the company’s stock worth $3,778,000 after acquiring an additional 73 shares during the period. Northwestern Mutual Investment Management Company LLC grew its stake in Duolingo by 1.2% during the 4th quarter. Northwestern Mutual Investment Management Company LLC now owns 8,953 shares of the company’s stock valued at $1,571,000 after purchasing an additional 105 shares during the last quarter. Finally, Diversify Wealth Management LLC grew its stake in Duolingo by 3.7% during the 4th quarter. Diversify Wealth Management LLC now owns 3,139 shares of the company’s stock valued at $520,000 after purchasing an additional 111 shares during the last quarter. 91.59% of the stock is currently owned by institutional investors.

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.