JPMorgan Chase & Co. Forecasts Strong Price Appreciation for Duolingo (NASDAQ:DUOL) Stock

Duolingo (NASDAQ:DUOL) had its target price lifted by analysts at JPMorgan Chase & Co. from $92.00 to $94.00 in a research report issued to clients and investors on Tuesday,Benzinga reports. The brokerage presently has a “neutral” rating on the stock. JPMorgan Chase & Co.‘s target price suggests a potential downside of 9.64% from the company’s current price.

Several other brokerages have also recently weighed in on DUOL. BMO Capital Markets upgraded Duolingo to a “buy” rating in a report on Monday, January 12th. Citigroup reiterated a “neutral” rating and issued a $101.00 target price (down from $270.00) on shares of Duolingo in a research note on Friday, February 27th. Argus reiterated a “hold” rating on shares of Duolingo in a research note on Wednesday, March 18th. UBS Group set a $245.00 target price on shares of Duolingo in a research note on Monday, January 5th. Finally, Barclays cut their target price on shares of Duolingo from $230.00 to $110.00 and set an “equal weight” rating for the company in a research note on Monday, March 2nd. Three research analysts have rated the stock with a Buy rating, seventeen have assigned a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat.com, Duolingo has an average rating of “Hold” and an average price target of $195.94.

Duolingo Stock Down 5.6%

Shares of NASDAQ DUOL traded down $6.20 during mid-day trading on Tuesday, hitting $104.03. The company had a trading volume of 5,964,969 shares, compared to its average volume of 2,520,817. The company has a market capitalization of $4.88 billion, a PE ratio of 12.21, a price-to-earnings-growth ratio of 0.78 and a beta of 0.90. The firm has a 50-day simple moving average of $100.45 and a two-hundred day simple moving average of $157.37. The company has a current ratio of 2.61, a quick ratio of 2.61 and a debt-to-equity ratio of 0.07. Duolingo has a one year low of $87.89 and a one year high of $544.93.

Duolingo (NASDAQ:DUOL) last announced its quarterly earnings data on Monday, May 4th. The company reported $0.89 earnings per share for the quarter, beating the consensus estimate of $0.79 by $0.10. The company had revenue of $291.97 million during the quarter, compared to analysts’ expectations of $288.60 million. Duolingo had a return on equity of 14.88% and a net margin of 39.91%.Duolingo’s revenue for the quarter was up 26.5% compared to the same quarter last year. During the same quarter last year, the company earned $0.72 EPS. On average, equities analysts expect that Duolingo will post 3.08 EPS for the current year.

Insider Activity

In other Duolingo news, General Counsel Stephen C. Chen sold 1,901 shares of the firm’s stock in a transaction that occurred on Wednesday, February 18th. The shares were sold at an average price of $113.26, for a total transaction of $215,307.26. Following the completion of the sale, the general counsel directly owned 30,545 shares in the company, valued at $3,459,526.70. This trade represents a 5.86% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, insider Robert Meese sold 1,000 shares of the firm’s stock in a transaction that occurred on Tuesday, February 17th. The stock was sold at an average price of $110.06, for a total transaction of $110,060.00. Following the sale, the insider owned 122,636 shares of the company’s stock, valued at $13,497,318.16. This trade represents a 0.81% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last three months, insiders sold 14,939 shares of company stock valued at $1,676,291. Company insiders own 16.62% of the company’s stock.

Institutional Investors Weigh In On Duolingo

A number of hedge funds and other institutional investors have recently made changes to their positions in the business. Meiji Yasuda Asset Management Co Ltd. raised its position in shares of Duolingo by 3.5% in 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 in the last quarter. Evergreen Capital Management LLC raised its position in shares of Duolingo by 5.0% in the second quarter. Evergreen Capital Management LLC now owns 818 shares of the company’s stock valued at $335,000 after buying an additional 39 shares in the last quarter. Generali Investments Towarzystwo Funduszy Inwestycyjnych raised its position in shares of Duolingo by 22.2% in the third quarter. Generali Investments Towarzystwo Funduszy Inwestycyjnych now owns 220 shares of the company’s stock valued at $71,000 after buying an additional 40 shares in the last quarter. Farther Finance Advisors LLC raised its position in shares of Duolingo by 82.2% in the third quarter. Farther Finance Advisors LLC now owns 133 shares of the company’s stock valued at $43,000 after buying an additional 60 shares in the last quarter. Finally, Smithfield Trust Co raised its position in shares of Duolingo by 35.4% in the third quarter. Smithfield Trust Co now owns 237 shares of the company’s stock valued at $76,000 after buying an additional 62 shares in the last quarter. 91.59% of the stock is currently owned by institutional investors and hedge funds.

Duolingo News Roundup

Here are the key news stories impacting Duolingo this week:

• Positive Sentiment: Q1 top? and bottom?line beat — Duolingo reported revenue of about $292M and EPS of $0.89, both above consensus, and delivered healthy adjusted EBITDA margins. This confirms solid near?term profitability and execution. Zacks: DUOL Q1 key metrics
• Positive Sentiment: Analyst support: Needham reaffirmed a Buy and maintained a $145 price target, signaling confidence from at least some institutional analysts in longer?term upside. Benzinga
• Neutral Sentiment: Company guidance roughly in?line on revenue for Q2/FY 2026 (Q2 revenue guidance ~ $295.5M; FY revenue ~ $1.2B), so the top?line outlook itself wasn’t a big miss — the pain point is bookings growth trajectory. GlobeNewswire: Q1 results
• Neutral Sentiment: DA Davidson raised its price target modestly to $90 but kept a Neutral rating — illustrates mixed analyst views and a wide range of valuations among sell?side firms. The Fly / Benzinga note
• Negative Sentiment: Booking growth deceleration drove the sell?off — management’s Q2 and FY bookings guidance implies a sharp slowdown versus Q1, as Duolingo shifts toward investing in engagement and long?dated returns rather than near?term monetization, weighing on a growth multiple. Reuters: Growth outlook moderates
• Negative Sentiment: Investors flagged weaker user metrics and slowing bookings as the main concern despite the beat — headlines and commentary emphasized the slower user/monetization trajectory, amplifying downside. Invezz: Weak user metrics
• Negative Sentiment: Investor sentiment also soured on management remarks that investments will pay off beyond 2026 and on notable insider selling activity highlighted in market commentary — both can pressure near?term sentiment for a previously high?growth stock. QuiverQuant analysis

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.