Key Points
- Duolingo insider Natalie Glance sold 3,360 shares on May 18 for about $381,662, at an average price of $113.59 per share. The sale was made under a pre-arranged Rule 10b5-1 plan and was intended to cover tax withholding tied to vested equity awards.
- The company recently posted stronger-than-expected quarterly results, with earnings per share of $0.89 versus the $0.79 consensus estimate and revenue of $291.97 million, up 26.5% year over year. Analysts now expect Duolingo to earn 2.84 EPS for the full year.
- Wall Street remains cautious overall on DUOL, with a consensus rating of “Hold” and an average target price of $195.94. Institutional ownership is high at 91.59%, while recent analyst moves have been mixed, including a buy reiteration from Needham and a downgrade from Weiss Ratings.
Duolingo, Inc. (NASDAQ:DUOL - Get Free Report) General Counsel Stephen Chen sold 820 shares of the company's stock in a transaction dated Friday, May 15th. The shares were sold at an average price of $112.16, for a total transaction of $91,971.20. Following the completion of the transaction, the general counsel owned 54,784 shares in the company, valued at approximately $6,144,573.44. This trade represents a 1.47% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. 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.
Duolingo Price Performance
NASDAQ:DUOL opened at $114.10 on Wednesday. The firm has a market cap of $5.32 billion, a price-to-earnings ratio of 13.13, a price-to-earnings-growth ratio of 0.86 and a beta of 0.90. The company has a current ratio of 2.62, a quick ratio of 2.62 and a debt-to-equity ratio of 0.07. The company's 50-day moving average is $101.15 and its two-hundred day moving average is $141.61. Duolingo, Inc. has a 12-month low of $87.89 and a 12-month high of $540.30.
Duolingo (NASDAQ:DUOL - Get Free Report) last released its earnings results on Monday, May 4th. The company reported $0.89 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.79 by $0.10. The company had revenue of $291.97 million for the quarter, compared to analyst estimates of $288.60 million. Duolingo had a net margin of 38.44% and a return on equity of 14.07%. The firm's quarterly revenue was up 26.5% on a year-over-year basis. During the same period in the prior year, the firm earned $0.72 EPS. Research analysts expect that Duolingo, Inc. will post 2.84 EPS for the current year.
Wall Street Analyst Weigh In
A number of research analysts have recently commented on DUOL shares. Scotiabank reaffirmed a "sector perform" rating and set a $100.00 price objective (down from $300.00) on shares of Duolingo in a research note on Friday, February 27th. Needham & Company LLC reaffirmed a "buy" rating and set a $145.00 price objective on shares of Duolingo in a research note on Tuesday, May 5th. Evercore set a $97.00 price objective on shares of Duolingo in a research note on Tuesday, May 5th. Zacks Research raised shares of Duolingo from a "strong sell" rating to a "hold" rating in a research note on Tuesday, April 28th. Finally, Morgan Stanley dropped their price objective on shares of Duolingo from $100.00 to $95.00 and set an "equal weight" rating for the company in a research note on Tuesday, May 5th. Three analysts have rated the stock with a Buy rating, seventeen have issued a Hold rating and two have assigned a Sell rating to the stock. According to MarketBeat, the company currently has an average rating of "Hold" and a consensus price target of $195.94.
Get Our Latest Report on DUOL
Institutional Inflows and Outflows
A number of institutional investors and hedge funds have recently modified their holdings of DUOL. Bank of America Corp DE increased its position in Duolingo by 511.2% during the 1st quarter. Bank of America Corp DE now owns 1,332,301 shares of the company's stock worth $131,325,000 after purchasing an additional 1,114,315 shares in the last quarter. Edgestream Partners L.P. increased its position in Duolingo by 616.6% during the 1st quarter. Edgestream Partners L.P. now owns 60,827 shares of the company's stock worth $5,996,000 after purchasing an additional 52,339 shares in the last quarter. Centaurus Financial Inc. acquired a new stake in Duolingo during the 1st quarter worth approximately $108,000. Cim LLC increased its position in Duolingo by 10.2% during the 1st quarter. Cim LLC now owns 4,838 shares of the company's stock worth $477,000 after purchasing an additional 448 shares in the last quarter. Finally, South Dakota Investment Council increased its position in Duolingo by 61.3% during the 1st quarter. South Dakota Investment Council now owns 15,708 shares of the company's stock worth $1,548,000 after purchasing an additional 5,968 shares in the last quarter. Institutional investors and hedge funds own 91.59% of the company's stock.
Duolingo Company Profile
(
Get Free Report)
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.
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