Duolingo (NASDAQ:DUOL) Posts Earnings Results, Misses Estimates By $0.19 EPS

Duolingo (NASDAQ:DUOL) released its quarterly earnings data on Thursday. The company reported $0.31 EPS for the quarter, missing analysts’ consensus estimates of $0.50 by ($0.19), Zacks reports. The business had revenue of $209.55 million for the quarter, compared to the consensus estimate of $205.49 million. Duolingo had a return on equity of 11.74% and a net margin of 12.59%. Duolingo updated its FY 2025 guidance to EPS and its Q1 2025 guidance to EPS.

Duolingo Trading Down 17.0 %

NASDAQ:DUOL traded down $63.71 during mid-day trading on Friday, hitting $312.07. The company had a trading volume of 3,454,218 shares, compared to its average volume of 761,692. The company has a debt-to-equity ratio of 0.07, a quick ratio of 3.09 and a current ratio of 3.09. Duolingo has a fifty-two week low of $145.05 and a fifty-two week high of $441.77. The firm has a market cap of $13.73 billion, a P/E ratio of 170.53 and a beta of 0.89. The business’s fifty day moving average is $359.71 and its two-hundred day moving average is $310.14.

Analyst Upgrades and Downgrades

A number of equities research analysts have weighed in on the company. UBS Group lifted their price objective on Duolingo from $408.00 to $410.00 and gave the company a “buy” rating in a report on Monday, January 27th. Piper Sandler boosted their price target on Duolingo from $351.00 to $390.00 and gave the company an “overweight” rating in a research note on Friday. Bank of America lowered Duolingo from a “buy” rating to a “neutral” rating and increased their price objective for the stock from $355.00 to $375.00 in a research note on Wednesday, December 11th. Needham & Company LLC upped their target price on shares of Duolingo from $385.00 to $400.00 and gave the stock a “buy” rating in a report on Friday. Finally, Barclays increased their target price on shares of Duolingo from $295.00 to $330.00 and gave the stock an “equal weight” rating in a research report on Friday. Seven analysts have rated the stock with a hold rating, six have assigned a buy rating and one has given a strong buy rating to the company’s stock. According to data from MarketBeat.com, Duolingo has a consensus rating of “Moderate Buy” and a consensus price target of $369.09.

Insider Transactions at Duolingo

In other news, insider Natalie Glance sold 2,667 shares of Duolingo stock in a transaction on Tuesday, February 18th. The shares were sold at an average price of $435.28, for a total transaction of $1,160,891.76. Following the transaction, the insider now directly owns 129,572 shares of the company’s stock, valued at $56,400,100.16. This trade represents a 2.02 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, CEO Ahn Luis Von sold 41,759 shares of the business’s stock in a transaction on Thursday, December 12th. The shares were sold at an average price of $340.29, for a total transaction of $14,210,170.11. The disclosure for this sale can be found here. In the last ninety days, insiders sold 305,639 shares of company stock worth $105,445,057. 18.30% of the stock is currently owned by company insiders.

About Duolingo

Duolingo, Inc operates as a mobile learning platform in the United States, the United Kingdom, and internationally. The company offers courses in 40 different languages, including Spanish, English, French, German, Italian, Portuguese, Japanese, and Chinese through its Duolingo app. It also provides a digital English language proficiency assessment exam.