Duolingo, Inc. (NASDAQ:DUOL) Given Average Recommendation of "Moderate Buy" by Brokerages

Key Points

• Duolingo has received a consensus rating of "Moderate Buy" from 23 analysts, with one sell, nine hold, twelve buy, and one strong buy recommendations.
• The average 1-year target price for Duolingo stock is approximately $419.32, while it opened at $321.84 on Wednesday.
• Insiders have sold a total of 80,508 shares worth over $26 million in the last 90 days, indicating significant insider selling activity.

Shares of Duolingo, Inc. (NASDAQ:DUOL - Get Free Report) have been assigned a consensus recommendation of "Moderate Buy" from the twenty-three analysts that are covering the stock, MarketBeat Ratings reports. One equities research analyst has rated the stock with a sell recommendation, nine have issued a hold recommendation, twelve have issued a buy recommendation and one has issued a strong buy recommendation on the company. The average 1-year target price among brokerages that have issued a report on the stock in the last year is $419.3158.

DUOL has been the topic of a number of research analyst reports. Zacks Research upgraded shares of Duolingo from a "hold" rating to a "strong-buy" rating in a research note on Monday, September 8th. Baird R W upgraded shares of Duolingo to a "hold" rating in a research note on Friday, September 5th. Morgan Stanley lifted their target price on shares of Duolingo from $480.00 to $500.00 and gave the stock an "overweight" rating in a research report on Thursday, August 7th. Wall Street Zen downgraded shares of Duolingo from a "buy" rating to a "hold" rating in a research report on Saturday, August 30th. Finally, Raymond James Financial reiterated a "market perform" rating on shares of Duolingo in a research report on Tuesday, August 26th.

Duolingo Price Performance

Shares of Duolingo stock opened at $321.84 on Wednesday. The firm has a market cap of $14.75 billion, a P/E ratio of 132.44, a price-to-earnings-growth ratio of 2.19 and a beta of 0.85. Duolingo has a twelve month low of $256.63 and a twelve month high of $544.93. The company has a debt-to-equity ratio of 0.10, a quick ratio of 2.81 and a current ratio of 2.81. The firm's 50-day simple moving average is $320.44 and its 200-day simple moving average is $380.00.

Duolingo (NASDAQ:DUOL - Get Free Report) last issued its earnings results on Wednesday, August 6th. The company reported $0.91 EPS for the quarter, beating the consensus estimate of $0.55 by $0.36. The company had revenue of $252.27 million during the quarter, compared to analysts' expectations of $240.84 million. Duolingo had a net margin of 13.24% and a return on equity of 13.32%. The business's revenue for the quarter was up 41.5% compared to the same quarter last year. During the same quarter in the previous year, the company posted $0.51 EPS. As a group, research analysts expect that Duolingo will post 2.03 EPS for the current fiscal year.

Insider Activity

In other Duolingo news, insider Severin Hacker sold 10,000 shares of the firm's stock in a transaction that occurred on Friday, September 5th. The shares were sold at an average price of $268.55, for a total transaction of $2,685,500.00. Following the completion of the transaction, the insider owned 72 shares in the company, valued at approximately $19,335.60. This trade represents a 99.29% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, CFO Matthew Skaruppa sold 10,937 shares of the firm's stock in a transaction that occurred on Tuesday, August 26th. The stock was sold at an average price of $317.39, for a total transaction of $3,471,294.43. Following the transaction, the chief financial officer owned 43,345 shares of the company's stock, valued at approximately $13,757,269.55. The trade was a 20.15% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 80,508 shares of company stock worth $26,605,621 in the last 90 days. 18.30% of the stock is owned by company insiders.

Institutional Trading of Duolingo

Hedge funds and other institutional investors have recently bought and sold shares of the business. Jefferies Financial Group Inc. bought a new stake in shares of Duolingo in the 1st quarter worth $3,772,000. Hsbc Holdings PLC lifted its holdings in shares of Duolingo by 39.0% in the first quarter. Hsbc Holdings PLC now owns 3,186 shares of the company's stock worth $995,000 after buying an additional 894 shares in the last quarter. Encompass More Asset Management purchased a new stake in shares of Duolingo in the first quarter worth about $762,000. Jump Financial LLC lifted its holdings in shares of Duolingo by 563.7% in the first quarter. Jump Financial LLC now owns 104,693 shares of the company's stock worth $32,511,000 after buying an additional 88,918 shares in the last quarter. Finally, Silvant Capital Management LLC purchased a new stake in shares of Duolingo in the first quarter worth about $1,946,000. Institutional investors own 91.59% of the company's stock.

Duolingo Company Profile

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.

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