Duolingo, Inc. (NASDAQ:DUOL) Receives Average Rating of "Hold" from Analysts

Key Points

• Analysts maintain a “Hold” consensus on Duolingo, with 20 hold, two buy and one sell rating among 23 analysts. The average 12-month price target is $150.53.
• Duolingo’s latest quarter exceeded expectations, reporting $0.89 EPS versus the $0.79 consensus and $291.97 million in revenue, up 26.5% year over year.
• The stock opened at $132.82, up 8.7%, while institutional investors own 91.59% of shares. Insiders sold $1.07 million worth of stock over the past 90 days, primarily to cover tax obligations related to equity awards.

Shares of Duolingo, Inc. (NASDAQ:DUOL - Get Free Report) have earned a consensus rating of "Hold" from the twenty-three analysts that are covering the firm, Marketbeat reports. One analyst has rated the stock with a sell recommendation, twenty have issued a hold recommendation and two have assigned a buy recommendation to the company. The average 1 year price objective among brokerages that have issued ratings on the stock in the last year is $150.5294.

Several equities research analysts have issued reports on DUOL shares. UBS Group reaffirmed a "neutral" rating on shares of Duolingo in a report on Wednesday, June 17th. Zacks Research upgraded shares of Duolingo from a "strong sell" rating to a "hold" rating in a research note on Tuesday, April 28th. JPMorgan Chase & Co. upped their price target on shares of Duolingo from $94.00 to $125.00 and gave the company a "neutral" rating in a research note on Friday, July 17th. DA Davidson reissued a "neutral" rating and issued a $120.00 price target on shares of Duolingo in a report on Monday, June 29th. Finally, Jefferies Financial Group boosted their price objective on Duolingo from $95.00 to $125.00 and gave the stock a "hold" rating in a report on Tuesday, July 14th.

Insider Activity at Duolingo

In related news, insider Robert Meese sold 1,420 shares of the business's stock in a transaction on Friday, May 15th. The stock was sold at an average price of $112.16, for a total value of $159,267.20. Following the completion of the sale, the insider directly owned 170,745 shares in the company, valued at $19,150,759.20. The trade was a 0.82% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, General Counsel Stephen C. Chen sold 1,977 shares of the company's stock in a transaction on Monday, May 18th. The shares were sold at an average price of $113.61, for a total value of $224,606.97. Following the completion of the transaction, the general counsel directly owned 52,807 shares in the company, valued at approximately $5,999,403.27. This represents a 3.61% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. 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. Insiders sold 9,506 shares of company stock worth $1,073,864 in the last ninety days. 16.62% of the stock is owned by company insiders.

Institutional Investors Weigh In On Duolingo

Institutional investors have recently modified their holdings of the business. EFG International AG bought a new position in Duolingo during the fourth quarter worth about $26,000. Globeflex Capital L P bought a new stake in Duolingo in the 2nd quarter valued at about $77,000. AlphaCentric Advisors LLC bought a new stake in Duolingo in the 4th quarter valued at about $33,000. Banque Cantonale Vaudoise acquired a new position in shares of Duolingo during the 3rd quarter worth approximately $70,000. Finally, MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. acquired a new position in shares of Duolingo during the 2nd quarter worth approximately $89,000. Institutional investors own 91.59% of the company's stock.

Duolingo Stock Up 8.7%

NASDAQ:DUOL opened at $132.82 on Tuesday. The firm has a market capitalization of $6.19 billion, a price-to-earnings ratio of 15.28, a price-to-earnings-growth ratio of 0.93 and a beta of 0.88. Duolingo has a twelve month low of $87.89 and a twelve month high of $468.00. The stock's 50 day moving average price is $121.01 and its two-hundred day moving average price is $116.64. The company has a quick ratio of 2.62, a current ratio of 2.62 and a debt-to-equity ratio of 0.07.

Duolingo (NASDAQ:DUOL - Get Free Report) last released its quarterly earnings data on Monday, May 4th. The company reported $0.89 EPS for the quarter, beating the consensus estimate of $0.79 by $0.10. Duolingo had a return on equity of 14.07% and a net margin of 38.44%.The company had revenue of $291.97 million during the quarter, compared to the consensus estimate of $288.60 million. During the same quarter in the prior year, the firm posted $0.72 EPS. The firm's revenue for the quarter was up 26.5% compared to the same quarter last year. Equities research analysts expect that Duolingo will post 2.81 earnings per share for the current fiscal year.

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.

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