Duolingo (NASDAQ:DUOL) Given Hold (C) Rating at Weiss Ratings

Key Points

• Duolingo's stock received a "hold (C)" rating from Weiss Ratings, maintaining the rating in a recent research report.
• The stock price target varies among analysts, with Barclays raising it to $390.00 while Citigroup lowered theirs to $375.00, reflecting a consensus rating of "Moderate Buy" with an average target price of $419.32.
• Duolingo reported a quarterly EPS of $0.91, beating estimates, with revenue increasing 41.5% year-over-year, reaching $252.27 million.

Duolingo (NASDAQ:DUOL - Get Free Report)'s stock had its "hold (c)" rating reissued by research analysts at Weiss Ratings in a research report issued to clients and investors on Wednesday,Weiss Ratings reports.

A number of other research firms also recently issued reports on DUOL. Barclays raised their price objective on shares of Duolingo from $375.00 to $390.00 and gave the stock an "equal weight" rating in a report on Thursday, August 7th. Citigroup lowered their price target on shares of Duolingo from $400.00 to $375.00 and set a "buy" rating on the stock in a report on Wednesday, September 17th. JPMorgan Chase & Co. lifted their price objective on shares of Duolingo from $500.00 to $515.00 and gave the company an "overweight" rating in a research report on Thursday, August 7th. Citizens Jmp reduced their price target on shares of Duolingo from $475.00 to $450.00 and set a "mkt outperform" rating on the stock in a research report on Monday, July 28th. Finally, Robert W. Baird began coverage on shares of Duolingo in a research report on Friday, September 5th. They issued a "neutral" rating and a $280.00 price target on the stock. One equities research analyst has rated the stock with a Strong Buy rating, twelve have issued a Buy rating, ten have given a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and an average target price of $419.32.

Duolingo Stock Performance

Shares of DUOL stock traded up $27.29 during trading hours on Wednesday, reaching $347.27. The company had a trading volume of 1,589,690 shares, compared to its average volume of 1,835,910. The business has a fifty day moving average price of $316.97 and a 200-day moving average price of $380.33. Duolingo has a one year low of $256.63 and a one year high of $544.93. The firm has a market cap of $15.91 billion, a PE ratio of 142.91, a price-to-earnings-growth ratio of 2.13 and a beta of 0.86. The company has a debt-to-equity ratio of 0.10, a quick ratio of 2.81 and a current ratio of 2.81.

Duolingo (NASDAQ:DUOL - Get Free Report) last announced its quarterly earnings results on Wednesday, August 6th. The company reported $0.91 EPS for the quarter, topping analysts' consensus estimates of $0.55 by $0.36. The firm had revenue of $252.27 million during the quarter, compared to analyst estimates 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% on a year-over-year basis. During the same period in the previous year, the business posted $0.51 earnings per share. Sell-side analysts predict that Duolingo will post 2.03 earnings per share for the current fiscal year.

Insider Buying and Selling

In related news, CFO Matthew Skaruppa sold 10,937 shares of the company's stock in a transaction dated Tuesday, August 26th. The shares were sold at an average price of $317.39, for a total value of $3,471,294.43. Following the completion of the sale, the chief financial officer directly owned 43,345 shares of the company's stock, valued at $13,757,269.55. This represents a 20.15% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, insider Severin Hacker sold 10,000 shares of the company's stock in a transaction dated Monday, October 6th. The stock was sold at an average price of $321.63, for a total transaction of $3,216,300.00. Following the completion of the sale, the insider directly owned 72 shares of the company's stock, valued at approximately $23,157.36. This trade represents a 99.29% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 83,791 shares of company stock valued at $26,918,301 over the last quarter. 15.67% of the stock is owned by company insiders.

Institutional Trading of Duolingo

Hedge funds have recently added to or reduced their stakes in the business. Vanguard Group Inc. raised its holdings in Duolingo by 3.3% in the second quarter. Vanguard Group Inc. now owns 3,647,951 shares of the company's stock worth $1,495,733,000 after purchasing an additional 116,135 shares in the last quarter. Invesco Ltd. raised its holdings in Duolingo by 24.1% in the first quarter. Invesco Ltd. now owns 1,346,278 shares of the company's stock worth $418,073,000 after purchasing an additional 261,212 shares in the last quarter. State Street Corp raised its holdings in Duolingo by 0.5% in the second quarter. State Street Corp now owns 1,164,387 shares of the company's stock worth $477,422,000 after purchasing an additional 6,109 shares in the last quarter. T. Rowe Price Investment Management Inc. raised its holdings in Duolingo by 110.5% in the first quarter. T. Rowe Price Investment Management Inc. now owns 990,903 shares of the company's stock worth $307,716,000 after purchasing an additional 520,069 shares in the last quarter. Finally, Geode Capital Management LLC raised its holdings in Duolingo by 3.2% in the second quarter. Geode Capital Management LLC now owns 759,956 shares of the company's stock worth $311,930,000 after purchasing an additional 23,356 shares in the last quarter. 91.59% of the stock is owned by hedge funds and other institutional investors.

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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