Duolingo (NASDAQ:DUOL) Reaches New 12-Month High on Better-Than-Expected Earnings

Duolingo, Inc. (NASDAQ:DUOL - Get Free Report)'s stock price reached a new 52-week high during trading on Friday after the company announced better than expected quarterly earnings. The company traded as high as $462.83 and last traded at $449.18, with a volume of 179914 shares. The stock had previously closed at $400.00.

The company reported $0.72 earnings per share for the quarter, beating analysts' consensus estimates of $0.52 by $0.20. Duolingo had a return on equity of 11.74% and a net margin of 12.59%. The firm had revenue of $230.74 million during the quarter, compared to the consensus estimate of $223.15 million. Duolingo's revenue was up 37.6% on a year-over-year basis.

Analyst Ratings Changes

Several research analysts have commented on the stock. Piper Sandler boosted their price objective on shares of Duolingo from $390.00 to $465.00 and gave the company an "overweight" rating in a research report on Friday. Scotiabank raised their target price on shares of Duolingo from $405.00 to $470.00 and gave the company a "sector outperform" rating in a research report on Friday. Barclays increased their price target on Duolingo from $330.00 to $375.00 and gave the company an "equal weight" rating in a research note on Friday. The Goldman Sachs Group upped their target price on Duolingo from $340.00 to $403.00 and gave the stock a "neutral" rating in a report on Monday. Finally, Evercore ISI lifted their price target on Duolingo from $400.00 to $480.00 and gave the company an "outperform" rating in a research note on Friday. Seven analysts have rated the stock with a hold rating and nine have given a buy rating to the company's stock. Based on data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of $432.71.

Insiders Place Their Bets

In other news, insider Robert Meese sold 5,000 shares of the business's stock in a transaction dated Tuesday, April 29th. The shares were sold at an average price of $395.00, for a total transaction of $1,975,000.00. Following the completion of the sale, the insider now directly owns 118,805 shares of the company's stock, valued at $46,927,975. The trade was a 4.04 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, General Counsel Stephen C. Chen sold 2,064 shares of the business's stock in a transaction that occurred on Tuesday, February 18th. The stock was sold at an average price of $435.12, for a total value of $898,087.68. Following the sale, the general counsel now directly owns 34,634 shares of the company's stock, valued at $15,069,946.08. This represents a 5.62 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders have sold 109,868 shares of company stock worth $37,549,300. Corporate insiders own 18.30% of the company's stock.

Institutional Inflows and Outflows

A number of institutional investors have recently bought and sold shares of the business. Contravisory Investment Management Inc. purchased a new stake in Duolingo in the first quarter worth $25,000. Quarry LP raised its holdings in shares of Duolingo by 250.0% in the 4th quarter. Quarry LP now owns 91 shares of the company's stock valued at $30,000 after acquiring an additional 65 shares in the last quarter. Mirae Asset Global Investments Co. Ltd. purchased a new position in Duolingo in the 4th quarter worth approximately $31,000. Garde Capital Inc. bought a new position in Duolingo in the first quarter valued at $31,000. Finally, Harvest Fund Management Co. Ltd lifted its position in Duolingo by 5,050.0% in the 4th quarter. Harvest Fund Management Co. Ltd now owns 103 shares of the company's stock worth $33,000 after buying an additional 101 shares during the last quarter. Institutional investors own 91.59% of the company's stock.

Duolingo Stock Performance

The company's fifty day moving average is $326.31 and its 200 day moving average is $337.19. The company has a current ratio of 3.09, a quick ratio of 3.09 and a debt-to-equity ratio of 0.07. The company has a market cap of $22.36 billion, a P/E ratio of 270.02 and a beta of 0.88.

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.