Duolingo (NASDAQ:DUOL) Stock Price Down 4.9% - Time to Sell?

Duolingo, Inc. (NASDAQ:DUOL - Get Free Report)'s stock price dropped 4.9% during mid-day trading on Wednesday . The stock traded as low as $358.01 and last traded at $359.74. Approximately 554,072 shares traded hands during trading, a decline of 25% from the average daily volume of 734,267 shares. The stock had previously closed at $378.31.

Analyst Upgrades and Downgrades

A number of analysts recently commented on the company. Barclays boosted their target price on Duolingo from $330.00 to $375.00 and gave the company an "equal weight" rating in a research report on Friday, May 2nd. Scotiabank boosted their target price on Duolingo from $405.00 to $470.00 and gave the stock a "sector outperform" rating in a research note on Friday, May 2nd. Needham & Company LLC upped their price objective on Duolingo from $400.00 to $460.00 and gave the company a "buy" rating in a research note on Friday, May 2nd. Morgan Stanley dropped their price objective on Duolingo from $515.00 to $480.00 and set an "overweight" rating on the stock in a research note on Tuesday, July 8th. Finally, JPMorgan Chase & Co. lowered their target price on shares of Duolingo from $580.00 to $500.00 and set an "overweight" rating on the stock in a report on Thursday. Six analysts have rated the stock with a hold rating and ten have given a buy rating to the stock. Based on data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and a consensus price target of $435.87.

Duolingo Stock Performance

The stock's 50-day simple moving average is $461.96 and its 200 day simple moving average is $389.50. The company has a debt-to-equity ratio of 0.06, a quick ratio of 2.68 and a current ratio of 2.68. The company has a market capitalization of $16.84 billion, a PE ratio of 182.51, a P/E/G ratio of 2.78 and a beta of 0.89.

Duolingo (NASDAQ:DUOL - Get Free Report) last posted its quarterly earnings data on Thursday, May 1st. The company reported $0.72 earnings per share for the quarter, beating analysts' consensus estimates of $0.52 by $0.20. Duolingo had a net margin of 11.93% and a return on equity of 11.70%. The business had revenue of $230.74 million during the quarter, compared to analyst estimates of $223.15 million. The business's quarterly revenue was up 37.6% on a year-over-year basis. As a group, research analysts expect that Duolingo, Inc. will post 2.03 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other news, insider Severin Hacker sold 10,000 shares of Duolingo stock in a transaction that occurred on Monday, July 7th. The shares were sold at an average price of $392.89, for a total value of $3,928,900.00. Following the transaction, the insider owned 72 shares of the company's stock, valued at $28,288.08. The trade was a 99.29% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this link. Also, insider Robert Meese sold 5,000 shares of the firm's stock in a transaction that occurred on Tuesday, April 29th. The stock was sold at an average price of $395.00, for a total transaction of $1,975,000.00. Following the sale, the insider owned 118,805 shares of the company's stock, valued at approximately $46,927,975. This represents a 4.04% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 65,000 shares of company stock worth $27,646,500 over the last three months. 15.67% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Duolingo

Large investors have recently made changes to their positions in the company. FMR LLC raised its position in shares of Duolingo by 39.9% in the 4th quarter. FMR LLC now owns 3,726,561 shares of the company's stock valued at $1,208,263,000 after acquiring an additional 1,063,327 shares during the period. Vanguard Group Inc. grew its stake in shares of Duolingo by 2.0% in the fourth quarter. Vanguard Group Inc. now owns 3,542,194 shares of the company's stock valued at $1,148,486,000 after buying an additional 70,705 shares in the last quarter. Invesco Ltd. grew its stake in shares of Duolingo by 24.1% in the first quarter. Invesco Ltd. now owns 1,346,278 shares of the company's stock valued at $418,073,000 after buying an additional 261,212 shares in the last quarter. Price T Rowe Associates Inc. MD grew its stake in shares of Duolingo by 0.8% in the fourth quarter. Price T Rowe Associates Inc. MD now owns 1,339,780 shares of the company's stock valued at $434,398,000 after buying an additional 10,638 shares in the last quarter. Finally, T. Rowe Price Investment Management Inc. lifted its position in Duolingo by 110.5% during the first quarter. T. Rowe Price Investment Management Inc. now owns 990,903 shares of the company's stock worth $307,716,000 after acquiring an additional 520,069 shares during the last quarter. 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.