8,926 Duolingo, Inc. $DUOL Shares Acquired by Reinhart Partners LLC.

Key Points

• Reinhart Partners increased its Duolingo stake by 43.3%, purchasing 8,926 additional shares to own 29,549 shares valued at approximately $4.2 million. Institutional investors and hedge funds collectively own 91.59% of DUOL.
• Duolingo faces heightened scrutiny ahead of its November 3, 2026 earnings report, including lawsuits and allegations that it understated user-growth and product-quality issues. CEO and other insiders have also sold substantial shares, though the transactions were made under pre-arranged trading plans.
• Analyst sentiment is mixed: MarketBeat reports an overall “Hold” rating and an average price target of $125.31, below the stock’s reported $149.92 opening price. The company’s latest quarter exceeded earnings and revenue estimates, with revenue rising 18.3% year over year.

Reinhart Partners LLC. grew its holdings in shares of Duolingo, Inc. (NASDAQ:DUOL - Free Report) by 43.3% during the 3rd quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 29,549 shares of the company's stock after buying an additional 8,926 shares during the quarter. Reinhart Partners LLC. owned approximately 0.06% of Duolingo worth $4,208,000 at the end of the most recent reporting period.

Other large investors also recently modified their holdings of the company. Landscape Capital Management L.L.C. bought a new stake in Duolingo during the fourth quarter worth about $3,752,000. Baird Financial Group Inc. grew its stake in Duolingo by 881.9% in the second quarter. Baird Financial Group Inc. now owns 69,331 shares of the company's stock valued at $7,975,000 after purchasing an additional 62,270 shares in the last quarter. Amundi increased its position in shares of Duolingo by 1,351.7% during the 1st quarter. Amundi now owns 449,068 shares of the company's stock worth $44,265,000 after purchasing an additional 418,134 shares during the last quarter. Arthedge Capital Management LLC increased its position in shares of Duolingo by 68.8% during the 4th quarter. Arthedge Capital Management LLC now owns 74,800 shares of the company's stock worth $13,127,000 after purchasing an additional 30,500 shares during the last quarter. Finally, Louisiana State Employees Retirement System bought a new stake in shares of Duolingo during the 1st quarter worth approximately $1,143,000. 91.59% of the stock is currently owned by institutional investors and hedge funds.

Trending Headlines about Duolingo

Here are the key news stories impacting Duolingo this week:

• Neutral Sentiment: Duolingo will report third-quarter 2026 results after the market closes on November 3, followed by a webcast. The upcoming report may provide clarification on user growth, product quality and the company’s outlook. Duolingo third-quarter results announcement
• Neutral Sentiment: Reported short interest data shows zero shares short and a days-to-cover ratio of zero as of October 9. That reading conflicts with the description of a “large increase” in short interest and may reflect a data or reporting issue rather than a meaningful change in sentiment.
• Negative Sentiment: Several law firms announced investigations and securities class actions concerning alleged misleading statements about Duolingo’s product quality, user growth and the sustainability of its business. The claims cover investors who purchased shares between May 2, 2025, and February 26, 2026. The allegations have not been proven, but the litigation creates reputational, legal-cost and potential financial-liability risks. Duolingo securities fraud investigation
• Negative Sentiment: A pension fund has accused Duolingo of concealing a user-growth crisis, reinforcing concerns that slowing or lower-quality growth may have been understated. These allegations could increase scrutiny ahead of the November earnings release. Pension fund allegations against Duolingo
• Negative Sentiment: CEO Luis von Ahn sold 110,046 shares for approximately $16.7 million, reducing his direct position by 50%. Although the transaction was conducted under a pre-arranged Rule 10b5-1 plan, the sizable sale may weigh on sentiment because it signals insider share selling.

Analyst Upgrades and Downgrades

DUOL has been the subject of several analyst reports. Craig Hallum cut shares of Duolingo to a "hold" rating in a research note on Tuesday, August 18th. UBS Group upped their price target on shares of Duolingo from $125.00 to $150.00 and gave the stock a "buy" rating in a research report on Thursday, August 6th. DA Davidson reiterated a "buy" rating and issued a $175.00 price target on shares of Duolingo in a research note on Tuesday, September 29th. Evercore set a $105.00 price objective on shares of Duolingo in a research report on Thursday, August 6th. Finally, Jefferies Financial Group upped their target price on shares of Duolingo from $95.00 to $125.00 and gave the company a "hold" rating in a report on Tuesday, July 14th. One equities research analyst has rated the stock with a Strong Buy rating, eight have assigned a Buy rating, fourteen have given a Hold rating and one has assigned a Sell rating to the company's stock. Based on data from MarketBeat, the company has an average rating of "Hold" and an average price target of $125.31.

Insider Activity at Duolingo

In other Duolingo news, General Counsel Stephen C. Chen sold 8,072 shares of the firm's stock in a transaction that occurred on Monday, September 14th. The shares were sold at an average price of $149.33, for a total transaction of $1,205,391.76. Following the completion of the sale, the general counsel directly owned 43,769 shares in the company, valued at $6,536,024.77. This trade represents a 15.57% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director William B. Gordon sold 10,000 shares of the company's stock in a transaction that occurred on Tuesday, September 8th. The shares were sold at an average price of $145.67, for a total value of $1,456,700.00. Following the completion of the transaction, the director directly owned 68,415 shares in the company, valued at $9,966,013.05. The trade was a 12.75% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders have sold 250,740 shares of company stock worth $37,685,893. 16.62% of the stock is owned by corporate insiders.

Duolingo Stock Down 0.9%

DUOL stock opened at $149.92 on Friday. Duolingo, Inc. has a 1-year low of $87.89 and a 1-year high of $347.60. The business's 50 day simple moving average is $144.42 and its 200 day simple moving average is $124.28. The company has a current ratio of 2.72, a quick ratio of 2.72 and a debt-to-equity ratio of 0.06. The firm has a market capitalization of $7.01 billion, a PE ratio of 17.76, a PEG ratio of 1.24 and a beta of 1.05.

Duolingo (NASDAQ:DUOL - Get Free Report) last announced its quarterly earnings results on Wednesday, August 5th. The company reported $0.66 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.60 by $0.06. Duolingo had a return on equity of 12.10% and a net margin of 35.88%. The business had revenue of $298.45 million during the quarter, compared to the consensus estimate of $295.58 million. During the same quarter last year, the firm posted $0.91 EPS. The company's quarterly revenue was up 18.3% on a year-over-year basis. As a group, research analysts anticipate that Duolingo, Inc. will post 2.62 EPS for the current year.

About Duolingo

Duolingo, Inc develops digital learning products designed to make education accessible through technology and gamification. Its flagship Duolingo app offers language-learning courses, practice exercises and other interactive features for learners of languages including Spanish, English, French, German and Japanese, among others.

The company also offers subscription plans, including Super Duolingo and Duolingo Max, which provide additional features and, in the case of Duolingo Max, artificial-intelligence-powered learning tools.

Want to see what other hedge funds are holding DUOL? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Duolingo, Inc. (NASDAQ:DUOL - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.