Duolingo, Inc. $DUOL Shares Sold by Russell Investments Group Ltd.

Key Points

• Russell Investments Group Ltd. has reduced its stake in Duolingo, Inc. by 36.0%, now holding 19,213 shares worth approximately $5.97 million.
• Duolingo reported a 41.5% year-over-year revenue increase for the quarter, with an EPS of $0.91, exceeding analyst expectations of $0.55.
• Several analysts have raised their target prices for Duolingo, with Morgan Stanley increasing theirs from $480.00 to $500.00 and maintaining an "overweight" rating.

Russell Investments Group Ltd. trimmed its holdings in Duolingo, Inc. (NASDAQ:DUOL - Free Report) by 36.0% during the 1st quarter, according to the company in its most recent Form 13F filing with the SEC. The fund owned 19,213 shares of the company's stock after selling 10,823 shares during the quarter. Russell Investments Group Ltd.'s holdings in Duolingo were worth $5,967,000 at the end of the most recent reporting period.

Other hedge funds also recently added to or reduced their stakes in the company. Contravisory Investment Management Inc. purchased a new stake in Duolingo in the first quarter valued at $25,000. Quarry LP boosted its holdings in Duolingo by 250.0% in the fourth quarter. Quarry LP now owns 91 shares of the company's stock valued at $30,000 after purchasing an additional 65 shares during the last quarter. Garde Capital Inc. purchased a new stake in Duolingo in the first quarter valued at $31,000. Whittier Trust Co. purchased a new stake in Duolingo in the first quarter valued at $33,000. Finally, Versant Capital Management Inc boosted its holdings in Duolingo by 323.1% in the first quarter. Versant Capital Management Inc now owns 110 shares of the company's stock valued at $34,000 after purchasing an additional 84 shares during the last quarter. 91.59% of the stock is owned by hedge funds and other institutional investors.

Duolingo Price Performance

Shares of DUOL traded down $11.8620 during mid-day trading on Monday, hitting $320.0080. 846,630 shares of the company were exchanged, compared to its average volume of 1,043,450. Duolingo, Inc. has a 1-year low of $202.38 and a 1-year high of $544.93. The company has a debt-to-equity ratio of 0.10, a quick ratio of 2.81 and a current ratio of 2.81. The company has a 50 day moving average of $378.13 and a 200-day moving average of $390.98. The stock has a market cap of $14.66 billion, a price-to-earnings ratio of 131.64, a price-to-earnings-growth ratio of 2.21 and a beta of 0.87.

Duolingo (NASDAQ:DUOL - Get Free Report) last released its quarterly earnings results on Wednesday, August 6th. The company reported $0.91 earnings per share for the quarter, topping the consensus estimate of $0.55 by $0.36. Duolingo had a net margin of 13.24% and a return on equity of 13.32%. The firm had revenue of $252.27 million during the quarter, compared to the consensus estimate of $240.84 million. During the same quarter in the prior year, the firm earned $0.51 EPS. The company's revenue for the quarter was up 41.5% on a year-over-year basis. Analysts expect that Duolingo, Inc. will post 2.03 EPS for the current fiscal year.

Insiders Place Their Bets

In other Duolingo news, CFO Matthew Skaruppa sold 2,797 shares of the firm's stock in a transaction that occurred on Friday, August 15th. The shares were sold at an average price of $329.03, for a total value of $920,296.91. Following the transaction, the chief financial officer directly owned 52,904 shares of the company's stock, valued at $17,407,003.12. This trade represents a 5.02% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, General Counsel Stephen C. Chen sold 1,282 shares of the firm's stock in a transaction that occurred on Friday, August 15th. The stock was sold at an average price of $329.03, for a total transaction of $421,816.46. Following the completion of the transaction, the general counsel directly owned 34,153 shares in the company, valued at $11,237,361.59. This trade represents a 3.62% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders sold 68,056 shares of company stock worth $27,035,566. 18.30% of the stock is currently owned by insiders.

Analyst Ratings Changes

Several equities research analysts have commented on the stock. Scotiabank upped their price target on shares of Duolingo from $405.00 to $470.00 and gave the company a "sector outperform" rating in a report on Friday, May 2nd. UBS Group reiterated an "overweight" rating on shares of Duolingo in a research report on Thursday, May 22nd. Morgan Stanley raised their target price on Duolingo from $480.00 to $500.00 and gave the company an "overweight" rating in a research report on Thursday, August 7th. JPMorgan Chase & Co. raised their target price on Duolingo from $500.00 to $515.00 and gave the company an "overweight" rating in a research report on Thursday, August 7th. Finally, Needham & Company LLC raised their target price on Duolingo from $400.00 to $460.00 and gave the company a "buy" rating in a research report on Friday, May 2nd. Thirteen analysts have rated the stock with a Buy rating and five have issued a Hold rating to the company's stock. According to MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and an average target price of $451.35.

About Duolingo

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.