Two Sigma Investments LP Reduces Stock Position in Duolingo, Inc. (NASDAQ:DUOL)

Two Sigma Investments LP lessened its stake in Duolingo, Inc. (NASDAQ:DUOL - Free Report) by 38.2% during the 4th quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The institutional investor owned 93,047 shares of the company's stock after selling 57,435 shares during the period. Two Sigma Investments LP owned about 0.21% of Duolingo worth $30,169,000 at the end of the most recent quarter.

A number of other hedge funds and other institutional investors have also recently made changes to their positions in the business. Catalyst Capital Advisors LLC acquired a new stake in shares of Duolingo in the 4th quarter worth $1,994,000. Taika Capital LP purchased a new position in shares of Duolingo in the 4th quarter valued at about $2,697,000. BNP Paribas Financial Markets purchased a new position in shares of Duolingo in the 4th quarter valued at about $9,708,000. Lecap Asset Management Ltd. purchased a new position in shares of Duolingo in the 4th quarter valued at about $429,000. Finally, Redwood Investment Management LLC acquired a new stake in shares of Duolingo during the 4th quarter worth about $1,429,000. Hedge funds and other institutional investors own 91.59% of the company's stock.

Insider Activity

In other news, insider Natalie Glance sold 9,020 shares of Duolingo stock in a transaction dated Wednesday, March 5th. The stock was sold at an average price of $290.59, for a total value of $2,621,121.80. Following the completion of the transaction, the insider now directly owns 130,733 shares of the company's stock, valued at approximately $37,989,702.47. This trade represents a 6.45% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, insider Severin Hacker sold 10,000 shares of the firm's stock in a transaction dated Monday, May 5th. The shares were sold at an average price of $495.95, for a total value of $4,959,500.00. Following the completion of the sale, the insider now owns 72 shares of the company's stock, valued at approximately $35,708.40. This represents a 99.29% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 93,853 shares of company stock valued at $31,627,441. 15.67% of the stock is owned by insiders.

Wall Street Analyst Weigh In

Several research analysts have commented on the company. Morgan Stanley lifted their price target on Duolingo from $435.00 to $515.00 and gave the stock an "overweight" rating in a research report on Monday, May 5th. Jefferies Financial Group started coverage on Duolingo in a report on Friday, January 24th. They set a "hold" rating and a $370.00 price objective on the stock. Evercore ISI upped their target price on Duolingo from $400.00 to $480.00 and gave the company an "outperform" rating in a report on Friday, May 2nd. Scotiabank increased their price objective on Duolingo from $405.00 to $470.00 and gave the company a "sector outperform" rating in a research note on Friday, May 2nd. Finally, Barclays increased their price objective on Duolingo from $330.00 to $375.00 and gave the company an "equal weight" rating in a research note on Friday, May 2nd. Seven research analysts have rated the stock with a hold rating and nine have given a buy rating to the company's stock. According to data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and an average target price of $426.29.

Duolingo Price Performance

Shares of DUOL traded up $2.41 during mid-day trading on Friday, reaching $520.21. The company had a trading volume of 459,404 shares, compared to its average volume of 714,116. The company's 50-day moving average is $391.07 and its 200-day moving average is $359.92. Duolingo, Inc. has a twelve month low of $145.05 and a twelve month high of $544.93. The company has a market capitalization of $23.65 billion, a P/E ratio of 284.27 and a beta of 0.88. The company has a debt-to-equity ratio of 0.07, a current ratio of 3.09 and a quick ratio of 3.09.

Duolingo (NASDAQ:DUOL - Get Free Report) last posted its earnings results on Thursday, May 1st. The company reported $0.72 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.52 by $0.20. The firm had revenue of $230.74 million during the quarter, compared to analysts' expectations of $223.15 million. Duolingo had a return on equity of 11.74% and a net margin of 12.59%. The firm's revenue was up 37.6% on a year-over-year basis. On average, equities analysts anticipate that Duolingo, Inc. will post 2.03 EPS for the current year.

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.