Voleon Capital Management LP Reduces Stock Holdings in Duolingo, Inc. $DUOL

Key Points

• Voleon Capital Management LP has drastically cut its stake in Duolingo, reducing its holdings by 86.9% during the first quarter, leaving it with only 1,794 shares valued at approximately $557,000.
• Several institutional investors have increased their positions in Duolingo, including Goldman Sachs, which grew its stake by 123.9% to own 87,556 shares worth $27.2 million.
• Duolingo recently reported earnings per share of $0.91, surpassing expectations, with a revenue increase of 41.5% compared to the previous year, totaling $252.27 million for the quarter.

Voleon Capital Management LP trimmed its stake in Duolingo, Inc. (NASDAQ:DUOL - Free Report) by 86.9% in the 1st quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The fund owned 1,794 shares of the company's stock after selling 11,912 shares during the period. Voleon Capital Management LP's holdings in Duolingo were worth $557,000 at the end of the most recent reporting period.

A number of other institutional investors and hedge funds have also recently modified their holdings of the business. Goldman Sachs Group Inc. lifted its stake in shares of Duolingo by 123.9% during the 1st quarter. Goldman Sachs Group Inc. now owns 87,556 shares of the company's stock worth $27,190,000 after acquiring an additional 48,451 shares during the last quarter. Rise Advisors LLC lifted its stake in shares of Duolingo by 43.6% during the 1st quarter. Rise Advisors LLC now owns 79 shares of the company's stock worth $25,000 after acquiring an additional 24 shares during the last quarter. Parallax Volatility Advisers L.P. bought a new stake in shares of Duolingo during the 1st quarter worth approximately $816,000. Polar Asset Management Partners Inc. lifted its stake in shares of Duolingo by 18.6% during the 1st quarter. Polar Asset Management Partners Inc. now owns 17,313 shares of the company's stock worth $5,376,000 after acquiring an additional 2,713 shares during the last quarter. Finally, NewEdge Advisors LLC lifted its stake in shares of Duolingo by 1,868.2% during the 1st quarter. NewEdge Advisors LLC now owns 433 shares of the company's stock worth $134,000 after acquiring an additional 411 shares during the last quarter. 91.59% of the stock is owned by institutional investors.

Insider Buying and Selling

In other news, CFO Matthew Skaruppa sold 10,937 shares of Duolingo stock in a transaction on Tuesday, August 26th. The stock was sold at an average price of $317.39, for a total value of $3,471,294.43. Following the transaction, the chief financial officer directly owned 43,345 shares in the company, valued at approximately $13,757,269.55. This trade represents a 20.15% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, General Counsel Stephen C. Chen sold 1,515 shares of Duolingo stock in a transaction on Tuesday, August 26th. The shares were sold at an average price of $321.36, for a total value of $486,860.40. Following the completion of the transaction, the general counsel owned 32,638 shares in the company, valued at $10,488,547.68. This represents a 4.44% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 80,508 shares of company stock valued at $28,428,221. 15.67% of the stock is owned by insiders.

Duolingo Trading Down 0.5%

DUOL traded down $1.43 during trading on Friday, hitting $307.91. 2,171,951 shares of the stock were exchanged, compared to its average volume of 1,837,668. Duolingo, Inc. has a 1 year low of $225.26 and a 1 year high of $544.93. The firm has a 50 day simple moving average of $337.69 and a 200 day simple moving average of $379.44. The firm has a market cap of $14.11 billion, a price-to-earnings ratio of 126.71, a P/E/G ratio of 2.06 and a beta of 0.85. The company has a debt-to-equity ratio of 0.10, a quick ratio of 2.81 and a current ratio of 2.81.

Duolingo (NASDAQ:DUOL - Get Free Report) last announced its quarterly earnings results on Wednesday, August 6th. The company reported $0.91 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.55 by $0.36. Duolingo had a return on equity of 13.32% and a net margin of 13.24%.The business had revenue of $252.27 million for the quarter, compared to the consensus estimate of $240.84 million. During the same period last year, the business posted $0.51 EPS. The business's revenue was up 41.5% compared to the same quarter last year. As a group, equities analysts expect that Duolingo, Inc. will post 2.03 EPS for the current year.

Wall Street Analysts Forecast Growth

DUOL has been the subject of a number of research analyst reports. Robert W. Baird initiated coverage on Duolingo in a research note on Friday, September 5th. They set a "neutral" rating and a $280.00 price target for the company. Zacks Research raised Duolingo from a "hold" rating to a "strong-buy" rating in a research note on Monday, September 8th. KeyCorp upgraded Duolingo from a "sector weight" rating to an "overweight" rating and set a $460.00 price objective on the stock in a report on Monday, August 18th. Wells Fargo & Company assumed coverage on Duolingo in a report on Monday, September 8th. They set an "underweight" rating and a $239.00 price objective on the stock. Finally, Citigroup assumed coverage on Duolingo in a report on Monday, August 18th. They set a "buy" rating and a $400.00 price objective on the stock. One analyst has rated the stock with a Strong Buy rating, twelve have issued a Buy rating, nine have given a Hold rating and one has given a Sell rating to the stock. According to MarketBeat, Duolingo has an average rating of "Moderate Buy" and an average target price of $420.63.

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.