Duolingo Stock Declines by 6.1%

Duolingo, Inc. (NASDAQ:DUOL) experienced a 6.1% drop in its stock price on Wednesday, trading as low as $274.17 and last recorded at $275.9980. Approximately 974,768 shares were exchanged during mid-day trading, marking a 16% decrease from the average daily volume of 1,161,204 shares. The stock had previously closed at $293.88.

Several analyst reports have evaluated Duolingo's stock. DA Davidson downgraded Duolingo's shares from a 'buy' to a 'neutral' rating and reduced their price target from $500.00 to $300.00. KeyCorp upgraded Duolingo from 'sector weight' to 'overweight' with a $460.00 price target. UBS Group lowered their price target from $500.00 to $450.00 while maintaining a 'buy' rating. Weiss Ratings reaffirmed a 'hold (c)' rating. Citizens Jmp reduced their price target from $475.00 to $450.00, assigning a 'market outperform' rating. Currently, Duolingo holds a consensus 'Hold' rating with a target price of $414.05.

The company has a market capitalization of $12.95 billion, a price-to-earnings ratio of 116.29, a price-to-earnings-growth ratio of 2.03, and a beta of 0.86. Its 50-day moving average is $309.84, and its 200-day moving average is $381.30. Duolingo has a quick ratio and current ratio of 2.81, with a debt-to-equity ratio of 0.10.

Duolingo recently reported quarterly earnings, posting $0.91 earnings per share, surpassing the consensus estimate of $0.55. The company's quarterly revenue rose by 41.5% year-over-year to $252.27 million. Analysts anticipate Duolingo will achieve an EPS of 2.03 for the current year.

In recent developments, CFO Matthew Skaruppa sold shares, while insiders have sold $26,462,201 worth of stock in the last ninety days. Insiders own 18.30% of the company's stock. Institutional investors and hedge funds have recently adjusted their positions in Duolingo. The company operates as a mobile learning platform, offering courses in over 40 languages worldwide.