Duolingo, Inc. $DUOL Shares Sold by Engineers Gate Manager LP

Engineers Gate Manager LP cut its position in shares of Duolingo, Inc. (NASDAQ:DUOL) by 45.2% during the second quarter, according to its most recent Form 13F filing with the SEC. The institutional investor owned 34,062 shares of the company’s stock after selling 28,061 shares during the period. Engineers Gate Manager LP owned 0.07% of Duolingo worth $3,918,000 as of its most recent filing with the SEC.

Several other hedge funds and other institutional investors also recently added to or reduced their stakes in DUOL. Lingotto Investment Management LLP grew its position in shares of Duolingo by 34.3% during the 4th quarter. Lingotto Investment Management LLP now owns 33,563 shares of the company’s stock valued at $5,890,000 after acquiring an additional 8,563 shares during the period. Landscape Capital Management L.L.C. purchased a new position in shares of Duolingo in the 4th quarter valued at about $3,752,000. Investment House LLC raised its holdings in Duolingo by 250.7% in the 4th quarter. Investment House LLC now owns 18,038 shares of the company’s stock worth $3,166,000 after purchasing an additional 12,894 shares during the period. Leonteq Securities AG acquired a new position in Duolingo in the 4th quarter worth about $1,682,000. Finally, Amundi boosted its position in Duolingo by 1,351.7% during the first quarter. Amundi now owns 449,068 shares of the company’s stock worth $44,265,000 after purchasing an additional 418,134 shares in the last quarter. Institutional investors and hedge funds own 91.59% of the company’s stock.

More Duolingo News

Here are the key news stories impacting Duolingo this week:

• Positive Sentiment: Duolingo reportedly retains 68% of users, a level highlighted as stronger than retention at popular mobile games such as Candy Crush and Royal Match. The comparison reinforces the platform’s engagement and could support the company’s subscription growth story. Duolingo user retention article
• Positive Sentiment: Duolingo received widespread free publicity after Apple introduced a foldable phone called the “iPhone Duo.” The company’s humorous social-media response, including exchanges with Samsung, generated substantial meme coverage and may increase brand awareness and engagement, although no immediate financial benefit was quantified. iPhone Duo memes article
• Positive Sentiment: A new Duolingo clothing line tied to language and pronunciation is expanding the brand beyond its core learning app. The initiative could create additional marketing reach and potential merchandise revenue, though its financial impact remains uncertain. Duolingo clothing line article
• Neutral Sentiment: Director William Gordon sold 10,000 shares for approximately $1.46 million, reducing his position by 12.75%. Because the transaction was conducted under a pre-arranged Rule 10b5-1 plan, it is a limited discretionary signal, but it may still weigh modestly on sentiment. SEC insider transaction filing
• Negative Sentiment: A widely circulated CEO account claiming ChatGPT taught him Spanish more effectively than Duolingo highlights the competitive threat from AI language-learning tools. Although anecdotal, the commentary could raise concerns about Duolingo’s long-term differentiation and weigh on the stock. ChatGPT language-learning article

Wall Street Analyst Weigh In

Several analysts have commented on the company. Wells Fargo & Company began coverage on Duolingo in a report on Tuesday, August 18th. They issued an “overweight” rating on the stock. Weiss Ratings raised Duolingo from a “sell (d+)” rating to a “hold (c-)” rating in a research note on Thursday, June 18th. Bank of America lowered Duolingo from a “neutral” rating to an “underperform” rating and decreased their target price for the company from $103.00 to $93.00 in a research report on Tuesday, August 4th. Truist Financial lifted their price target on shares of Duolingo from $100.00 to $120.00 and gave the company a “hold” rating in a research note on Thursday, August 6th. Finally, Wall Street Zen raised shares of Duolingo from a “sell” rating to a “hold” rating in a report on Sunday, August 16th. One 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 issued a Sell rating to the stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Hold” and a consensus target price of $124.38.

Duolingo Trading Down 1.0%

Shares of Duolingo stock opened at $143.68 on Friday. The company has a current ratio of 2.72, a quick ratio of 2.72 and a debt-to-equity ratio of 0.06. Duolingo, Inc. has a twelve month low of $87.89 and a twelve month high of $353.00. The firm has a market capitalization of $6.72 billion, a PE ratio of 17.02, a P/E/G ratio of 1.18 and a beta of 0.89. The firm’s 50-day moving average price is $137.76 and its 200 day moving average price is $118.02.

Duolingo (NASDAQ:DUOL) last posted its quarterly earnings data on Wednesday, August 5th. The company reported $0.66 EPS for the quarter, topping 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 company had revenue of $298.45 million during the quarter, compared to analyst estimates of $295.58 million. During the same period in the previous year, the business earned $0.91 EPS. Duolingo’s quarterly revenue was up 18.3% on a year-over-year basis. On average, sell-side analysts predict that Duolingo, Inc. will post 2.62 EPS for the current fiscal year.

Insider Transactions at Duolingo

In other news, insider Natalie Glance sold 1,539 shares of Duolingo stock in a transaction that occurred on Tuesday, August 18th. The stock was sold at an average price of $137.80, for a total value of $212,074.20. Following the sale, the insider directly owned 169,111 shares of the company’s stock, valued at $23,303,495.80. The trade was a 0.90% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, General Counsel Stephen Chen sold 1,024 shares of the business’s stock in a transaction that occurred on Monday, August 17th. The stock was sold at an average price of $129.13, for a total value of $132,229.12. Following the sale, the general counsel owned 51,841 shares of the company’s stock, valued at $6,694,228.33. The trade was a 1.94% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last three months, insiders sold 16,668 shares of company stock valued at $2,331,082. Insiders own 16.62% of the company’s stock.

About Duolingo

Duolingo, Inc develops digital learning products designed to make education accessible through mobile devices and the web. Its primary product is the Duolingo language-learning platform, which offers courses in numerous languages through interactive, game-like lessons, practice exercises and personalized learning features.

The company also provides the Duolingo English Test, an online English-proficiency assessment used by educational institutions and other organizations. In addition, Duolingo has expanded beyond language learning with products such as Duolingo Math and Duolingo Music, while offering premium subscription features through plans including Super Duolingo and Duolingo Max.

Duolingo serves users internationally, with its applications and online services available across a broad range of geographies.