DA Davidson Reiterates Buy Rating for Duolingo (NASDAQ:DUOL)

Duolingo (NASDAQ:DUOL)‘s stock had its “buy” rating restated by stock analysts at DA Davidson in a note issued to investors on Monday, Benzinga reports. They presently have a $175.00 target price on the stock. DA Davidson’s target price would suggest a potential upside of 14.26% from the company’s current price.

A number of other analysts also recently weighed in on the company. UBS Group increased their price target on Duolingo from $125.00 to $150.00 and gave the stock a “buy” rating in a report on Thursday, August 6th. Truist Financial boosted their price objective on Duolingo from $100.00 to $120.00 and gave the company a “hold” rating in a research note on Thursday, August 6th. JPMorgan Chase & Co. upped their target price on Duolingo from $125.00 to $135.00 and gave the company a “neutral” rating in a research report on Thursday, August 27th. Susquehanna began coverage on Duolingo in a report on Tuesday, August 18th. They issued a “positive” rating for the company. Finally, Craig Hallum lowered Duolingo to a “hold” rating in a research note on Tuesday, August 18th. One equities research analyst has rated the stock with a Strong Buy rating, eight have given a Buy rating, fourteen have issued a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, Duolingo currently has a consensus rating of “Hold” and an average price target of $124.38.

Duolingo Trading Up 6.6%

Shares of Duolingo stock traded up $9.47 during midday trading on Monday, reaching $153.16. The company had a trading volume of 715,993 shares, compared to its average volume of 1,920,250. The stock has a fifty day moving average price of $137.76 and a 200 day moving average price of $118.11. Duolingo has a fifty-two week low of $87.89 and a fifty-two week high of $353.00. The firm has a market cap of $7.17 billion, a PE ratio of 18.15, a P/E/G ratio of 1.18 and a beta of 0.89. The company has a debt-to-equity ratio of 0.06, a current ratio of 2.72 and a quick ratio of 2.72.

Duolingo (NASDAQ:DUOL) last released its quarterly earnings results on Wednesday, August 5th. The company reported $0.66 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.60 by $0.06. Duolingo had a net margin of 35.88% and a return on equity of 12.10%. The firm had revenue of $298.45 million during the quarter, compared to analyst estimates of $295.58 million. During the same quarter last year, the business earned $0.91 EPS. The company’s revenue was up 18.3% compared to the same quarter last year. On average, equities analysts anticipate that Duolingo will post 2.62 earnings per share for the current year.

Insider Transactions at Duolingo

In related news, Director William Gordon sold 10,000 shares of the company’s stock in a transaction that occurred on Tuesday, September 8th. The stock was sold at an average price of $145.67, for a total transaction of $1,456,700.00. Following the transaction, the director directly owned 68,415 shares of the company’s stock, valued at approximately $9,966,013.05. This represents a 12.75% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Robert Meese sold 1,354 shares of the 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 $174,842.02. Following the completion of the transaction, the insider owned 169,391 shares in the company, valued at approximately $21,873,459.83. The trade was a 0.79% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last quarter, insiders sold 16,668 shares of company stock valued at $2,331,082. 16.62% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of the business. California State Teachers Retirement System increased its position in shares of Duolingo by 12,171.5% during the second quarter. California State Teachers Retirement System now owns 5,119,655 shares of the company’s stock worth $588,863,000 after acquiring an additional 5,077,935 shares in the last quarter. Bank of America Corp DE boosted its stake in Duolingo by 511.2% during the 1st quarter. Bank of America Corp DE now owns 1,332,301 shares of the company’s stock valued at $131,325,000 after purchasing an additional 1,114,315 shares during the last quarter. State of Michigan Retirement System increased its holdings in Duolingo by 112.9% during the 1st quarter. State of Michigan Retirement System now owns 1,193,307 shares of the company’s stock worth $117,624,000 after purchasing an additional 632,807 shares in the last quarter. FIL Ltd raised its stake in shares of Duolingo by 1,715,575.9% in the fourth quarter. FIL Ltd now owns 497,546 shares of the company’s stock worth $87,319,000 after purchasing an additional 497,517 shares during the last quarter. Finally, Norges Bank purchased a new stake in shares of Duolingo in the fourth quarter worth approximately $86,159,000. Institutional investors and hedge funds own 91.59% of the company’s stock.

Duolingo Company Profile

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.