Stephen Chen Sells 820 Shares of Duolingo (NASDAQ:DUOL) Stock

Duolingo, Inc. (NASDAQ:DUOL) General Counsel Stephen Chen sold 820 shares of Duolingo stock in a transaction on Friday, May 15th. The shares were sold at an average price of $112.16, for a total value of $91,971.20. Following the completion of the transaction, the general counsel owned 54,784 shares in the company, valued at $6,144,573.44. The trade was a 1.47% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. 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.

Duolingo Price Performance

Shares of Duolingo stock opened at $106.82 on Thursday. Duolingo, Inc. has a twelve month low of $87.89 and a twelve month high of $540.30. The stock has a market capitalization of $4.98 billion, a P/E ratio of 12.29, a PEG ratio of 0.86 and a beta of 0.90. The company has a current ratio of 2.62, a quick ratio of 2.62 and a debt-to-equity ratio of 0.07. The business’s fifty day moving average price is $101.27 and its 200 day moving average price is $140.51.

Duolingo (NASDAQ:DUOL) last issued its earnings results on Monday, May 4th. The company reported $0.89 earnings per share for the quarter, beating analysts’ consensus estimates of $0.79 by $0.10. Duolingo had a return on equity of 14.07% and a net margin of 38.44%.The firm had revenue of $291.97 million for the quarter, compared to analysts’ expectations of $288.60 million. During the same quarter last year, the firm earned $0.72 earnings per share. The firm’s revenue for the quarter was up 26.5% compared to the same quarter last year. As a group, research analysts anticipate that Duolingo, Inc. will post 2.84 earnings per share for the current year.

More Duolingo News

Here are the key news stories impacting Duolingo this week:

• Neutral Sentiment: Duolingo’s General Counsel Stephen Chen, along with other insiders including Robert Meese and Natalie Glance, sold shares in recent transactions. The company said these sales were made under pre-arranged 10b5-1 plans and to cover tax withholding obligations tied to equity awards, which makes them less concerning than discretionary selling, but they can still weigh on investor sentiment. Article Title
• Neutral Sentiment: Duolingo reported solid first-quarter results earlier this month, beating earnings and revenue estimates and posting 26.5% year-over-year revenue growth. That supports the long-term story, but it may not be enough to offset recent concerns about valuation and the stock’s sharp pullback from its highs.
• Neutral Sentiment: Duolingo is also selling its East Liberty headquarters and consolidating operations in a nearby tower, suggesting a real estate and office footprint shift rather than a fundamental business issue. Investors may view this as cost management, but it is not a major growth catalyst. Article Title

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of DUOL. Root Financial Partners LLC lifted its stake in shares of Duolingo by 194.1% in the first quarter. Root Financial Partners LLC now owns 250 shares of the company’s stock worth $25,000 after acquiring an additional 165 shares in the last quarter. EFG International AG acquired a new position in shares of Duolingo in the fourth quarter worth about $26,000. Atlantic Union Bankshares Corp acquired a new position in shares of Duolingo in the third quarter worth about $32,000. AlphaCentric Advisors LLC acquired a new position in shares of Duolingo in the fourth quarter worth about $33,000. Finally, Banque Cantonale Vaudoise lifted its stake in shares of Duolingo by 51.1% in the first quarter. Banque Cantonale Vaudoise now owns 340 shares of the company’s stock worth $34,000 after acquiring an additional 115 shares in the last quarter. Institutional investors and hedge funds own 91.59% of the company’s stock.

Wall Street Analyst Weigh In

Several equities research analysts have recently weighed in on the company. JPMorgan Chase & Co. upped their target price on Duolingo from $92.00 to $94.00 and gave the stock a “neutral” rating in a research report on Tuesday, May 5th. Morgan Stanley decreased their target price on Duolingo from $100.00 to $95.00 and set an “equal weight” rating for the company in a research report on Tuesday, May 5th. Bank of America reaffirmed a “neutral” rating and issued a $100.00 target price on shares of Duolingo in a research report on Friday, February 27th. Weiss Ratings downgraded Duolingo from a “hold (c-)” rating to a “sell (d+)” rating in a research report on Wednesday, April 22nd. Finally, Needham & Company LLC reaffirmed a “buy” rating and issued a $145.00 target price on shares of Duolingo in a research report on Tuesday, May 5th. Three equities research analysts have rated the stock with a Buy rating, seventeen have given a Hold rating and two have assigned a Sell rating to the company. Based on data from MarketBeat.com, Duolingo currently has an average rating of “Hold” and an average price target of $195.94.

About Duolingo

Duolingo, Inc (NASDAQ:DUOL) is a technology-driven education company that operates a widely used language-learning platform. Founded in 2011 by Luis von Ahn and Severin Hacker, Duolingo offers a freemium service featuring bite-sized lessons, gamified exercises and adaptive learning algorithms. The company’s core product is its mobile and web application, which supports instruction in more than 40 languages, ranging from widely spoken tongues such as English and Spanish to lesser-taught options including Irish and Swahili.

In addition to its flagship language courses, Duolingo has expanded its product suite to include the Duolingo English Test, an on-demand, computer-based English proficiency exam designed for academic and professional admissions.