William Gordon Sells 10,000 Shares of Duolingo (NASDAQ:DUOL) Stock

Duolingo, Inc. (NASDAQ:DUOL) Director William Gordon sold 10,000 shares of the stock in a transaction 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 sale, the director owned 68,415 shares of the company’s stock, valued at approximately $9,966,013.05. This trade represents a 12.75% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Duolingo Price Performance

DUOL stock opened at $143.68 on Friday. The firm has a market cap of $6.72 billion, a price-to-earnings ratio of 17.02, a PEG ratio of 1.19 and a beta of 0.89. The company has a quick ratio of 2.72, a current ratio of 2.72 and a debt-to-equity ratio of 0.06. The company’s fifty day simple moving average is $137.76 and its 200 day simple moving average is $118.02. Duolingo, Inc. has a 12-month low of $87.89 and a 12-month high of $353.00.

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

Key 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

Analyst Ratings Changes

A number of equities analysts have recently weighed in on DUOL shares. UBS Group upped their target price on Duolingo from $125.00 to $150.00 and gave the stock a “buy” rating in a research report on Thursday, August 6th. JPMorgan Chase & Co. lifted their price target on Duolingo from $125.00 to $135.00 and gave the stock a “neutral” rating in a report on Thursday, August 27th. Craig Hallum cut Duolingo to a “hold” rating in a research report on Tuesday, August 18th. Evercore set a $105.00 price objective on Duolingo in a research note on Thursday, August 6th. Finally, KeyCorp raised Duolingo from a “hold” rating to an “overweight” rating in a research report on Tuesday, August 18th. One 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 MarketBeat.com, the stock has a consensus rating of “Hold” and an average price target of $124.38.

Institutional Trading of Duolingo

Several hedge funds have recently made changes to their positions in the company. NewEdge Advisors LLC grew 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 period. Goldman Sachs Group Inc. raised its stake in Duolingo by 123.9% in the 1st quarter. Goldman Sachs Group Inc. now owns 87,556 shares of the company’s stock valued at $27,190,000 after acquiring an additional 48,451 shares during the period. Focus Partners Wealth lifted its holdings in Duolingo by 28.3% during the first quarter. Focus Partners Wealth now owns 2,021 shares of the company’s stock valued at $628,000 after purchasing an additional 446 shares during the last quarter. Amundi lifted its holdings in Duolingo by 142.1% during the second quarter. Amundi now owns 26,075 shares of the company’s stock valued at $10,352,000 after purchasing an additional 15,306 shares during the last quarter. Finally, Gabelli Funds LLC bought a new position in Duolingo during the second quarter worth about $205,000. 91.59% of the stock is currently owned by institutional investors.

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.