Duolingo, Inc. (NASDAQ:DUOL) Sees Significant Decrease in Short Interest

Duolingo, Inc. (NASDAQ:DUOL - Get Free Report) was the recipient of a significant decrease in short interest during the month of October. As of October 15th, there was short interest totalling 1,860,000 shares, a decrease of 8.4% from the September 30th total of 2,030,000 shares. Based on an average daily trading volume, of 562,400 shares, the days-to-cover ratio is presently 3.3 days. Currently, 5.2% of the shares of the stock are sold short.

Duolingo Stock Performance

Duolingo stock traded up $0.71 during trading on Friday, hitting $293.68. The stock had a trading volume of 374,135 shares, compared to its average volume of 698,715. The company has a quick ratio of 3.28, a current ratio of 3.28 and a debt-to-equity ratio of 0.07. The stock has a market cap of $12.79 billion, a price-to-earnings ratio of 209.77 and a beta of 0.79. Duolingo has a 1 year low of $145.05 and a 1 year high of $311.91. The stock's 50 day moving average is $260.55 and its two-hundred day moving average is $217.77.

Duolingo (NASDAQ:DUOL - Get Free Report) last released its quarterly earnings results on Wednesday, August 7th. The company reported $0.51 EPS for the quarter, beating analysts' consensus estimates of $0.32 by $0.19. Duolingo had a net margin of 10.44% and a return on equity of 9.64%. The firm had revenue of $178.30 million during the quarter, compared to analyst estimates of $177.13 million. During the same period in the previous year, the business earned $0.08 EPS. The business's revenue for the quarter was up 40.6% on a year-over-year basis. As a group, analysts predict that Duolingo will post 1.87 EPS for the current year.

Insiders Place Their Bets

In other news, insider Natalie Glance sold 1,500 shares of Duolingo stock in a transaction that occurred on Tuesday, August 6th. The shares were sold at an average price of $161.78, for a total value of $242,670.00. Following the completion of the transaction, the insider now owns 144,282 shares in the company, valued at approximately $23,341,941.96. The trade was a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. In related news, insider Natalie Glance sold 1,500 shares of Duolingo stock in a transaction dated Tuesday, August 6th. The stock was sold at an average price of $161.78, for a total value of $242,670.00. Following the completion of the transaction, the insider now directly owns 144,282 shares of the company's stock, valued at $23,341,941.96. The trade was a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. Also, CFO Matthew Skaruppa sold 17,591 shares of the stock in a transaction dated Wednesday, August 21st. The stock was sold at an average price of $207.27, for a total transaction of $3,646,086.57. Following the sale, the chief financial officer now directly owns 88,856 shares in the company, valued at approximately $18,417,183.12. This represents a 0.00 % decrease in their position. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 70,374 shares of company stock valued at $15,575,012. 18.30% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Duolingo

Several institutional investors have recently modified their holdings of the business. Farther Finance Advisors LLC raised its position in shares of Duolingo by 164.6% during the third quarter. Farther Finance Advisors LLC now owns 127 shares of the company's stock valued at $36,000 after buying an additional 79 shares during the last quarter. Blue Trust Inc. bought a new stake in shares of Duolingo during the 2nd quarter worth approximately $32,000. Larson Financial Group LLC purchased a new position in Duolingo during the 2nd quarter valued at $31,000. GAMMA Investing LLC increased its stake in Duolingo by 350.0% in the 2nd quarter. GAMMA Investing LLC now owns 171 shares of the company's stock worth $36,000 after buying an additional 133 shares during the period. Finally, Mark Sheptoff Financial Planning LLC purchased a new stake in shares of Duolingo in the second quarter valued at approximately $36,000. 91.59% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analyst Weigh In

Several research firms have issued reports on DUOL. Piper Sandler reissued an "overweight" rating and issued a $271.00 price target on shares of Duolingo in a research note on Friday, August 30th. Wolfe Research started coverage on Duolingo in a report on Tuesday, July 16th. They set a "peer perform" rating for the company. JMP Securities downgraded shares of Duolingo from an "outperform" rating to a "market perform" rating in a report on Monday, October 14th. Barclays dropped their target price on Duolingo from $230.00 to $183.00 and set an "equal weight" rating for the company in a report on Friday, August 9th. Finally, JPMorgan Chase & Co. lifted their price objective on Duolingo from $255.00 to $303.00 and gave the company an "overweight" rating in a report on Wednesday, September 25th. Four analysts have rated the stock with a hold rating, seven have given a buy rating and one has issued a strong buy rating to the company's stock. According to MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and an average price target of $277.22.

About Duolingo

Duolingo, Inc operates as a mobile learning platform in the United States, the United Kingdom, and internationally. The company offers courses in 40 different languages, including Spanish, English, French, German, Italian, Portuguese, Japanese, and Chinese through its Duolingo app. It also provides a digital English language proficiency assessment exam.