William Blair Has Optimistic Outlook of Duolingo Q4 Earnings

Duolingo, Inc. (NASDAQ:DUOL - Free Report) - Equities research analysts at William Blair lifted their Q4 2024 EPS estimates for Duolingo in a report released on Wednesday, November 6th. William Blair analyst R. Schackart now anticipates that the company will earn $0.45 per share for the quarter, up from their prior estimate of $0.37. The consensus estimate for Duolingo's current full-year earnings is $2.02 per share. William Blair also issued estimates for Duolingo's Q1 2025 earnings at $0.65 EPS, FY2025 earnings at $3.02 EPS and FY2026 earnings at $4.11 EPS.

Duolingo (NASDAQ:DUOL - Get Free Report) last released its earnings results on Wednesday, November 6th. The company reported $0.49 earnings per share for the quarter, beating analysts' consensus estimates of $0.35 by $0.14. The firm had revenue of $192.59 million for the quarter, compared to analysts' expectations of $189.19 million. Duolingo had a net margin of 12.59% and a return on equity of 11.74%. The company's quarterly revenue was up 39.9% on a year-over-year basis. During the same period in the previous year, the company earned $0.06 earnings per share.

DUOL has been the topic of a number of other reports. Seaport Res Ptn cut Duolingo from a "strong-buy" rating to a "hold" rating in a research report on Thursday. JMP Securities cut shares of Duolingo from an "outperform" rating to a "market perform" rating in a research note on Monday, October 14th. Evercore ISI raised shares of Duolingo to a "strong-buy" rating in a research note on Monday, August 5th. Needham & Company LLC boosted their target price on shares of Duolingo from $310.00 to $370.00 and gave the stock a "buy" rating in a report on Thursday. Finally, The Goldman Sachs Group upped their price objective on Duolingo from $250.00 to $275.00 and gave the company a "neutral" rating in a research report on Thursday. Five research analysts have rated the stock with a hold rating, six have issued a buy rating and one has issued a strong buy rating to the company's stock. According to MarketBeat.com, Duolingo presently has an average rating of "Moderate Buy" and an average target price of $325.44.

Duolingo Trading Down 2.6 %

Shares of NASDAQ DUOL traded down $8.66 during midday trading on Monday, reaching $318.23. The company had a trading volume of 650,558 shares, compared to its average volume of 702,071. The firm's fifty day moving average price is $270.84 and its 200-day moving average price is $221.65. Duolingo has a one year low of $145.05 and a one year high of $330.61. The company has a quick ratio of 3.28, a current ratio of 3.09 and a debt-to-equity ratio of 0.07. The stock has a market cap of $13.86 billion, a PE ratio of 178.63 and a beta of 0.79.

Institutional Trading of Duolingo

A number of institutional investors and hedge funds have recently added to or reduced their stakes in DUOL. First Horizon Advisors Inc. acquired a new stake in shares of Duolingo during the third quarter worth $29,000. Farther Finance Advisors LLC raised its position in Duolingo by 164.6% in the third quarter. Farther Finance Advisors LLC now owns 127 shares of the company's stock valued at $36,000 after purchasing an additional 79 shares during the last quarter. Blue Trust Inc. acquired a new stake in Duolingo in the second quarter valued at $32,000. Larson Financial Group LLC acquired a new stake in Duolingo during the 2nd quarter valued at approximately $31,000. Finally, GAMMA Investing LLC raised its position in shares of Duolingo by 350.0% in the 2nd quarter. GAMMA Investing LLC now owns 171 shares of the company's stock worth $36,000 after acquiring an additional 133 shares in the last quarter. Institutional investors own 91.59% of the company's stock.

Insider Activity at Duolingo

In other news, CFO Matthew Skaruppa sold 17,591 shares of Duolingo stock in a transaction dated Wednesday, August 21st. The shares were sold at an average price of $207.27, for a total value of $3,646,086.57. Following the completion of the transaction, the chief financial officer now directly owns 88,856 shares of the company's stock, valued at approximately $18,417,183.12. The trade was a 0.00 % decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. In related news, CFO Matthew Skaruppa sold 17,591 shares of Duolingo stock in a transaction on Wednesday, August 21st. The stock was sold at an average price of $207.27, for a total value of $3,646,086.57. Following the transaction, the chief financial officer now directly owns 88,856 shares in the company, valued at $18,417,183.12. The trade was a 0.00 % decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, General Counsel Stephen C. Chen sold 19,464 shares of the stock in a transaction dated Friday, August 30th. The stock was sold at an average price of $211.55, for a total value of $4,117,609.20. Following the completion of the sale, the general counsel now directly owns 35,558 shares of the company's stock, valued at approximately $7,522,294.90. This represents a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last ninety days, insiders have sold 70,374 shares of company stock worth $15,802,382. 18.30% of the stock is currently owned by company insiders.

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.