Citigroup Lowers Duolingo (NASDAQ:DUOL) Price Target to $270.00

Duolingo (NASDAQ:DUOL) had its price target cut by research analysts at Citigroup from $375.00 to $270.00 in a report released on Thursday,Benzinga reports. The brokerage presently has a “buy” rating on the stock. Citigroup’s price objective would indicate a potential upside of 39.37% from the company’s previous close.

A number of other analysts have also weighed in on the stock. Wall Street Zen lowered shares of Duolingo from a “buy” rating to a “hold” rating in a research report on Saturday, August 30th. Zacks Research downgraded shares of Duolingo from a “strong-buy” rating to a “hold” rating in a research note on Monday, October 13th. Morgan Stanley set a $300.00 target price on shares of Duolingo in a research note on Thursday. UBS Group dropped their target price on shares of Duolingo from $500.00 to $450.00 and set a “buy” rating on the stock in a research note on Monday, October 20th. Finally, Citizens Jmp restated a “market perform” rating on shares of Duolingo in a research note on Thursday. Ten investment analysts have rated the stock with a Buy rating, thirteen have given a Hold rating and one has given a Sell rating to the stock. According to MarketBeat, the company has a consensus rating of “Hold” and a consensus price target of $365.16.

Duolingo Price Performance

Shares of NASDAQ DUOL traded down $66.29 during mid-day trading on Thursday, hitting $193.73. 10,933,745 shares of the company’s stock traded hands, compared to its average volume of 1,229,244. The company’s 50-day moving average is $302.27 and its two-hundred day moving average is $378.73. The company has a debt-to-equity ratio of 0.10, a current ratio of 2.81 and a quick ratio of 2.81. The company has a market capitalization of $8.88 billion, a P/E ratio of 79.82, a PEG ratio of 1.73 and a beta of 0.83. Duolingo has a 1 year low of $182.00 and a 1 year high of $544.93.

Duolingo (NASDAQ:DUOL) last announced its earnings results on Wednesday, November 5th. The company reported $5.95 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.72 by $5.23. Duolingo had a net margin of 13.24% and a return on equity of 13.32%. The firm had revenue of $271.71 million for the quarter, compared to analysts’ expectations of $260.14 million. During the same period in the prior year, the company earned $0.49 EPS. The business’s revenue was up 41.1% compared to the same quarter last year. Duolingo has set its Q4 2025 guidance at EPS. FY 2025 guidance at EPS. On average, equities analysts anticipate that Duolingo will post 2.03 EPS for the current fiscal year.

Insider Buying and Selling

In other Duolingo news, insider Robert Meese sold 1,444 shares of the firm’s stock in a transaction that occurred on Friday, August 15th. The shares were sold at an average price of $329.03, for a total value of $475,119.32. Following the completion of the sale, the insider directly owned 120,080 shares in the company, valued at $39,509,922.40. This trade represents a 1.19% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, General Counsel Stephen C. Chen sold 1,515 shares of the firm’s stock in a transaction that occurred on Tuesday, August 26th. The shares were sold at an average price of $321.36, for a total transaction of $486,860.40. Following the completion of the sale, the general counsel owned 32,638 shares of the company’s stock, valued at approximately $10,488,547.68. This trade represents a 4.44% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold 73,791 shares of company stock valued at $23,018,101 over the last quarter. Insiders own 15.67% of the company’s stock.

Institutional Investors Weigh In On Duolingo

A number of large investors have recently made changes to their positions in DUOL. Rise Advisors LLC raised its holdings in shares of Duolingo by 43.6% during the first quarter. Rise Advisors LLC now owns 79 shares of the company’s stock worth $25,000 after purchasing an additional 24 shares during the last quarter. Summit Securities Group LLC purchased a new position in shares of Duolingo during the first quarter worth $28,000. Brooklyn Investment Group raised its holdings in shares of Duolingo by 4,750.0% during the first quarter. Brooklyn Investment Group now owns 97 shares of the company’s stock worth $30,000 after purchasing an additional 95 shares during the last quarter. Kiker Wealth Management LLC purchased a new position in shares of Duolingo during the second quarter worth $31,000. Finally, Atlantic Union Bankshares Corp purchased a new position in shares of Duolingo during the third quarter worth $32,000. 91.59% of the stock is owned by hedge funds and other institutional investors.

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.