Duolingo (NASDAQ:DUOL) Sets New 12-Month Low – Here’s What Happened

Duolingo, Inc. (NASDAQ:DUOL) shares hit a new 52-week low on Thursday . The company traded as low as $136.99 and last traded at $138.2150, with a volume of 948647 shares changing hands. The stock had previously closed at $142.80.

Analysts Set New Price Targets

A number of brokerages recently commented on DUOL. Jefferies Financial Group boosted their price objective on shares of Duolingo from $210.00 to $220.00 and gave the company a “hold” rating in a research report on Thursday, December 11th. KeyCorp lowered Duolingo from an “overweight” rating to a “sector weight” rating in a report on Thursday, November 6th. UBS Group set a $245.00 target price on Duolingo in a research note on Monday, January 5th. Bank of America raised Duolingo from a “neutral” rating to a “buy” rating and dropped their target price for the stock from $301.00 to $250.00 in a research report on Monday, January 5th. Finally, JPMorgan Chase & Co. reduced their price target on Duolingo from $300.00 to $200.00 and set an “overweight” rating for the company in a report on Tuesday, January 20th. Twelve analysts have rated the stock with a Buy rating, eleven have issued a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat.com, Duolingo presently has a consensus rating of “Hold” and an average price target of $301.75.

Duolingo Price Performance

The company has a debt-to-equity ratio of 0.07, a current ratio of 2.82 and a quick ratio of 2.82. The stock’s 50 day moving average price is $176.07 and its two-hundred day moving average price is $260.56. The firm has a market capitalization of $6.54 billion, a price-to-earnings ratio of 17.88, a PEG ratio of 0.77 and a beta of 0.87.

Duolingo (NASDAQ:DUOL) last announced its earnings results on Wednesday, November 5th. The company reported $5.95 EPS for the quarter, topping the consensus estimate of $0.72 by $5.23. The firm had revenue of $271.71 million for the quarter, compared to the consensus estimate of $260.14 million. Duolingo had a net margin of 40.03% and a return on equity of 14.02%. The business’s quarterly revenue was up 41.1% on a year-over-year basis. During the same quarter last year, the firm posted $0.49 EPS. On average, equities research analysts anticipate that Duolingo, Inc. will post 2.03 EPS for the current year.

Insiders Place Their Bets

In related news, CFO Matthew Skaruppa sold 3,059 shares of the company’s stock in a transaction on Tuesday, November 18th. The shares were sold at an average price of $175.76, for a total transaction of $537,649.84. Following the completion of the transaction, the chief financial officer directly owned 37,487 shares in the company, valued at $6,588,715.12. This represents a 7.54% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, insider Natalie Glance sold 2,471 shares of the business’s stock in a transaction dated Tuesday, November 18th. The stock was sold at an average price of $175.79, for a total transaction of $434,377.09. Following the transaction, the insider owned 111,166 shares in the company, valued at approximately $19,541,871.14. The trade was a 2.17% decrease in their position. The SEC filing for this sale provides additional information. Over the last quarter, insiders sold 43,169 shares of company stock worth $8,457,951. Corporate insiders own 18.30% of the company’s stock.

Hedge Funds Weigh In On Duolingo

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Kiker Wealth Management LLC acquired a new stake in shares of Duolingo during the 2nd quarter worth approximately $31,000. Atlantic Union Bankshares Corp acquired a new stake in Duolingo during the third quarter worth $32,000. Emerald Mutual Fund Advisers Trust bought a new stake in Duolingo in the 2nd quarter valued at $40,000. Farther Finance Advisors LLC raised its stake in shares of Duolingo by 82.2% in the 3rd quarter. Farther Finance Advisors LLC now owns 133 shares of the company’s stock valued at $43,000 after buying an additional 60 shares in the last quarter. Finally, KERR FINANCIAL PLANNING Corp bought a new position in shares of Duolingo during the 3rd quarter worth about $47,000. 91.59% of the stock is currently owned by institutional investors.

Duolingo Company Profile

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.