Duolingo Inc (DUOL) Shares Rise Despite Market Challenges

Duolingo Inc (NASDAQ: DUOL) has experienced a rise in its stock price by 9.95 compared to its previous closing price of 319.98. However, the company has seen a gain of 8.87% in its stock price over the last five trading days. globenewswire.com reported 2025-01-16 that PITTSBURGH, Jan. 16, 2025 (GLOBE NEWSWIRE) — Duolingo (NASDAQ: DUOL), the world’s leading mobile learning platform, today announces the expansion of Video Call to Android devices. The innovative AI conversation partner for language learning is now also available in five additional languages.

Is It Worth Investing in Duolingo Inc (NASDAQ: DUOL) Right Now?

The price-to-earnings ratio for Duolingo Inc (NASDAQ: DUOL) is above average at 194.01x, Company’s 36-month beta value is 0.87.Analysts have differing opinions on the stock, with 5 analysts rating it as a “buy,” 8 as “overweight,” 7 as “hold,” and 0 as “sell.”

The public float for DUOL is 35.80M, and currently, short sellers hold a 3.62% ratio of that floaft. The average trading volume of DUOL on January 16, 2025 was 534.48K shares.

DUOL’s Market Performance

DUOL’s stock has seen a 8.87% increase for the week, with a 4.06% rise in the past month and a 21.07% gain in the past quarter. The volatility ratio for the week is 3.72%, and the volatility levels for the past 30 days are at 3.91% for Duolingo Inc The simple moving average for the past 20 days is 6.09% for DUOL’s stock, with a 42.32% simple moving average for the past 200 days.

Analysts’ Opinion of DUOL

Many brokerage firms have already submitted their reports for DUOL stocks, with Needham repeating the rating for DUOL by listing it as a “Buy.” The predicted price for DUOL in the upcoming period, according to Needham is $385 based on the research report published on December 19, 2024 of the previous year 2024.

BofA Securities, on the other hand, stated in their research note that they expect to see DUOL reach a price target of $375, previously predicting the price at $355. The rating they have provided for DUOL stocks is “Neutral” according to the report published on December 11th, 2024.

Scotiabank gave a rating of “Sector Outperform” to DUOL, setting the target price at $425 in the report published on December 05th of the previous year.

DUOL Trading at 5.13% from the 50-Day Moving Average

After a stumble in the market that brought DUOL to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -7.05% of loss for the given period.

Volatility was left at 3.91%, however, over the last 30 days, the volatility rate increased by 3.72%, as shares surge +0.19% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading +18.96% upper at present.

During the last 5 trading sessions, DUOL rose by +8.12%, which changed the moving average for the period of 200-days by +60.11% in comparison to the 20-day moving average, which settled at $331.50. In addition, Duolingo Inc saw 8.50% in overturn over a single year, with a tendency to cut further gains.

Insider Trading

Reports are indicating that there were more than several insider trading activities at DUOL starting from Skaruppa Matthew, who sale 4,464 shares at the price of $313.55 back on Jan 13 ’25. After this action, Skaruppa Matthew now owns 63,266 shares of Duolingo Inc, valued at $1,399,698 using the latest closing price.

Hacker Severin, the Chief Tech Officer, Co-Founder of Duolingo Inc, sale 10,000 shares at $336.23 during a trade that took place back on Jan 06 ’25, which means that Hacker Severin is holding 72 shares at $3,362,318 based on the most recent closing price.

Stock Fundamentals for DUOL

Current profitability levels for the company are sitting at:

  • 0.08 for the present operating margin
  • 0.73 for the gross margin

The net margin for Duolingo Inc stands at 0.13. The total capital return value is set at 0.06. Equity return is now at value 12.08, with 8.30 for asset returns.

Based on Duolingo Inc (DUOL), the company’s capital structure generated 0.06 points at debt to capital in total, while cash flow to debt ratio is standing at 4.6.

Currently, EBITDA for the company is -5.83 million with net debt to EBITDA at -13.28. When we switch over and look at the enterprise to sales, we see a ratio of 21.41. The receivables turnover for the company is 7.32for trailing twelve months and the total asset turnover is 0.57. The liquidity ratio also appears to be rather interesting for investors as it stands at 3.09.

Conclusion

In a nutshell, Duolingo Inc (DUOL) has experienced a better performance in recent times. The stock has received mixed “buy” and “hold” ratings from analysts. It is worth mentioning that the stock is currently trading in close proximity to its 50-day moving average and its 52-week high.

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