Duolingo (NASDAQ:DUOL) Cut to “Market Perform” at JMP Securities

JMP Securities cut shares of Duolingo (NASDAQ:DUOL) from an outperform rating to a market perform rating in a research note released on Monday, MarketBeat reports.

DUOL has been the topic of several other research reports. JPMorgan Chase & Co. increased their target price on Duolingo from $255.00 to $303.00 and gave the company an “overweight” rating in a research note on Wednesday, September 25th. Piper Sandler reissued an “overweight” rating and issued a $271.00 target price on shares of Duolingo in a research note on Friday, August 30th. Wolfe Research started coverage on Duolingo in a research note on Tuesday, July 16th. They issued a “peer perform” rating on the stock. Barclays dropped their price target on Duolingo from $230.00 to $183.00 and set an “equal weight” rating on the stock in a research report on Friday, August 9th. Finally, Needham & Company LLC raised their price target on Duolingo from $245.00 to $310.00 and gave the stock a “buy” rating in a research report on Wednesday, September 25th. Four investment analysts have rated the stock with a hold rating, seven have given a buy rating and one has assigned a strong buy rating to the company. According to data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average price target of $277.22.

Duolingo Price Performance

Duolingo stock opened at $287.65 on Monday. Duolingo has a 12-month low of $140.16 and a 12-month high of $297.56. The business’s 50-day simple moving average is $241.05 and its 200 day simple moving average is $212.11. 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 $12.40 billion, a price-to-earnings ratio of 296.55 and a beta of 0.79.

Duolingo (NASDAQ:DUOL) last released its earnings results on Wednesday, August 7th. The company reported $0.51 earnings per share for the quarter, beating the consensus estimate of $0.32 by $0.19. Duolingo had a return on equity of 9.64% and a net margin of 10.44%. The firm had revenue of $178.30 million for the quarter, compared to analyst estimates of $177.13 million. During the same quarter in the prior year, the firm posted $0.08 earnings per share. The company’s quarterly revenue was up 40.6% on a year-over-year basis. As a group, research analysts anticipate that Duolingo will post 1.87 earnings per share for the current year.

Insiders Place Their Bets

In other Duolingo news, insider Natalie Glance sold 1,500 shares of the business’s stock in a transaction that occurred on Monday, October 7th. The stock was sold at an average price of $280.91, for a total transaction of $421,365.00. Following the transaction, the insider now owns 138,260 shares of the company’s stock, valued at $38,838,616.60. The trade was a 0.00 % decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. In related news, insider Robert Meese sold 4,819 shares of the business’s stock in a transaction that occurred on Tuesday, September 17th. The stock was sold at an average price of $240.02, for a total transaction of $1,156,656.38. Following the transaction, the insider now directly owns 157,053 shares of the company’s stock, valued at approximately $37,695,861.06. The trade was a 0.00 % decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider Natalie Glance sold 1,500 shares of the business’s stock in a transaction that occurred on Monday, October 7th. The stock was sold at an average price of $280.91, for a total value of $421,365.00. Following the transaction, the insider now directly owns 138,260 shares in the company, valued at $38,838,616.60. The trade was a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 88,374 shares of company stock valued at $18,571,912 in the last 90 days. 18.30% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the company. Vanguard Group Inc. grew its holdings in Duolingo by 2.0% in the 1st quarter. Vanguard Group Inc. now owns 3,387,433 shares of the company’s stock valued at $747,200,000 after buying an additional 67,004 shares in the last quarter. Whale Rock Capital Management LLC grew its holdings in Duolingo by 23.9% in the 1st quarter. Whale Rock Capital Management LLC now owns 1,275,189 shares of the company’s stock valued at $281,281,000 after buying an additional 245,599 shares in the last quarter. Dragoneer Investment Group LLC acquired a new position in Duolingo in the 2nd quarter valued at $204,768,000. American Century Companies Inc. grew its holdings in Duolingo by 25.1% in the 2nd quarter. American Century Companies Inc. now owns 498,957 shares of the company’s stock valued at $104,117,000 after buying an additional 100,167 shares in the last quarter. Finally, Bank of New York Mellon Corp grew its holdings in Duolingo by 153.1% in the 2nd quarter. Bank of New York Mellon Corp now owns 395,123 shares of the company’s stock valued at $82,450,000 after buying an additional 238,990 shares in the last quarter. 91.59% of the stock is owned by institutional investors and hedge funds.

Duolingo Company Profile

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.