Duolingo (NASDAQ:DUOL) Shares Gap Down – Here’s What Happened

Duolingo, Inc. (NASDAQ:DUOL) gapped down before the market opened on Wednesday . The stock had previously closed at $361.83, but opened at $351.16. Duolingo shares last traded at $333.54, with a volume of 180,748 shares.

Analyst Ratings Changes

A number of equities analysts have commented on DUOL shares. Barclays lifted their target price on shares of Duolingo from $183.00 to $295.00 and gave the stock an “equal weight” rating in a research note on Thursday, November 7th. Needham & Company LLC upped their price objective on Duolingo from $310.00 to $370.00 and gave the company a “buy” rating in a report on Thursday, November 7th. DA Davidson raised their target price on Duolingo from $250.00 to $350.00 and gave the stock a “buy” rating in a research note on Thursday, November 7th. The Goldman Sachs Group upped their price target on Duolingo from $250.00 to $275.00 and gave the company a “neutral” rating in a research note on Thursday, November 7th. Finally, Piper Sandler increased their target price on shares of Duolingo from $271.00 to $351.00 and gave the stock an “overweight” rating in a research note on Thursday, November 7th. Six research analysts have rated the stock with a hold rating, six have issued a buy rating and one has assigned a strong buy rating to the company’s stock. According to data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $348.40.

Duolingo Trading Down 6.1 %

The company’s 50 day simple moving average is $313.97 and its 200 day simple moving average is $242.95. The company has a debt-to-equity ratio of 0.07, a current ratio of 3.09 and a quick ratio of 3.09. The firm has a market cap of $14.94 billion, a price-to-earnings ratio of 182.26 and a beta of 0.85.

Duolingo (NASDAQ:DUOL) last issued its quarterly earnings results on Wednesday, November 6th. The company reported $0.49 earnings per share for the quarter, topping the consensus estimate of $0.35 by $0.14. Duolingo had a return on equity of 11.74% and a net margin of 12.59%. The company had revenue of $192.59 million for the quarter, compared to the consensus estimate of $189.19 million. During the same quarter in the prior year, the business earned $0.06 EPS. Duolingo’s revenue was up 39.9% on a year-over-year basis. As a group, research analysts expect that Duolingo, Inc. will post 2.02 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other news, insider Natalie Glance sold 1,500 shares of the firm’s stock in a transaction dated Friday, December 6th. The stock was sold at an average price of $369.33, for a total transaction of $553,995.00. Following the sale, the insider now owns 132,239 shares of the company’s stock, valued at approximately $48,839,829.87. This trade represents a 1.12 % decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider Robert Meese sold 4,819 shares of the company’s stock in a transaction that occurred on Tuesday, September 17th. The shares were sold at an average price of $240.02, for a total value of $1,156,656.38. Following the completion of the transaction, the insider now directly owns 157,053 shares of the company’s stock, valued at $37,695,861.06. This trade represents a 2.98 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 19,319 shares of company stock worth $5,377,256 in the last 90 days. Corporate insiders own 18.30% of the company’s stock.

Institutional Investors Weigh In On Duolingo

Hedge funds and other institutional investors have recently bought and sold shares of the stock. Dragoneer Investment Group LLC acquired a new stake in shares of Duolingo during the second quarter worth about $204,768,000. Charles Schwab Investment Management Inc. lifted its stake in Duolingo by 42.2% in the third quarter. Charles Schwab Investment Management Inc. now owns 342,280 shares of the company’s stock valued at $96,530,000 after buying an additional 101,653 shares during the last quarter. Teachers Retirement System of The State of Kentucky boosted its holdings in shares of Duolingo by 23.7% in the second quarter. Teachers Retirement System of The State of Kentucky now owns 67,114 shares of the company’s stock valued at $14,005,000 after acquiring an additional 12,860 shares during the period. Lisanti Capital Growth LLC grew its position in shares of Duolingo by 17.8% during the third quarter. Lisanti Capital Growth LLC now owns 11,645 shares of the company’s stock worth $3,284,000 after acquiring an additional 1,760 shares during the last quarter. Finally, Rockefeller Capital Management L.P. acquired a new position in shares of Duolingo in the 3rd quarter valued at $4,350,000. 91.59% of the stock is currently owned by institutional investors and hedge funds.

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.