Duolingo, Inc. (NASDAQ:DUOL) Sees Large Decline in Short Interest

Duolingo, Inc. (NASDAQ:DUOL) was the target of a significant decrease in short interest in October. As of October 31st, there was short interest totalling 1,760,000 shares, a decrease of 5.4% from the October 15th total of 1,860,000 shares. Approximately 4.9% of the shares of the stock are short sold. Based on an average daily trading volume, of 540,600 shares, the days-to-cover ratio is presently 3.3 days.

Duolingo Stock Performance

NASDAQ DUOL opened at $322.07 on Wednesday. The firm has a market cap of $14.17 billion, a P/E ratio of 175.99 and a beta of 0.79. Duolingo has a 52-week low of $145.05 and a 52-week high of $330.61. The business’s 50-day moving average price is $285.57 and its 200 day moving average price is $226.09. The company has a quick ratio of 3.09, a current ratio of 3.09 and a debt-to-equity ratio of 0.07.

Duolingo (NASDAQ:DUOL) last announced its earnings results on Wednesday, November 6th. The company reported $0.49 earnings per share for the quarter, beating 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 period last year, the business posted $0.06 EPS. The company’s revenue was up 39.9% on a year-over-year basis. On average, equities research analysts expect that Duolingo will post 2.02 earnings per share for the current year.

Wall Street Analysts Forecast Growth

Several equities research analysts have recently weighed in on the company. Needham & Company LLC raised their target price on Duolingo from $310.00 to $370.00 and gave the stock a “buy” rating in a research report on Thursday, November 7th. Bank of America upped their target price on shares of Duolingo from $292.00 to $298.00 and gave the company a “buy” rating in a report on Wednesday, September 25th. UBS Group lifted their price target on shares of Duolingo from $355.00 to $408.00 and gave the stock a “buy” rating in a research note on Thursday, November 14th. DA Davidson upped their price objective on shares of Duolingo from $250.00 to $350.00 and gave the company a “buy” rating in a research note on Thursday, November 7th. Finally, JMP Securities cut Duolingo from an “outperform” rating to a “market perform” rating in a research report on Monday, October 14th. Five analysts have rated the stock with a hold rating, six have given a buy rating and one has assigned a strong buy rating to the stock. According to MarketBeat.com, Duolingo has an average rating of “Moderate Buy” and an average price target of $331.33.

Insider Transactions at Duolingo

In other Duolingo news, General Counsel Stephen C. Chen sold 19,464 shares of the business’s stock in a transaction dated Friday, August 30th. The shares were sold at an average price of $211.55, for a total transaction of $4,117,609.20. Following the sale, the general counsel now directly owns 35,558 shares in the company, valued at $7,522,294.90. This represents a 35.37 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, insider Natalie Glance sold 1,500 shares of Duolingo stock in a transaction that occurred on Wednesday, November 6th. The shares were sold at an average price of $313.36, for a total transaction of $470,040.00. Following the completion of the transaction, the insider now owns 136,760 shares of the company’s stock, valued at $42,855,113.60. This trade represents a 1.08 % decrease in their position. The disclosure for this sale can be found here. Insiders sold 52,783 shares of company stock valued at $12,156,296 over the last 90 days. 18.30% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Duolingo

A number of large investors have recently bought and sold shares of DUOL. Geode Capital Management LLC boosted its holdings in shares of Duolingo by 2.5% in the third quarter. Geode Capital Management LLC now owns 672,800 shares of the company’s stock valued at $189,790,000 after acquiring an additional 16,481 shares in the last quarter. Barclays PLC boosted its holdings in Duolingo by 90.9% in the 3rd quarter. Barclays PLC now owns 42,613 shares of the company’s stock valued at $12,018,000 after purchasing an additional 20,289 shares in the last quarter. MML Investors Services LLC acquired a new position in Duolingo during the 3rd quarter worth approximately $1,301,000. Legacy Investment Solutions LLC purchased a new position in shares of Duolingo during the 3rd quarter worth approximately $1,699,000. Finally, Zacks Investment Management lifted its holdings in shares of Duolingo by 85.5% in the 3rd quarter. Zacks Investment Management now owns 10,733 shares of the company’s stock valued at $3,027,000 after buying an additional 4,946 shares during the period. Hedge funds and other institutional investors own 91.59% of the company’s stock.

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.