Duolingo, Inc. DUOL shares traded lower Thursday afternoon after the company reported first-quarter financial results.
What To Know: Duolingo reported EPS of 57 cents, outperforming estimates of 27 cents by 111.11%, while quarterly sales of $167.6 million exceeded expectations of $165.677 million by 1.16%. Bolstered by a 41% increase in total bookings and a surge in paid subscribers to 7.4 million, Duolingo showcased its strong growth trajectory.
CEO Luis von Ahn highlighted the company’s record profitability and user engagement, driven by a 54% year-over-year increase in daily active users (DAUs). Despite the positive results, Duolingo shares faced a 18.07% decline Thursday afternoon, settling at $200.50 at the time of writing, according to Benzinga Pro.
![](https://editorial-assets.benzinga.com/wp-content/uploads/2024/05/09151223/DUOL-1024x534.png)
Looking Ahead: Duolingo forecasted second-quarter revenue of $175 million to $177.5 million, versus analyst estimates of $176.9 million. However, the company raised its full-year revenue guidance to a range of $726.5 million to $735.5 million versus estimates of $728.23 million, indicating confidence in its continued growth trajectory.
Analysts remain divided on Duolingo’s prospects. Following Duolingos’ quarterly results, Needham maintained a Buy rating and raised the price target to $267 from $241, while Barclays maintained an Equal-Weight rating and lowered the price target to $230 from $243.
See Also: Google Stares Down Largest Tech Antitrust Ruling In 2 Decades — Is AT&T-Style Breakup Next?
Image: Shutterstock.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Comments
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.