Forecasting The Future: 18 Analyst Projections For Duolingo

Providing a diverse range of perspectives from bullish to bearish, 18 analysts have published ratings on Duolingo DUOL in the last three months.

Summarizing their recent assessments, the table below illustrates the evolving sentiments in the past 30 days and compares them to the preceding months.

The 12-month price targets, analyzed by analysts, offer insights with an average target of $414.72, a high estimate of $500.00, and a low estimate of $330.00. Witnessing a positive shift, the current average has risen by 9.89% from the previous average price target of $377.41.

Analyzing Analyst Ratings: A Detailed Breakdown

The standing of Duolingo among financial experts is revealed through an in-depth exploration of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: In response to dynamic market conditions and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their reaction to recent developments related to Duolingo. This insight gives a snapshot of analysts' perspectives on the current state of the company.
• Rating: Analyzing trends, analysts offer qualitative evaluations, ranging from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Duolingo compared to the broader market.
• Price Targets: Delving into movements, analysts provide estimates for the future value of Duolingo's stock. This analysis reveals shifts in analysts' expectations over time.

To gain a panoramic view of Duolingo's market performance, explore these analyst evaluations alongside essential financial indicators. Stay informed and make judicious decisions using our Ratings Table.

Stay up to date on Duolingo analyst ratings.

Unveiling the Story Behind Duolingo

Duolingo Inc is a technology company that develops a mobile learning platform to learn languages and is the top-grossing app in the Education category on both Google Play and the Apple App Store. Its products are powered by sophisticated data analytics and artificial intelligence and delivered with class art, animation, and design to make it easier for learners to stay motivated master new material, and achieve their learning goals. Its solutions include the Duolingo Language Learning App, Super Duolingo, Duolingo English Test: AI-Driven Language Assessment, Duolingo For Schools, Duolingo ABC, and Duolingo Math. It has four predominant sources of revenue; time-based subscriptions, in-app advertising placement by third parties, and the Duolingo English Test, and In-App Purchases.

Duolingo: Financial Performance Dissected

Market Capitalization Analysis: With a profound presence, the company's market capitalization is above industry averages. This reflects substantial size and strong market recognition.

Revenue Growth: Duolingo's remarkable performance in 3M is evident. As of 31 December, 2024, the company achieved an impressive revenue growth rate of 38.79%. This signifies a substantial increase in the company's top-line earnings. As compared to its peers, the company achieved a growth rate higher than the average among peers in Consumer Discretionary sector.

Net Margin: Duolingo's net margin falls below industry averages, indicating challenges in achieving strong profitability. With a net margin of 6.64%, the company may face hurdles in effective cost management.

Return on Equity (ROE): Duolingo's ROE falls below industry averages, indicating challenges in efficiently using equity capital. With an ROE of 1.69%, the company may face hurdles in generating optimal returns for shareholders.

Return on Assets (ROA): Duolingo's ROA lags behind industry averages, suggesting challenges in maximizing returns from its assets. With an ROA of 1.1%, the company may face hurdles in achieving optimal financial performance.

Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 0.07.

The Core of Analyst Ratings: What Every Investor Should Know

Analysts are specialists within banking and financial systems that typically report for specific stocks or within defined sectors. These people research company financial statements, sit in conference calls and meetings, and speak with relevant insiders to determine what are known as analyst ratings for stocks. Typically, analysts will rate each stock once a quarter.

Beyond their standard evaluations, some analysts contribute predictions for metrics like growth estimates, earnings, and revenue, furnishing investors with additional guidance. Users of analyst ratings should be mindful that this specialized advice is shaped by human perspectives and may be subject to variability.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.