DUOL official logo DUOL
DUOL 2-star rating from Upturn Advisory
Duolingo Inc (DUOL) company logo

Duolingo Inc (DUOL)

Duolingo Inc (DUOL) 2-star rating from Upturn Advisory
$260.02
Last Close (24-hour delay)
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PASS
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Upturn Stock price based on last close icon Stock price based on last close
*as per simulation
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Time period over
  • ALL
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Upturn Advisory Summary

11/05/2025: DUOL (2-star) is currently NOT-A-BUY. Pass it for now.

Upturn Star Rating

Upturn 2 star rating for performance

Below Average Performance

These Stocks/ETFs, based on Upturn Advisory, often underperform the market, warranting careful consideration before investing.

Number of Analysts

4 star rating from financial analysts

23 Analysts rated it

Well-followed company, solid analyst reports, reliable data for confident investing.

1 Year Target Price $436.04

1 Year Target Price $436.04

Analysts Price Target For last 52 week
$436.04 Target price
52w Low $256.63
Current$260.02
52w High $544.93

Analysis of Past Performance

Type Stock
Historic Profit -7.15%
Avg. Invested days 34
Today’s Advisory PASS
Upturn Star Rating upturn star rating icon
Upturn Advisory Performance Upturn Advisory Performance icon 2.0
Stock Returns Performance Upturn Returns Performance icon 1.0
Upturn Profits based on simulation icon Profits based on simulation
Upturn last close icon Last Close 11/05/2025

Key Highlights

Company Size Large-Cap Stock
Market Capitalization 12.01B USD
Price to earnings Ratio 107.39
1Y Target Price 436.04
Price to earnings Ratio 107.39
1Y Target Price 436.04
Volume (30-day avg) 23
Beta 0.83
52 Weeks Range 256.63 - 544.93
Updated Date 11/5/2025
52 Weeks Range 256.63 - 544.93
Updated Date 11/5/2025
Dividends yield (FY) -
Basic EPS (TTM) 2.44

Analyzing Revenue: Products, Geography and Growth

Revenue by Products

Product revenue - Year on Year

Revenue by Geography

Geography revenue - Year on Year

Earnings Date

Report Date 2025-11-05
When -
Estimate 0.7584
Actual -

Profitability

Profit Margin 13.24%
Operating Margin (TTM) 13.5%

Management Effectiveness

Return on Assets (TTM) 4.01%
Return on Equity (TTM) 13.44%

Valuation

Trailing PE 107.39
Forward PE 69.44
Enterprise Value 13338216891
Price to Sales(TTM) 13.57
Enterprise Value 13338216891
Price to Sales(TTM) 13.57
Enterprise Value to Revenue 15.07
Enterprise Value to EBITDA 136.13
Shares Outstanding 39694545
Shares Floating 39268916
Shares Outstanding 39694545
Shares Floating 39268916
Percent Insiders 0.79
Percent Institutions 99.21

Icon representing Upturn AI-generated SWOT analysis summary Upturn AI SWOT

Duolingo Inc

Duolingo Inc(DUOL) company logo displayed in Upturn AI summary

Company Overview

Company history and background logo History and Background

Duolingo Inc. was founded in 2011 by Luis von Ahn and Severin Hacker and launched to the public in 2012. Initially focused on providing free language education through crowdsourced translation, it evolved into a comprehensive language learning platform using gamification and personalized learning. Duolingo completed an initial public offering in 2021.

Company business area logo Core Business Areas

  • Language Learning: Offers a wide range of language courses, from popular languages like Spanish and English to less common ones. Uses gamified lessons, quizzes, and interactive exercises to engage learners.
  • Duolingo English Test: Provides a digital English proficiency test that is accepted by universities and institutions globally.
  • Subscription Services: Offers premium subscription tiers, such as Duolingo Plus (now Super Duolingo), which provide ad-free learning, offline access, and other exclusive features.

leadership logo Leadership and Structure

Luis von Ahn is the co-founder and CEO. The company has a typical corporate structure with departments focusing on engineering, product development, marketing, and finance.

Top Products and Market Share

Product Key Offerings logo Key Offerings

  • Duolingo Language Learning App: The core product offering free language courses in various languages. It has approximately 88.4 million monthly active users as of Q1 2024. Competitors include Babbel, Rosetta Stone, and Memrise.
  • Duolingo English Test: A widely accepted English proficiency test. The company has a target of $100 million USD in revenue from DET by the end of 2024, and the english test is used by ~4000 academic institutions. Competitors include IELTS and TOEFL.
  • Duolingo ABC: Duolingo ABC is a language learning app for children. The company has a target of reaching over 1 million monthly active users. Competitors include Starfall and Khan Academy Kids.

Market Dynamics

industry overview logo Industry Overview

The language learning market is growing due to globalization and increasing demand for multilingual skills. The shift towards online and mobile learning platforms is accelerating this growth.

Positioning

Duolingo is a market leader in mobile language learning, known for its freemium model, gamified approach, and broad language offerings. It has a strong brand recognition and a large user base.

Total Addressable Market (TAM)

The global language learning market is estimated to be in excess of $75 billion. Duolingo, through both organic and inorganic growth, is positioning itself to capture a significant portion of this TAM.

Upturn SWOT Analysis

Strengths

  • Large user base
  • Strong brand recognition
  • Gamified learning approach
  • Freemium business model
  • Diverse language offerings

Weaknesses

  • Heavy reliance on freemium users converting to paid subscriptions
  • Potential for plateauing user engagement over time
  • Dependence on mobile platforms

Opportunities

  • Expanding into new language courses and content
  • Increasing subscription conversion rates
  • Developing new educational products (e.g., literacy apps)
  • Partnerships with educational institutions and corporations

Threats

  • Competition from other language learning platforms
  • Changing user preferences and technology
  • Economic downturns impacting subscription spending
  • Data security and privacy concerns

Competitors and Market Share

Key competitor logo Key Competitors

  • BABEL
  • ROST
  • MEMR

Competitive Landscape

Duolingo's key advantages include its freemium model and broad language offerings. However, competitors like Babbel and Rosetta Stone offer more structured and comprehensive language learning programs. MEMR differentiates through user generated content.

Major Acquisitions

Gunner Technology

  • Year: 2016
  • Acquisition Price (USD millions): 7.5
  • Strategic Rationale: Acquisition of Gunner Technology was made so that the company could expand their engineering expertise. Gunner Technology was a small engineering firm who helped develop Duolingo's test center platform.

Growth Trajectory and Initiatives

Historical Growth: Duolingo has experienced rapid growth in user base, revenue, and profitability over the past several years.

Future Projections: Analysts project continued revenue growth for Duolingo, driven by expansion into new markets, increased subscription adoption, and new product launches.

Recent Initiatives: Duolingo has recently focused on expanding its content offerings, improving user engagement through gamification, and exploring partnerships with educational institutions.

Summary

Duolingo is a strong player in the language learning market with a well-recognized brand and growing user base. Its freemium model is effective, although it faces the challenge of converting free users to paid subscribers. Strong growth and expanding course offerings position the company for continued success, but it must address competition and maintain user engagement to sustain its momentum.

Similar Stocks

Sources and Disclaimers

Data Sources:

  • Duolingo Investor Relations
  • SEC Filings
  • Third-party market research reports

Disclaimers:

This analysis is based on publicly available information and should not be considered financial advice. Market conditions and company performance are subject to change.

Information icon for Upturn AI Summarization accuracy disclaimer AI Summarization is directionally correct and might not be accurate.

Information icon for Upturn AI Summarization data freshness disclaimer Summarized information shown could be a few years old and not current.

Information icon warning about Upturn AI Fundamental Rating based on potentially old data Fundamental Rating based on AI could be based on old data.

Information icon warning about potential inaccuracies or hallucinations in Upturn AI-generated summaries AI-generated summaries may have inaccuracies (hallucinations). Please verify the information before taking action.

About Duolingo Inc

Exchange NASDAQ
Headquaters Pittsburgh, PA, United States
IPO Launch date 2021-07-28
Co-Founder, Chairman of the Board, President & CEO Dr. Luis Alfonso von Ahn Arellano Ph.D.
Sector Technology
Industry Software - Application
Full time employees 830
Full time employees 830

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. The company was incorporated in 2011 and is headquartered in Pittsburgh, Pennsylvania.