Duolingo (NASDAQ:DUOL) Trading Down 10.1% – Time to Sell?

Duolingo, Inc. (NASDAQ:DUOL) traded down 10.1% during trading on Monday . The stock traded as low as $268.00 and last traded at $265.77. 329,795 shares were traded during trading, a decline of 60% from the average session volume of 814,808 shares. The stock had previously closed at $295.56.

Analysts Set New Price Targets

A number of research firms recently weighed in on DUOL. DA Davidson increased their price target on Duolingo from $350.00 to $400.00 and gave the company a “buy” rating in a research note on Friday, February 28th. The Goldman Sachs Group raised their target price on shares of Duolingo from $275.00 to $340.00 and gave the stock a “neutral” rating in a research note on Monday, March 3rd. Needham & Company LLC upped their price target on shares of Duolingo from $385.00 to $400.00 and gave the company a “buy” rating in a research note on Friday, February 28th. UBS Group increased their price target on shares of Duolingo from $408.00 to $410.00 and gave the company a “buy” rating in a report on Monday, January 27th. Finally, JPMorgan Chase & Co. upped their target price on Duolingo from $400.00 to $410.00 and gave the company an “overweight” rating in a research report on Friday, February 28th. Seven investment 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. According to data from MarketBeat, the company has an average rating of “Moderate Buy” and a consensus target price of $375.00.

Duolingo Stock Down 6.3 %

The company has a market cap of $12.19 billion, a P/E ratio of 151.41 and a beta of 0.92. 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 stock has a 50-day moving average of $354.84 and a 200 day moving average of $314.76.

Duolingo (NASDAQ:DUOL) last issued its quarterly earnings results on Thursday, February 27th. The company reported $0.31 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.50 by ($0.19). The business had revenue of $209.55 million during the quarter, compared to the consensus estimate of $205.49 million. Duolingo had a net margin of 12.59% and a return on equity of 11.74%. Research analysts anticipate that Duolingo, Inc. will post 2.03 earnings per share for the current year.

Insider Activity

In related news, insider Natalie Glance sold 9,020 shares of the stock in a transaction on Wednesday, March 5th. The stock was sold at an average price of $290.59, for a total value of $2,621,121.80. Following the completion of the sale, the insider now directly owns 130,733 shares in the company, valued at $37,989,702.47. This represents a 6.45 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, CEO Ahn Luis Von sold 41,759 shares of Duolingo stock in a transaction dated Thursday, December 12th. The stock was sold at an average price of $340.29, for a total value of $14,210,170.11. The disclosure for this sale can be found here. Over the last three months, insiders have sold 313,159 shares of company stock valued at $107,512,184. 18.30% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Duolingo

Several institutional investors and hedge funds have recently made changes to their positions in the stock. Kensington Investment Counsel LLC boosted its holdings in Duolingo by 0.5% in the fourth quarter. Kensington Investment Counsel LLC now owns 5,633 shares of the company’s stock valued at $1,826,000 after acquiring an additional 30 shares during the last quarter. Lido Advisors LLC boosted its stake in shares of Duolingo by 0.3% in the 4th quarter. Lido Advisors LLC now owns 10,104 shares of the company’s stock valued at $3,276,000 after purchasing an additional 30 shares during the last quarter. Mount Lucas Management LP raised its stake in Duolingo by 2.4% during the third quarter. Mount Lucas Management LP now owns 1,340 shares of the company’s stock worth $378,000 after buying an additional 32 shares during the last quarter. CIBC Asset Management Inc grew its holdings in Duolingo by 3.1% during the 3rd quarter. CIBC Asset Management Inc now owns 1,061 shares of the company’s stock worth $299,000 after acquiring an additional 32 shares during the period. Finally, Atria Investments Inc lifted its stake in Duolingo by 3.9% in the fourth quarter. Atria Investments Inc now owns 1,029 shares of the company’s stock valued at $334,000 after buying an additional 39 shares during the period. Institutional investors and hedge funds 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.