Duolingo (NASDAQ:DUOL) Price Target Lowered to $145.00 at Needham & Company LLC

Duolingo (NASDAQ:DUOL) had its price objective cut by equities research analysts at Needham & Company LLC from $300.00 to $145.00 in a research report issued to clients and investors on Friday,Benzinga reports. The brokerage presently has a “buy” rating on the stock. Needham & Company LLC’s target price indicates a potential upside of 23.46% from the stock’s previous close.

A number of other research firms have also weighed in on DUOL. KeyCorp lowered Duolingo from an “overweight” rating to a “sector weight” rating in a report on Thursday, November 6th. Truist Financial set a $245.00 price objective on shares of Duolingo in a research report on Thursday, January 15th. BMO Capital Markets upgraded shares of Duolingo to a “buy” rating in a research note on Monday, January 12th. UBS Group set a $245.00 price target on shares of Duolingo in a research report on Monday, January 5th. Finally, Evercore set a $330.00 price target on shares of Duolingo and gave the stock an “outperform” rating in a report on Thursday, November 6th. Ten equities research analysts have rated the stock with a Buy rating, twelve have given a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, Duolingo has an average rating of “Hold” and a consensus target price of $276.58.

Duolingo Stock Up 5.2%

Duolingo stock opened at $117.45 on Friday. The firm has a 50 day simple moving average of $146.18 and a 200 day simple moving average of $226.19. The company has a current ratio of 2.82, a quick ratio of 2.82 and a debt-to-equity ratio of 0.07. Duolingo has a 1-year low of $104.51 and a 1-year high of $544.93. The firm has a market capitalization of $5.43 billion, a price-to-earnings ratio of 14.89, a P/E/G ratio of 0.60 and a beta of 0.86.

Insider Transactions at Duolingo

In related news, insider Natalie Glance sold 3,545 shares of the business’s stock in a transaction that occurred on Wednesday, February 18th. The stock was sold at an average price of $113.51, for a total value of $402,392.95. Following the completion of the sale, the insider owned 115,380 shares in the company, valued at $13,096,783.80. The trade was a 2.98% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. Also, General Counsel Stephen C. Chen sold 1,901 shares of the company’s stock in a transaction that occurred on Wednesday, February 18th. The stock was sold at an average price of $113.26, for a total value of $215,307.26. Following the completion of the sale, the general counsel directly owned 30,545 shares of the company’s stock, valued at approximately $3,459,526.70. This represents a 5.86% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders sold 14,939 shares of company stock worth $1,676,291. 15.67% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Duolingo

A number of institutional investors have recently made changes to their positions in the business. New York Life Investment Management LLC raised its position in Duolingo by 0.7% in the 2nd quarter. New York Life Investment Management LLC now owns 4,067 shares of the company’s stock worth $1,668,000 after purchasing an additional 30 shares during the period. Meiji Yasuda Asset Management Co Ltd. boosted its position in Duolingo by 3.5% during the second quarter. Meiji Yasuda Asset Management Co Ltd. now owns 940 shares of the company’s stock valued at $385,000 after buying an additional 32 shares during the period. Evergreen Capital Management LLC grew its stake in shares of Duolingo by 5.0% during the second quarter. Evergreen Capital Management LLC now owns 818 shares of the company’s stock valued at $335,000 after buying an additional 39 shares during the last quarter. Generali Investments Towarzystwo Funduszy Inwestycyjnych increased its holdings in shares of Duolingo by 22.2% in the third quarter. Generali Investments Towarzystwo Funduszy Inwestycyjnych now owns 220 shares of the company’s stock worth $71,000 after buying an additional 40 shares during the period. Finally, True Wealth Design LLC increased its holdings in shares of Duolingo by 38.6% in the second quarter. True Wealth Design LLC now owns 176 shares of the company’s stock worth $72,000 after buying an additional 49 shares during the period. Hedge funds and other institutional investors own 91.59% of the company’s stock.

Duolingo News Roundup

Here are the key news stories impacting Duolingo this week:

• Positive Sentiment: Q4 beats: Duolingo reported $0.91 EPS (above $0.78 est.) and $282.9M revenue (above ~$276M est.), and said it closed 2025 with >50M DAU and >$1B in bookings — evidence of strong underlying user and profitability metrics. Press Release
• Positive Sentiment: Long-term user target: Management set a goal of ~20% DAU growth and 100M users by 2028, signaling an aggressive growth push that could expand monetization opportunities if achieved. Seeking Alpha
• Neutral Sentiment: AI and buyback discussion: Management plans increased AI investment and has discussed buyback activity; these moves aim to defend market position but raise near-term cost and valuation questions. Yahoo Finance
• Negative Sentiment: Strategy shift hits guidance: Duolingo warned FY‑2026 revenue ~ $1.2B vs. consensus ~$1.3B and Q1 revenue ~$288.5M vs. ~$289.3M est., and forecast softer bookings as it prioritizes DAU growth — the weaker forward outlook spooked investors. WSJ
• Negative Sentiment: Market reaction and volatility: Coverage and headlines note a sharp share drop after the call as Wall Street reacts negatively to sacrificing near-term revenue for DAU — Barron’s calls the strategy shake‑up a key reason for the stock plunge. Barron’s
• Negative Sentiment: Investor/legal risk: A law firm (Johnson Fistel) announced an investigation into potential securities claims tied to Duolingo executives, which can increase legal uncertainty and investor concern. Newsfile
• Negative Sentiment: Rising short interest: Short interest jumped in February (to ~23% of float), raising the potential for continued selling pressure and volatility. InsiderMonkey

About Duolingo

Duolingo, Inc (NASDAQ:DUOL) is a technology-driven education company that operates a widely used language-learning platform. Founded in 2011 by Luis von Ahn and Severin Hacker, Duolingo offers a freemium service featuring bite-sized lessons, gamified exercises and adaptive learning algorithms. The company’s core product is its mobile and web application, which supports instruction in more than 40 languages, ranging from widely spoken tongues such as English and Spanish to lesser-taught options including Irish and Swahili.

In addition to its flagship language courses, Duolingo has expanded its product suite to include the Duolingo English Test, an on-demand, computer-based English proficiency exam designed for academic and professional admissions.