Key Stats for Duolingo Stock
- Price Change for DUOL stock: 26%
- Current Share Price: $422
- 52-Week High: $545
- DUOL Stock Price Target: $492
What Happened?
Duolingo (DUOL) stock soared 26% today following the language-learning platform’s stellar second-quarter earnings report. The company delivered a standout performance that exceeded Wall Street expectations across key metrics.
In Q2, DUOL stock reported earnings of $1.70 per share, crushing analysts’ expectations of $1.28 per share. Revenue surged 41% year-over-year to $252.3 million, nearly 5% higher than the consensus estimate of $240.8 million.
Moreover, the company’s total bookings soared 84% to $44.8 million, while monthly active users grew 24% to 128.3 million.
Beyond the strong headline numbers, Duolingo demonstrated robust momentum in its AI-powered premium tiers.
The company’s Max subscription, featuring AI conversation practice with character “Lily,” continued to gain traction despite some early adoption challenges among beginner users.
Management also highlighted strong performance from its new “Energy” system, which replaces the previous “Hearts” mechanic and has shown positive impacts on user engagement, retention, and conversion rates.
See analysts’ growth forecasts and price targets for Duolingo (It’s free!) >>>
What the Market Is Telling Us About DUOL Stock
The market’s enthusiastic reaction to DUOL stock reflects investor confidence in Duolingo’s transformation from a simple language-learning app into a comprehensive AI-powered education platform.
Duolingo’s ability to consistently beat earnings expectations while expanding into new subjects like Chess, Math, and Music has validated its growth strategy.
Wall Street analysts maintain a consensus “Buy” rating with an average price target of $492, implying significant upside potential from current levels.
Based on consensus estimates, our valuation model expects DUOL stock to touch almost $1,100 by the end of 2029. In the last three years, Duolingo stock has returned close to 300% to shareholders.
The strong performance has been driven by the successful monetization of AI features, international expansion (robust growth in China), and the rollout of innovative engagement mechanics.
Management raised full-year guidance again, signaling continued confidence in the business trajectory.
The company’s expansion beyond language learning, combined with record profitability and strong user growth, positions Duolingo well to capitalize on the growing global demand for accessible, AI-enhanced education.
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Disclaimer:
Please note that the articles on TIKR are not intended to serve as investment or financial advice from TIKR or our content team, nor are they recommendations to buy or sell any stocks. We create our content based on TIKR Terminal’s investment data and analysts’ estimates. Our analysis might not include recent company news or important updates. TIKR has no position in any stocks mentioned. Thank you for reading, and happy investing!
