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Duolingo, Inc. (DUOL) Rises Higher Than Market: Key Facts

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The most recent trading session ended with Duolingo, Inc. (DUOL - Free Report) standing at $294.81, reflecting a +1.57% shift from the previouse trading day's closing. This change outpaced the S&P 500's 0.16% gain on the day. Meanwhile, the Dow experienced a drop of 0.37%, and the technology-dominated Nasdaq saw an increase of 0.78%.

Shares of the company witnessed a gain of 2.91% over the previous month, beating the performance of the Business Services sector with its gain of 2.81% and the S&P 500's gain of 1.67%.

Analysts and investors alike will be keeping a close eye on the performance of Duolingo, Inc. in its upcoming earnings disclosure. The company's earnings report is set to go public on November 6, 2024. The company's earnings per share (EPS) are projected to be $0.36, reflecting a 500% increase from the same quarter last year. In the meantime, our current consensus estimate forecasts the revenue to be $188.67 million, indicating a 37.09% growth compared to the corresponding quarter of the prior year.

For the full year, the Zacks Consensus Estimates are projecting earnings of $1.87 per share and revenue of $736.1 million, which would represent changes of +434.29% and +38.6%, respectively, from the prior year.

Investors might also notice recent changes to analyst estimates for Duolingo, Inc. Such recent modifications usually signify the changing landscape of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.

The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. Duolingo, Inc. currently has a Zacks Rank of #1 (Strong Buy).

Looking at its valuation, Duolingo, Inc. is holding a Forward P/E ratio of 155.35. Its industry sports an average Forward P/E of 25.35, so one might conclude that Duolingo, Inc. is trading at a premium comparatively.

The Technology Services industry is part of the Business Services sector. At present, this industry carries a Zacks Industry Rank of 47, placing it within the top 19% of over 250 industries.

The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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