DUOL

Duolingo, Inc.

Fundamental data last updated:September 30, 2026

We may earn a commission from partner links. This content is for informational purposes only and is not financial advice. Information may be delayed or inaccurate.

company profile

SECTOR

Technology

industry

Software - Application

Exchange

NASDAQ

County of HQ

US

Next Earnings Date

Pending Announcement

Business Summary

Duolingo, Inc. develops a language-learning website and mobile app in the United States and China. The company offers courses in 40 different languages, including Spanish, English, French, Japanese, German, Italian, Chinese, Portuguese, and others. It also provides a digital language proficiency assessment exam. The company was incorporated in 2011 and is headquartered in Pittsburgh, Pennsylvania.

 


Analyze DUOL on TradingView

VALUATION

P/E

12.04

Market Cap ($M USD)

$5.06B

Forward P/E

27.81

PEG

-0.49

PRICE TO SALES

4.61

PRICE TO BOOK

3.65

EV / EBITDA

22.64

5-Year Average P/E

Free Cash Flow Yield

8.22%

DCF Value

$460.24

Graham Number

$77.72

Price to FCF

12.17

EV to FCF

9.65

Earnings Yield

8.31%

FCF Yield

8.22%

DIVIDEND

Yield

0.00%

Annual Payout

$0.00

Payout Ratio

0.00%

Consecutive Years of Dividend Growth

5-Year Dividend Growth Rate

Financial Health & Profitability

Earnings Per Share

$9.03

Next Year EPS Growth Estimate

$3.91

Next Year Revenue Growth Estimate

$1.54B

Return on Equity (ROE)

33.63%

FREE CASH FLOW

Operating Margin

14.78%

Debt-to-Equity

0.07

Piotroski F-Score

5

Altman Z-Score

6.03

Return on Invested Capital (ROIC)

10.95%

Current Ratio

2.62

Quick Ratio

2.62

Net Debt to EBITDA

-5.90

Interest Coverage

0.00

Gross Profit margin

72.14%

FCF PER SHARE

$8.89

REVENUE PER SHARE

$23.48

Analyze DUOL on TradingView

Gainseekers Quantitative Analysis

Summary

Duolingo’s valuation presents a compelling narrative of mispricing. With a DCF value significantly higher than its snapshot price, the market appears to undervalue its potential. The Forward P/E suggests expectations of growth, yet the Earnings Yield indicates a modest return relative to its price. The robust Altman Z-score underscores financial stability, hinting at a resilient balance sheet. Overall, the stock seems undervalued given its intrinsic worth and financial health.

AI Exposure / Tech Reliance

As a player in the Software - Application industry, Duolingo is well-positioned to leverage AI advancements. Its tech-driven platform can seamlessly integrate AI to enhance user experience and learning efficiency. This adaptability ensures it remains competitive in a rapidly evolving tech landscape.

The Bull Case

For the discerning GARP investor, Duolingo offers a tantalizing proposition. With a strong ROIC of 10.57%, it demonstrates efficient capital use, while a solid FCF Yield underscores its cash-generating prowess. The Piotroski F-Score of 6 indicates decent financial health, and its impressive operating margin showcases pricing power. These metrics paint a picture of a company with both growth potential and operational efficiency.

The Bear Case

Despite its strengths, Duolingo faces structural challenges. The Price/Book and Price/Sales ratios suggest a premium valuation, potentially overextended relative to its fundamentals. The Forward P/E is notably high, indicating that future growth is already priced in. Additionally, the stock's proximity to its 52-week high raises concerns about technical overextension. These factors could deter risk-averse investors.

Market Sentiment & Smart Money

Short Interest %

Analyst Consensus

Hold

Average Analyst Price Target

$143.86

Institutional Ownership %

1-Year Beta

0.90

Insider Buying % (6 Mo)

Distance to 52-Week High

397.19%

Distance to 52-Week Low

19.12%

EARNINGS SURPRISE %

12.66%

50-DAY SMA

$102.60

200-DAY SMA

$187.76

⚠️ Financial Disclaimer:
This content is for informational purposes only and is not financial advice. Information may be delayed or inaccurate. We may earn a commission from partner links.