🟢 Duolingo at an all-time high!
Duolingo $DUOL, known in the digital language learning industry, demonstrated a strong combination of growth, profitability and user momentum in Q1. The stock responded with a sharp rise of more than 20 % to a record $487.
📊 Key numbers (y/y comparisons):
Revenue: $230.7 million. USD (+38%)
Earnings per share (EPS): USD 0.72 - well above estimates
Daily Active Users (DAU): 46.6 million (+~50%)
Paid subscriptions: 10.3 million (+40%)
All metrics beat analyst estimates.
🚀 The growth potential doesn't stop there:
The company raised its full-year revenue guidance to $987-996 million. USD 987-98 MILLION (previously: USD 962.5-978.5 million). JPMorgan analysts responded by raising the target price from USD 360 to USD 500 and reiterated an Overweight rating, a strong Buy recommendation.
🔍 Reasons for analysts' optimism:
Duolingo continues to expand its language library with 148 new courses, more than doubling its current offering.
The company is also innovating outside the language area, with the launch of a chess course, and this is just the beginning.
Generative artificial intelligence is playing a significant role, helping to expand learning content at minimal cost.
Duolingo is successfully transitioning from a language learning app to a broadly focused and evolved education platform with a high growth rate and low dependence on traditional advertising models. The results for Q1 show that the company has a functional monetization model, a loyal user base and a strong technology background.
What is your opinion of Duolingo? Do you use the company's services?
I'd really like to buy, but it's still high.
Also a big surprise for me and it's great. I've watched them below but I couldn't guess with them, they still seemed expensive and I wasn't expecting this. So the stock is not in my portfolio and also this price seems high. 🤷♂️
I've been using their app for quite a while, but I haven't bought their stock yet. I wouldn't buy until around $300.
A great business that is growing at a very nice rate. Unfortunately, I don't have the stock in my portfolio and I definitely won't be buying at the current price.