Duolingo (DUOL): a drop you might be overlooking 🦉📉📈

$DUOL shares have fallen about 46% over the past year from an ATH of $353 to about $144 today. A scary number at first glance. But what's hiding beneath the surface?

📊 The fundamentals look different from what the drop might suggest:

2025 revenue: $1.04 billion (+38.7% y/y)

Profit: $414 million (+367% y/y)

Gross margin 72%+, low debt

The market punished the stock mainly due to repeated earnings misses and insider selling (over $112 million in sales). But recent weeks show a shift in sentiment – Evercore ISI raised its price target from $105 to $210 and DA Davidson from $130 to $160, both citing strong user growth and better monetization.

My read: DUOL is now trading at the crossroads of "a growth story that lost market confidence" vs. "a quality business at a discount". Insider selling and inconsistent earnings are real red flags, but a 72% margin and accelerating DAU growth are not things I would ignore.

I'm watching, not buying (yet). What do you think – a value trap, or a real opportunity?