Duolingo (NASDAQ:DUOL) Hits New 52-Week Low After Insider Selling

Duolingo, Inc. (NASDAQ:DUOL) reached a new 52-week low on Monday after an insider sold shares in the company. The stock traded as low as $105.55 and last traded at $107.3250, with a volume of 310680 shares trading hands. The stock had previously closed at $112.94.

Specifically, insider Natalie Glance sold 3,545 shares of the company’s stock in a transaction dated Wednesday, February 18th. The shares were sold at an average price of $113.51, for a total transaction of $402,392.95. Following the transaction, the insider owned 115,380 shares in the company, valued at approximately $13,096,783.80. This represents a 2.98% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, insider Natalie Glance sold 1,741 shares of the stock in a transaction dated Tuesday, February 17th. The stock was sold at an average price of $110.06, for a total transaction of $191,614.46. Following the transaction, the insider directly owned 118,925 shares in the company, valued at $13,088,885.50. This trade represents a 1.44% decrease in their position. The SEC filing for this sale provides additional information. In related news, General Counsel Stephen C. Chen sold 1,901 shares of the business’s stock in a transaction dated Wednesday, February 18th. The stock was sold at an average price of $113.26, for a total value of $215,307.26. Following the completion of the sale, the general counsel directly owned 30,545 shares of the company’s stock, valued at $3,459,526.70. The trade was a 5.86% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at the SEC website.

Wall Street Analyst Weigh In

Several research analysts have issued reports on the company. JPMorgan Chase & Co. cut their price target on Duolingo from $300.00 to $200.00 and set an “overweight” rating on the stock in a report on Tuesday, January 20th. Morgan Stanley lowered their target price on Duolingo from $275.00 to $245.00 and set an “overweight” rating on the stock in a research report on Tuesday, February 3rd. UBS Group set a $245.00 price target on shares of Duolingo in a research report on Monday, January 5th. Scotiabank decreased their price target on shares of Duolingo from $600.00 to $300.00 and set a “sector outperform” rating for the company in a research note on Thursday, November 6th. Finally, Citizens Jmp lowered shares of Duolingo from a “market outperform” rating to a “hold” rating in a research note on Thursday, November 6th. Eleven research analysts have rated the stock with a Buy rating, eleven have assigned a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat.com, Duolingo currently has a consensus rating of “Hold” and an average target price of $292.37.

Duolingo Stock Performance

The company’s 50 day moving average price is $148.93 and its 200-day moving average price is $227.76. The stock has a market cap of $5.06 billion, a P/E ratio of 13.87, a price-to-earnings-growth ratio of 0.57 and a beta of 0.86. The company has a debt-to-equity ratio of 0.07, a quick ratio of 2.82 and a current ratio of 2.82.

Institutional Investors Weigh In On Duolingo

A number of institutional investors have recently added to or reduced their stakes in the company. Baillie Gifford & Co. lifted its position in shares of Duolingo by 71.9% during the 4th quarter. Baillie Gifford & Co. now owns 4,861,445 shares of the company’s stock worth $853,184,000 after buying an additional 2,033,611 shares in the last quarter. Dragoneer Investment Group LLC increased its position in shares of Duolingo by 324.4% during the third quarter. Dragoneer Investment Group LLC now owns 1,580,787 shares of the company’s stock valued at $508,760,000 after acquiring an additional 1,208,346 shares during the last quarter. State of Michigan Retirement System lifted its holdings in Duolingo by 5,800.0% during the fourth quarter. State of Michigan Retirement System now owns 560,500 shares of the company’s stock worth $98,368,000 after acquiring an additional 551,000 shares during the period. FIL Ltd boosted its position in Duolingo by 1,715,575.9% in the fourth quarter. FIL Ltd now owns 497,546 shares of the company’s stock worth $87,319,000 after purchasing an additional 497,517 shares during the last quarter. Finally, Norges Bank purchased a new position in Duolingo in the fourth quarter worth $86,159,000. 91.59% of the stock is owned by institutional investors.

Duolingo Company Profile

Duolingo, Inc (NASDAQ:DUOL) is a technology-driven education company that operates a widely used language-learning platform. Founded in 2011 by Luis von Ahn and Severin Hacker, Duolingo offers a freemium service featuring bite-sized lessons, gamified exercises and adaptive learning algorithms. The company’s core product is its mobile and web application, which supports instruction in more than 40 languages, ranging from widely spoken tongues such as English and Spanish to lesser-taught options including Irish and Swahili.

In addition to its flagship language courses, Duolingo has expanded its product suite to include the Duolingo English Test, an on-demand, computer-based English proficiency exam designed for academic and professional admissions.