Duolingo, Inc. (DUOL) Stock Analysis — April 2026 Rating, Price, and Forecast
Company Overview — What Does Duolingo, Inc. Do?
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. Duolingo, Inc. (DUOL) is classified as a mid-cap stock in the Technology sector, specifically within the Computer Software industry. The company is led by CEO Luis v. Ahn and employs approximately 600 people. With a market capitalization of $4.5B, DUOL is one of the notable companies in the Technology sector.
Duolingo, Inc. (DUOL) Stock Rating — Reduce (April 2026)
As of April 2026, Duolingo, Inc. receives a Reduce rating with a composite score of 35.5/100 and 2 out of 5 stars from the Blank Capital Research quantitative model.DUOL ranks #3,836 out of 4,446 stocks in our coverage universe. Within the Technology sector, Duolingo, Inc. ranks #462 of 584 stocks, placing it in the lower half of its Technology peers. The rating is generated by a multi-factor model that weighs quality (30%), momentum (25%), value (15%), investment (10%), stability (10%), and short interest (10%).
DUOL Stock Price and 52-Week Range
Duolingo, Inc. (DUOL) currently trades at $90.23. The stock lost $0.30 (0.3%) in the most recent trading session. The 52-week high for DUOL is $544.93, which means the stock is currently trading -83.4% from its annual peak. The 52-week low is $91.99, putting the stock -1.9% above its annual trough. Recent trading volume was 1.8M shares, reflecting moderate market activity.
Is DUOL Overvalued or Undervalued? — Valuation Analysis
Duolingo, Inc. (DUOL) carries a value factor score of 56/100 in the Blank Capital model, indicating fair valuation relative to historical norms. The trailing price-to-earnings ratio is 11.43x, compared to the Technology sector average of 45.27x — a discount of 75%. The price-to-book ratio stands at 3.36x, versus the sector average of 3.16x. The price-to-sales ratio is 4.77x, compared to 1.06x for the average Technology stock. On an enterprise value basis, DUOL trades at 42.77x EV/EBITDA, versus 12.79x for the sector.
Overall, DUOL's valuation appears roughly in line with sector benchmarks, suggesting the market is pricing the stock fairly given its current fundamentals and growth trajectory. Neither deep value nor significantly overpriced, the stock occupies a middle ground on valuation.
Duolingo, Inc. Profitability — ROE, Margins, and Quality Score
Duolingo, Inc. (DUOL) earns a quality factor score of 47/100, signaling below-average profitability metrics relative to the broader market. The return on equity (ROE) is 29.4%, compared to the Technology sector average of -1.4%, which demonstrates strong shareholder value creation. Return on assets (ROA) comes in at 19.9% versus the sector average of -1.0%.
On a margin basis, Duolingo, Inc. reports gross margins of 72.2%, compared to 50.9% for the sector. The operating margin is 10.9% (sector: -0.5%). Net profit margin stands at 38.2%, versus -1.5% for the average Technology stock. Revenue growth is running at 52.4% on a trailing basis, compared to 14.2% for the sector. Profitability is below benchmark levels, which may reflect industry headwinds, elevated reinvestment, or structural challenges.
DUOL Debt, Balance Sheet, and Financial Health
Duolingo, Inc. has a debt-to-equity ratio of 48.0%, compared to the Technology sector average of 43.0%. The low leverage indicates a conservative balance sheet with significant financial flexibility. The current ratio is 2.61x, indicating strong short-term liquidity. Total debt on the balance sheet is $0. Cash and equivalents stand at $1.01B.
DUOL has a beta of 1.37, meaning it is more volatile than the broader market — a $10,000 investment in DUOL would be expected to move 36.6% more than the S&P 500 on any given day. The stability factor score for Duolingo, Inc. is 33/100, suggesting elevated price swings that may be unsuitable for conservative portfolios.
Duolingo, Inc. Revenue and Earnings History — Quarterly Trend
In TTM 2026, Duolingo, Inc. reported revenue of $947M and earnings per share (EPS) of $9.05. Net income for the quarter was $395M. Gross margin was 72.2%. Operating income came in at $106M.
In FY 2025, Duolingo, Inc. reported revenue of $1.04B and earnings per share (EPS) of $9.05. Net income for the quarter was $414M. Gross margin was 72.2%. Revenue grew 38.7% year-over-year compared to FY 2024. Operating income came in at $136M.
In Q3 2025, Duolingo, Inc. reported revenue of $272M and earnings per share (EPS) of $6.36. Net income for the quarter was $292M. Gross margin was 72.5%. Revenue grew 41.1% year-over-year compared to Q3 2024. Operating income came in at $35M.
In Q2 2025, Duolingo, Inc. reported revenue of $252M and earnings per share (EPS) of $0.98. Net income for the quarter was $45M. Gross margin was 72.4%. Revenue grew 41.5% year-over-year compared to Q2 2024. Operating income came in at $33M.
Over the past 8 quarters, Duolingo, Inc. has demonstrated a growth trajectory, with revenue expanding from $178M to $947M. Investors analyzing DUOL stock should weigh these quarterly trends alongside the valuation and quality metrics discussed above.
DUOL Dividend Yield and Income Analysis
Duolingo, Inc. (DUOL) does not currently pay a dividend. This is common among smaller companies in the Computer Software industry that prefer to reinvest cash flows into business expansion rather than returning capital to shareholders. Income-focused investors looking for Technology dividend stocks may want to explore other Technology stocks or use the stock screener to filter by dividend yield.
DUOL Momentum and Technical Analysis Profile
Duolingo, Inc. (DUOL) has a momentum factor score of 10/100, signaling weak relative price performance. Stocks with low momentum scores have historically tended to continue underperforming in the near term. The investment factor score is 22/100, which measures capital allocation efficiency and asset growth patterns. The short interest score of 50/100 reflects moderate short selling activity.
DUOL vs Competitors — Technology Sector Ranking and Peer Comparison
Within the Technology sector, Duolingo, Inc. (DUOL) ranks #462 out of 584 stocks based on the Blank Capital composite score. This places DUOL in the lower half of all Technology stocks in our coverage universe. Key competitors and sector peers include IHS Holding Ltd (IHS) with a score of 55.0/100, VERISIGN INC/CA (VRSN) with a score of 56.0/100, ESCO TECHNOLOGIES INC (ESE) with a score of 51.7/100, CareCloud, Inc. (CCLD) with a score of 46.9/100, and MMTec, Inc. (MTC) with a score of 47.4/100.
Comparing DUOL against the S&P 500 benchmark is also instructive for understanding relative performance. Investors can view the full DUOL vs S&P 500 (SPY) comparison to assess how Duolingo, Inc. stacks up against the broader market across all factor dimensions.
DUOL Next Earnings Date
No upcoming earnings date has been announced for Duolingo, Inc. (DUOL) at this time. Check the earnings calendar for the latest scheduling updates across all stocks in our coverage universe.
Should You Buy DUOL? — Investment Thesis Summary
The quantitative profile for Duolingo, Inc. suggests caution. Momentum is weak at 10/100, a headwind for near-term performance. High volatility (stability score 33/100) increases portfolio risk.
In summary, Duolingo, Inc. (DUOL) earns a Reduce rating with a composite score of 35.5/100 as of April 2026. The rating is derived from the Blank Capital Research methodology, which combines six factor dimensions into a single quantitative ranking. Investors should consider these quantitative signals alongside their own fundamental research, risk tolerance, and investment time horizon before making buy or sell decisions on DUOL stock.
Related Resources for DUOL Investors
Explore more research and tools: DUOL vs S&P 500 comparison, top Technology stocks, stock screener, our methodology, quality factor explained, value factor explained, momentum factor explained. Compare DUOL head-to-head with peers: DUOL vs IHS, DUOL vs VRSN, DUOL vs ESE.