DUOL
Duolingo, Inc.

Duolingo, Inc.DUOL

Technology · Software - Application
160.42USD
+2.17%
Nov 09, 2026
DUOL overview ready
AI-Enabled Adaptive Language Learning Platform for Consumers
Duolingo is a direct consumer-facing adaptive-learning platform, using gamified mobile courses and AI-enabled features to support language learning while expanding into adjacent subjects and English-language assessment.
Theme not measured
Online Learning has no leadership state this session.
Advancing price action
Longer-term context reads early recovery, with a near-term setup of daily advance.
Fair valuation
The price broadly reflects the cash the business actually produces, with upside and risk reasonably balanced.
Solid fundamentals
Free cash flow yield is strong.
Primary risk
Competition from other digital learning platforms.
Market Nov 6Filing Sep 30Price action Nov 8Research Oct 17

Conviction Level

Theme Momentum has no canonical measurement for this company — a research-profile dimension, not an input to this score.

PriceAction8.6BusinessPerformance4.0BusinessQuality7.8Valuation3.5ThemeMomentum—Decelerating — Revenue is still growing (+14% YoY), but growth has slowed for 3 consecutive quarters, down from +35%. Diluted EPS fell 91% year over year to $0.54. — From filed financial statements. Describes the recent trajectory of the business, not the stock. 20 of the 100 Conviction points.

Conviction uses Price Action, Business Performance, Business Quality, Valuation. Theme Momentum is research context, not an input.

Theme momentumPrimary theme · group context, not entry timing
Online Learning — Online Learning has only one or two priced members — no leadership state
Its economic family, Consumer & Internet, reads Improving (+6.0pp vs SPY) — the family’s reading, not this theme’s.
Price
Loading price history…

Price Action

Advancing price action
Longer-term context reads early recovery, with a near-term setup of daily advance.
EntryReset + recovery

The stock is still rebuilding below its long-term weekly base, and the recent reset toward the daily SMA200 aligned with support at the weekly EMA21. Daily structure is recovering above the fast averages, improving the current entry location.

Key Financials

Market Cap
$2.1B
Avg Volume (60D)
1.2M
60 sessions
Revenue Growth YoY
+38.7%
FY2025 vs FY2024
Gross Margin
+72.8%
Trailing twelve months
Operating Margin
+12.4%
Trailing twelve months
Free Cash Flow Yield
+19.8%
Distance from 200DMA
+29.5%
P/E
14.1x
Market metrics as of Nov 6, 2026
Financial results for the period ended Sep 30, 2026
Filed balance-sheet data as of Sep 30, 2026

Business Performance

Decelerating

Revenue is still growing (+14% YoY), but growth has slowed for 3 consecutive quarters, down from +35%. Diluted EPS fell 91% year over year to $0.54.

Latest reported: Q3 FY2026, ended Sep 30
Revenue growthSlowing
+14%
$309M in Q3 FY2026 · YoY
YoY growth, last 4 quarters
  1. +35%
  2. +27%
  3. +18%
  4. +14%
Earnings growthDeclining
-91%
Diluted EPS $0.54 vs $5.95 a year earlier · GAAP
Diluted EPS YoY (GAAP), last 4 quarters
  1. n/a
  2. +24%
  3. -28%
  4. -91%
Operating marginContracting
7.8%
-5.1 pp YoY · gross margin 72.9% (+0.4 pp)

Business Quality

7.8 / 10

How well the business earns on its assets, converts earnings to cash and funds itself — read from its SEC filings.

Fundamentals & Valuation

0 of the one valuation perspectives say fair; peers is the dissenting view.
Duolingo, Inc. has a Fair valuation stance because the price broadly reflects the cash the business actually produces, with upside and risk reasonably balanced.

Company Research

Thesis
Duolingo is a direct consumer-facing adaptive-learning platform, using gamified mobile courses and AI-enabled features to support language learning while expanding into adjacent subjects and English-language assessment.
Opportunity
Moderate opportunity
Digital-learning platforms using AI, learner data, and interactive product design to deliver personalized instruction, practice, assessment, and learning pathways at consumer or institutional scale.
Key risk
Competition from other digital learning platforms.

Economic classification

Loading the economic classification…

Business & Markets

Technology · Software - Application
What they do

Duolingo operates a mobile learning platform offering language education through gamified courses and AI-enabled adaptive learning features accessible via its app globally.

How it earns

The company primarily generates revenue through subscription fees and digital assessment exam fees.

Products & services
Duolingo language learning app
Digital English language proficiency assessment exam
Customers & end markets
Individual consumers
Educational institutions and learners globally
Market position

Leader in consumer-facing language learning platforms with a strong brand and broad course offerings.

Demand drivers
Low cyclicality

Demand for language learning and skills development is relatively stable and driven by long-term educational trends.