DUOLINGO (DUOL) Fundamental Analysis & Valuation

NASDAQ:DUOL • US26603R1068

Current stock price

103.45 USD
+3.16 (+3.15%)
At close:
103.25 USD
-0.2 (-0.19%)
After Hours:

This DUOL fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

6

1. DUOL Profitability Analysis

1.1 Basic Checks

  • DUOL had positive earnings in the past year.
  • DUOL had a positive operating cash flow in the past year.
  • In multiple years DUOL reported negative net income over the last 5 years.
  • Each year in the past 5 years DUOL had a positive operating cash flow.
DUOL Yearly Net Income VS EBIT VS OCF VS FCFDUOL Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2019 2020 2021 2022 2023 2024 2025 0 100M 200M 300M 400M

1.2 Ratios

  • DUOL has a better Return On Assets (20.78%) than 94.52% of its industry peers.
  • With an excellent Return On Equity value of 30.74%, DUOL belongs to the best of the industry, outperforming 91.78% of the companies in the same industry.
  • DUOL has a Return On Invested Capital of 8.49%. This is in the better half of the industry: DUOL outperforms 73.97% of its industry peers.
Industry RankSector Rank
ROA 20.78%
ROE 30.74%
ROIC 8.49%
ROA(3y)9.76%
ROA(5y)2.44%
ROE(3y)14.64%
ROE(5y)4.24%
ROIC(3y)N/A
ROIC(5y)N/A
DUOL Yearly ROA, ROE, ROICDUOL Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2019 2020 2021 2022 2023 2024 2025 0 10 -10 20 -20 30

1.3 Margins

  • DUOL has a better Profit Margin (39.91%) than 95.89% of its industry peers.
  • Looking at the Operating Margin, with a value of 13.61%, DUOL is in the better half of the industry, outperforming 73.97% of the companies in the same industry.
  • DUOL has a Gross Margin of 72.23%. This is amongst the best in the industry. DUOL outperforms 87.67% of its industry peers.
  • DUOL's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 13.61%
PM (TTM) 39.91%
GM 72.23%
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.39%
GM growth 5Y0.19%
DUOL Yearly Profit, Operating, Gross MarginsDUOL Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2019 2020 2021 2022 2023 2024 2025 0 20 -20 40 60

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8

2. DUOL Health Analysis

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so DUOL is destroying value.
  • Compared to 1 year ago, DUOL has more shares outstanding
  • Compared to 5 years ago, DUOL has more shares outstanding
  • DUOL has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
DUOL Yearly Shares OutstandingDUOL Yearly Shares OutstandingYearly Shares Outstanding 2019 2020 2021 2022 2023 2024 2025 10M 20M 30M 40M
DUOL Yearly Total Debt VS Total AssetsDUOL Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2019 2020 2021 2022 2023 2024 2025 500M 1B 1.5B

2.2 Solvency

  • DUOL has an Altman-Z score of 5.87. This indicates that DUOL is financially healthy and has little risk of bankruptcy at the moment.
  • Looking at the Altman-Z score, with a value of 5.87, DUOL belongs to the top of the industry, outperforming 90.41% of the companies in the same industry.
  • There is no outstanding debt for DUOL. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
Industry RankSector Rank
Debt/Equity 0
Debt/FCF 0
Altman-Z 5.87
ROIC/WACC0.95
WACC8.95%
DUOL Yearly LT Debt VS Equity VS FCFDUOL Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2019 2020 2021 2022 2023 2024 2025 0 200M 400M 600M 800M 1B

2.3 Liquidity

  • DUOL has a Current Ratio of 2.61. This indicates that DUOL is financially healthy and has no problem in meeting its short term obligations.
  • With an excellent Current ratio value of 2.61, DUOL belongs to the best of the industry, outperforming 84.93% of the companies in the same industry.
  • A Quick Ratio of 2.61 indicates that DUOL has no problem at all paying its short term obligations.
  • DUOL has a Quick ratio of 2.61. This is amongst the best in the industry. DUOL outperforms 86.30% of its industry peers.
Industry RankSector Rank
Current Ratio 2.61
Quick Ratio 2.61
DUOL Yearly Current Assets VS Current LiabilitesDUOL Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2019 2020 2021 2022 2023 2024 2025 500M 1B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

6

3. DUOL Growth Analysis

3.1 Past

  • The Earnings Per Share has grown by an impressive 352.94% over the past year.
  • Looking at the last year, DUOL shows a very strong growth in Revenue. The Revenue has grown by 38.71%.
  • DUOL shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 45.03% yearly.
EPS 1Y (TTM)352.94%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%196.67%
Revenue 1Y (TTM)38.71%
Revenue growth 3Y41.08%
Revenue growth 5Y45.03%
Sales Q2Q%35%

3.2 Future

  • DUOL is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -18.44% yearly.
  • The Revenue is expected to grow by 16.61% on average over the next years. This is quite good.
EPS Next Y-65.14%
EPS Next 2Y-37.79%
EPS Next 3Y-18.44%
EPS Next 5YN/A
Revenue Next Year17.08%
Revenue Next 2Y15.54%
Revenue Next 3Y14.33%
Revenue Next 5Y16.61%

3.3 Evolution

  • The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
DUOL Yearly Revenue VS EstimatesDUOL Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 500M 1B 1.5B 2B
DUOL Yearly EPS VS EstimatesDUOL Yearly EPS VS EstimatesYearly EPS VS Estimates 2021 2022 2023 2024 2025 2026 2027 2028 0 2 -2 4 6 8

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4

4. DUOL Valuation Analysis

4.1 Price/Earnings Ratio

  • DUOL is valuated correctly with a Price/Earnings ratio of 12.21.
  • Compared to the rest of the industry, the Price/Earnings ratio of DUOL indicates a somewhat cheap valuation: DUOL is cheaper than 72.60% of the companies listed in the same industry.
  • Compared to an average S&P500 Price/Earnings ratio of 27.42, DUOL is valued rather cheaply.
  • The Price/Forward Earnings ratio is 35.04, which means the current valuation is very expensive for DUOL.
  • Compared to the rest of the industry, the Price/Forward Earnings ratio of DUOL is on the same level as its industry peers.
  • When comparing the Price/Forward Earnings ratio of DUOL to the average of the S&P500 Index (22.24), we can say DUOL is valued expensively.
Industry RankSector Rank
PE 12.21
Fwd PE 35.04
DUOL Price Earnings VS Forward Price EarningsDUOL Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

  • The rest of the industry has a similar Enterprise Value to EBITDA ratio as DUOL.
  • Compared to the rest of the industry, the Price/Free Cash Flow ratio of DUOL indicates a somewhat cheap valuation: DUOL is cheaper than 75.34% of the companies listed in the same industry.
Industry RankSector Rank
P/FCF 13.48
EV/EBITDA 22.26
DUOL Per share dataDUOL EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 5 10 15 20 25

4.3 Compensation for Growth

  • The decent profitability rating of DUOL may justify a higher PE ratio.
  • DUOL's earnings are expected to decrease with -18.44% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-37.79%
EPS Next 3Y-18.44%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

0

5. DUOL Dividend Analysis

5.1 Amount

  • No dividends for DUOL!.
Industry RankSector Rank
Dividend Yield 0%

More info and screens

Find the best dividend stocksShow peers with best dividend

DUOL Fundamentals: All Metrics, Ratios and Statistics

DUOLINGO

NASDAQ:DUOL (4/24/2026, 8:00:01 PM)

After market: 103.25 -0.2 (-0.19%)

103.45

+3.16 (+3.15%)

Chartmill FA Rating
GICS IndustryGroupConsumer Services
GICS IndustryDiversified Consumer Services
Earnings (Last)02-27
Earnings (Next)05-04
Inst Owners91.29%
Inst Owner Change-0.19%
Ins Owners1.21%
Ins Owner Change29.06%
Market Cap4.86B
Revenue(TTM)1.04B
Net Income(TTM)414.06M
Analysts67.74
Price Target134.68 (30.19%)
Short Float %20.48%
Short Ratio2.84
Dividend
Industry RankSector Rank
Dividend Yield 0%
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)334.86%
Min EPS beat(2)5.79%
Max EPS beat(2)663.94%
EPS beat(4)4
Avg EPS beat(4)190.28%
Min EPS beat(4)5.79%
Max EPS beat(4)663.94%
EPS beat(8)7
Avg EPS beat(8)114.88%
EPS beat(12)11
Avg EPS beat(12)111.44%
EPS beat(16)15
Avg EPS beat(16)91.52%
Revenue beat(2)1
Avg Revenue beat(2)0.31%
Min Revenue beat(2)-0.19%
Max Revenue beat(2)0.81%
Revenue beat(4)3
Avg Revenue beat(4)1.2%
Min Revenue beat(4)-0.19%
Max Revenue beat(4)2.76%
Revenue beat(8)4
Avg Revenue beat(8)0.32%
Revenue beat(12)7
Avg Revenue beat(12)0.46%
Revenue beat(16)10
Avg Revenue beat(16)0.63%
PT rev (1m)-53.56%
PT rev (3m)-54.77%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-19.95%
EPS NY rev (1m)-10.25%
EPS NY rev (3m)-33.39%
Revenue NQ rev (1m)-0.02%
Revenue NQ rev (3m)-0.5%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-4.19%
Valuation
Industry RankSector Rank
PE 12.21
Fwd PE 35.04
P/S 4.68
P/FCF 13.48
P/OCF 12.52
P/B 3.61
P/tB 3.78
EV/EBITDA 22.26
EPS(TTM)8.47
EY8.19%
EPS(NY)2.95
Fwd EY2.85%
FCF(TTM)7.68
FCFY7.42%
OCF(TTM)8.26
OCFY7.98%
SpS22.1
BVpS28.69
TBVpS27.33
PEG (NY)N/A
PEG (5Y)N/A
Graham Number73.9435 (-28.52%)
Profitability
Industry RankSector Rank
ROA 20.78%
ROE 30.74%
ROCE 9.8%
ROIC 8.49%
ROICexc 40.68%
ROICexgc 51.61%
OM 13.61%
PM (TTM) 39.91%
GM 72.23%
FCFM 34.74%
ROA(3y)9.76%
ROA(5y)2.44%
ROE(3y)14.64%
ROE(5y)4.24%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.39%
GM growth 5Y0.19%
F-Score4
Asset Turnover0.52
Health
Industry RankSector Rank
Debt/Equity 0
Debt/FCF 0
Debt/EBITDA 0
Cap/Depr 190.39%
Cap/Sales 2.64%
Interest Coverage 250
Cash Conversion 249.2%
Profit Quality 87.05%
Current Ratio 2.61
Quick Ratio 2.61
Altman-Z 5.87
F-Score4
WACC8.95%
ROIC/WACC0.95
Cap/Depr(3y)192.68%
Cap/Depr(5y)202.71%
Cap/Sales(3y)2.68%
Cap/Sales(5y)2.65%
Profit Quality(3y)418.81%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)352.94%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%196.67%
EPS Next Y-65.14%
EPS Next 2Y-37.79%
EPS Next 3Y-18.44%
EPS Next 5YN/A
Revenue 1Y (TTM)38.71%
Revenue growth 3Y41.08%
Revenue growth 5Y45.03%
Sales Q2Q%35%
Revenue Next Year17.08%
Revenue Next 2Y15.54%
Revenue Next 3Y14.33%
Revenue Next 5Y16.61%
EBIT growth 1Y121.35%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year113.01%
EBIT Next 3Y41.29%
EBIT Next 5Y42.61%
FCF growth 1Y36.33%
FCF growth 3Y102.3%
FCF growth 5Y92.33%
OCF growth 1Y35.83%
OCF growth 3Y93.35%
OCF growth 5Y85.39%

DUOLINGO / DUOL Fundamental Analysis FAQ

What is the fundamental rating for DUOL stock?

ChartMill assigns a fundamental rating of 6 / 10 to DUOL.


Can you provide the valuation status for DUOLINGO?

ChartMill assigns a valuation rating of 4 / 10 to DUOLINGO (DUOL). This can be considered as Fairly Valued.


What is the profitability of DUOL stock?

DUOLINGO (DUOL) has a profitability rating of 6 / 10.


Can you provide the financial health for DUOL stock?

The financial health rating of DUOLINGO (DUOL) is 8 / 10.


Can you provide the expected EPS growth for DUOL stock?

The Earnings per Share (EPS) of DUOLINGO (DUOL) is expected to decline by -65.14% in the next year.