Logo image of DUOL

DUOLINGO (DUOL) Stock Fundamental Analysis

USA - Nasdaq - NASDAQ:DUOL - US26603R1068 - Common Stock

150.16 USD
-4.26 (-2.76%)
Last: 1/16/2026, 8:07:48 PM
151.444 USD
+1.28 (+0.86%)
After Hours: 1/16/2026, 8:07:48 PM
Fundamental Rating

6

DUOL gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 76 industry peers in the Diversified Consumer Services industry. DUOL has an excellent financial health rating, but there are some minor concerns on its profitability. DUOL is showing excellent growth while it is valued at reasonable prices. Keep and eye on this one! These ratings would make DUOL suitable for growth investing!


Dividend Valuation Growth Profitability Health

6

1. Profitability

1.1 Basic Checks

  • DUOL had positive earnings in the past year.
  • In the past year DUOL had a positive cash flow from operations.
  • 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 0 100M 200M

1.2 Ratios

  • DUOL has a better Return On Assets (20.47%) than 93.42% of its industry peers.
  • DUOL's Return On Equity of 29.52% is amongst the best of the industry. DUOL outperforms 88.16% of its industry peers.
  • Looking at the Return On Invested Capital, with a value of 7.05%, DUOL is in the better half of the industry, outperforming 71.05% of the companies in the same industry.
Industry RankSector Rank
ROA 20.47%
ROE 29.52%
ROIC 7.05%
ROA(3y)0.17%
ROA(5y)-3.51%
ROE(3y)0.73%
ROE(5y)-5%
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 0 10 -10 -20

1.3 Margins

  • DUOL's Profit Margin of 40.03% is amongst the best of the industry. DUOL outperforms 96.05% of its industry peers.
  • DUOL has a Operating Margin of 11.58%. This is in the better half of the industry: DUOL outperforms 71.05% of its industry peers.
  • With an excellent Gross Margin value of 71.99%, DUOL belongs to the best of the industry, outperforming 88.16% of the companies in the same industry.
  • DUOL's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 11.58%
PM (TTM) 40.03%
GM 71.99%
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.17%
GM growth 5Y0.58%
DUOL Yearly Profit, Operating, Gross MarginsDUOL Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2019 2020 2021 2022 2023 2024 0 20 -20 40 60

8

2. Health

2.1 Basic Checks

  • DUOL has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
  • DUOL has more shares outstanding than it did 1 year ago.
  • DUOL has more shares outstanding than it did 5 years ago.
  • 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 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 200M 400M 600M 800M 1B

2.2 Solvency

  • An Altman-Z score of 8.66 indicates that DUOL is not in any danger for bankruptcy at the moment.
  • DUOL has a better Altman-Z score (8.66) than 98.68% of its industry peers.
  • DUOL has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
Industry RankSector Rank
Debt/Equity 0
Debt/FCF 0
Altman-Z 8.66
ROIC/WACC0.79
WACC8.88%
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 0 200M 400M 600M 800M

2.3 Liquidity

  • A Current Ratio of 2.82 indicates that DUOL has no problem at all paying its short term obligations.
  • DUOL has a Current ratio of 2.82. This is amongst the best in the industry. DUOL outperforms 84.21% of its industry peers.
  • DUOL has a Quick Ratio of 2.82. This indicates that DUOL is financially healthy and has no problem in meeting its short term obligations.
  • DUOL's Quick ratio of 2.82 is amongst the best of the industry. DUOL outperforms 84.21% of its industry peers.
Industry RankSector Rank
Current Ratio 2.82
Quick Ratio 2.82
DUOL Yearly Current Assets VS Current LiabilitesDUOL Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2019 2020 2021 2022 2023 2024 200M 400M 600M 800M 1B

8

3. Growth

3.1 Past

  • The Earnings Per Share has grown by an impressive 330.60% over the past year.
  • Looking at the last year, DUOL shows a very strong growth in Revenue. The Revenue has grown by 39.86%.
  • DUOL shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 60.26% yearly.
EPS 1Y (TTM)330.6%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%1114.29%
Revenue 1Y (TTM)39.86%
Revenue growth 3Y43.95%
Revenue growth 5Y60.26%
Sales Q2Q%41.08%

3.2 Future

  • DUOL is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 43.24% yearly.
  • Based on estimates for the next years, DUOL will show a very strong growth in Revenue. The Revenue will grow by 21.76% on average per year.
EPS Next Y316.31%
EPS Next 2Y53.96%
EPS Next 3Y43.24%
EPS Next 5YN/A
Revenue Next Year38.56%
Revenue Next 2Y30.31%
Revenue Next 3Y26.38%
Revenue Next 5Y21.76%

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 0 2 -2 4 6

5

4. Valuation

4.1 Price/Earnings Ratio

  • Based on the Price/Earnings ratio of 19.06, the valuation of DUOL can be described as rather expensive.
  • Based on the Price/Earnings ratio, DUOL is valued a bit cheaper than the industry average as 64.47% of the companies are valued more expensively.
  • DUOL's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.38.
  • The Price/Forward Earnings ratio is 33.88, 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.
  • Compared to an average S&P500 Price/Forward Earnings ratio of 24.29, DUOL is valued a bit more expensive.
Industry RankSector Rank
PE 19.06
Fwd PE 33.88
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.
  • DUOL's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. DUOL is cheaper than 71.05% of the companies in the same industry.
Industry RankSector Rank
P/FCF 19.97
EV/EBITDA 45.37
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 low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
  • DUOL has a very decent profitability rating, which may justify a higher PE ratio.
  • A more expensive valuation may be justified as DUOL's earnings are expected to grow with 43.24% in the coming years.
PEG (NY)0.06
PEG (5Y)N/A
EPS Next 2Y53.96%
EPS Next 3Y43.24%

0

5. Dividend

5.1 Amount

  • DUOL does not give a dividend.
Industry RankSector Rank
Dividend Yield 0%

DUOLINGO

NASDAQ:DUOL (1/16/2026, 8:07:48 PM)

After market: 151.444 +1.28 (+0.86%)

150.16

-4.26 (-2.76%)

Chartmill FA Rating
GICS IndustryGroupConsumer Services
GICS IndustryDiversified Consumer Services
Earnings (Last)11-06
Earnings (Next)02-27
Inst Owners101.42%
Inst Owner Change0.46%
Ins Owners0.77%
Ins Owner Change-6.59%
Market Cap6.94B
Revenue(TTM)964.27M
Net Income(TTM)386.02M
Analysts74
Price Target297.74 (98.28%)
Short Float %13.04%
Short Ratio2.62
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)359.08%
Min EPS beat(2)54.23%
Max EPS beat(2)663.94%
EPS beat(4)3
Avg EPS beat(4)179.08%
Min EPS beat(4)-39%
Max EPS beat(4)663.94%
EPS beat(8)7
Avg EPS beat(8)120.2%
EPS beat(12)11
Avg EPS beat(12)113.9%
EPS beat(16)15
Avg EPS beat(16)93.29%
Revenue beat(2)2
Avg Revenue beat(2)1.78%
Min Revenue beat(2)0.81%
Max Revenue beat(2)2.76%
Revenue beat(4)4
Avg Revenue beat(4)1.25%
Min Revenue beat(4)0.02%
Max Revenue beat(4)2.76%
Revenue beat(8)4
Avg Revenue beat(8)0.34%
Revenue beat(12)8
Avg Revenue beat(12)0.63%
Revenue beat(16)11
Avg Revenue beat(16)0.88%
PT rev (1m)-3.47%
PT rev (3m)-32.59%
EPS NQ rev (1m)9.1%
EPS NQ rev (3m)3.58%
EPS NY rev (1m)0.86%
EPS NY rev (3m)134.01%
Revenue NQ rev (1m)0.03%
Revenue NQ rev (3m)0.6%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.25%
Valuation
Industry RankSector Rank
PE 19.06
Fwd PE 33.88
P/S 7.2
P/FCF 19.97
P/OCF 19.08
P/B 5.31
P/tB 5.58
EV/EBITDA 45.37
EPS(TTM)7.88
EY5.25%
EPS(NY)4.43
Fwd EY2.95%
FCF(TTM)7.52
FCFY5.01%
OCF(TTM)7.87
OCFY5.24%
SpS20.86
BVpS28.28
TBVpS26.91
PEG (NY)0.06
PEG (5Y)N/A
Graham Number70.81
Profitability
Industry RankSector Rank
ROA 20.47%
ROE 29.52%
ROCE 7.97%
ROIC 7.05%
ROICexc 35.32%
ROICexgc 45.66%
OM 11.58%
PM (TTM) 40.03%
GM 71.99%
FCFM 36.05%
ROA(3y)0.17%
ROA(5y)-3.51%
ROE(3y)0.73%
ROE(5y)-5%
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 3Y0.17%
GM growth 5Y0.58%
F-Score4
Asset Turnover0.51
Health
Industry RankSector Rank
Debt/Equity 0
Debt/FCF 0
Debt/EBITDA 0
Cap/Depr 114.39%
Cap/Sales 1.69%
Interest Coverage 250
Cash Conversion 289.08%
Profit Quality 90.05%
Current Ratio 2.82
Quick Ratio 2.82
Altman-Z 8.66
F-Score4
WACC8.88%
ROIC/WACC0.79
Cap/Depr(3y)198.51%
Cap/Depr(5y)200.22%
Cap/Sales(3y)2.71%
Cap/Sales(5y)2.62%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)330.6%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%1114.29%
EPS Next Y316.31%
EPS Next 2Y53.96%
EPS Next 3Y43.24%
EPS Next 5YN/A
Revenue 1Y (TTM)39.86%
Revenue growth 3Y43.95%
Revenue growth 5Y60.26%
Sales Q2Q%41.08%
Revenue Next Year38.56%
Revenue Next 2Y30.31%
Revenue Next 3Y26.38%
Revenue Next 5Y21.76%
EBIT growth 1Y105.42%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year347.68%
EBIT Next 3Y94.11%
EBIT Next 5Y61.95%
FCF growth 1Y229.17%
FCF growth 3Y346.8%
FCF growth 5YN/A
OCF growth 1Y213.62%
OCF growth 3Y214.6%
OCF growth 5Y165.8%

DUOLINGO / DUOL 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 5 / 10 to DUOLINGO (DUOL). This can be considered as Fairly Valued.


Can you provide the profitability details for DUOLINGO?

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


What is the financial health of DUOLINGO (DUOL) stock?

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