Citizens maintains Duolingo stock rating at Market Outperform with $500 price target

Published 16/10/2025, 10:04
Citizens maintains Duolingo stock rating at Market Outperform with $500 price target

Investing.com - Citizens has reiterated its Market Outperform rating on Duolingo Inc. (NASDAQ:DUOL) with a price target of $500.00, according to a research note released Thursday. Currently trading at $341.08, the stock sits within a broader analyst target range of $239 to $600. According to InvestingPro analysis, the company appears to be trading above its Fair Value.

The firm’s analysis indicates that social engagement serves as a leading indicator for user activity, though current third-party data has not yet shown a corresponding increase in daily active users (DAUs).

Data from Sensor Tower reveals ongoing softness in U.S. daily active users, with month-to-date DAUs down 0.8% as of October 12 compared to the previous month, based on a seven-day rolling average.

Despite the current DAU weakness, Citizens expects user trends to improve in the future as Duolingo increases its investments in performance marketing campaigns.

The firm also cited Duolingo’s social media efforts as a potential catalyst for renewed top-of-funnel engagement, which could eventually translate to stronger daily active user metrics.

In other recent news, Duolingo has been the focus of multiple analyst evaluations. KeyBanc has reiterated its Overweight rating and maintained a $460 price target on Duolingo, despite noting a deceleration in daily active user growth during the third quarter. Meanwhile, DA Davidson has kept its Neutral rating with a $300 price target, observing an uptick in active users in September compared to August. Additionally, Citizens JMP has maintained a Market Outperform rating and a $500 price target, highlighting optimism about the company’s web-based checkout feature as a potential driver for margin expansion.

In related developments, Citizens JMP has also reiterated its Market Outperform rating on Grindr, setting a $23 price target. The firm views the adoption of web-based checkout as a positive step for increasing subscription sign-ups. Furthermore, Life360 has received a Market Outperform rating from Citizens JMP, with a price target of $95, underscoring a positive outlook for the family safety platform. These recent developments reflect ongoing analyst interest in these companies’ growth strategies and technological advancements.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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