Duolingo CFO Skaruppa sells $1.62 million in stock

Matthew Skaruppa, the Chief Financial Officer of Duolingo , Inc. (NASDAQ:DUOL), a language learning platform with a market capitalization of $15 billion and impressive revenue growth of 42% year-over-year, has recently sold a significant portion of his holdings in the company. As reported in a filing dated January 2, 2025, Skaruppa sold a total of 5,000 shares of Class A Common Stock. The shares were sold at prices ranging from $321.456 to $328.53 per share, amounting to a total transaction value of approximately $1.62 million.

The sales were conducted under Skaruppa's Rule 10b5-1 trading plan, which was adopted on May 22, 2024. This plan allows executives to sell a predetermined number of shares at a predetermined time, thereby avoiding any accusations of insider trading.

In addition to the sales, Skaruppa also exercised stock options to acquire 5,000 shares at a price of $14.42 per share, resulting in a total acquisition cost of $72,100. After these transactions, Skaruppa holds 68,306 shares of Duolingo. According to InvestingPro data, the company maintains strong financial health with a robust current ratio of 3.09 and industry-leading gross margins of 73%.

These transactions provide insight into the financial activities of Duolingo's executive team as they navigate the company's growth and market presence. Investors will be watching closely to see how these moves align with Duolingo's broader strategic goals. InvestingPro analysis suggests the stock is currently trading above its Fair Value, with 14+ additional key insights available to subscribers through the comprehensive Pro Research Report.

In other recent news, Duolingo Inc. has been the subject of significant developments. The language learning platform reported a substantial 54% year-over-year growth in daily active users during its Third Quarter 2024 Earnings Call. The company also raised its full-year guidance, forecasting bookings growth of 36% and revenue growth of 40%. Duolingo's new AI-powered video call feature, part of the Duolingo Max subscription tier, has been rolled out to about half of its users, with plans for further expansion.

Moreover, Needham has maintained a Buy rating on Duolingo and increased the price target to $385 from $370, following a visit to the company's new office. The firm believes Duolingo is poised for a new growth phase, driven by innovative GenAI-powered features aimed at attracting new English learners. On the other hand, BofA Securities downgraded Duolingo from "Buy" to "Neutral," citing less upside potential, even as it increased the price target to $375 from the previous $355.

These recent developments highlight Duolingo's robust growth prospects and its strategic focus on advanced technology integration and user expansion in the language learning market.

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