Duolingo’s chief engineering officer sells $1.1 million in stock

Published 02/04/2025, 21:12
Duolingo’s chief engineering officer sells $1.1 million in stock

PITTSBURGH—Natalie Glance, Chief Engineering Officer at Duolingo , Inc. (NASDAQ:DUOL), recently sold a significant amount of the company’s Class A Common Stock. According to a filing with the Securities and Exchange Commission, Glance disposed of shares totaling approximately $1,112,804 on April 1, 2025. The shares were sold at prices ranging from $308.35 to $327.32 per share. The transaction comes as Duolingo maintains strong financial health, with impressive gross profit margins of 73% and revenue growth of 41% over the last twelve months.

Following the transactions, Glance retains direct ownership of 127,251 shares of Duolingo. The sales were made under a Rule 10b5-1 trading plan adopted on November 14, 2024, allowing insiders of publicly traded corporations to set up a trading plan for selling stocks they own. The company, now valued at $15.3 billion, has shown remarkable operational execution, according to InvestingPro analysis.

This move comes amid a backdrop of fluctuating stock prices for Duolingo, a leading provider of language-learning software. With the stock trading near its 52-week high and currently showing signs of overvaluation based on comprehensive analysis, investors will be watching closely to see how this impacts the company’s stock performance in the coming weeks.

In other recent news, Duolingo has seen multiple analysts adjust their price targets and ratings, reflecting optimism about the company’s growth prospects. DA Davidson increased its price target for Duolingo to $410, maintaining a Buy rating, based on strong user growth and course enrollment data. Similarly, JPMorgan raised its price target to $410, retaining an Overweight rating, despite Duolingo’s 2025 Bookings and Adjusted EBITDA guidance falling short of some investor expectations. JPMorgan remains confident in Duolingo’s growth trajectory, particularly with its AI-driven product cycle and the potential expansion of its Max feature.

Piper Sandler also highlighted Duolingo in its report on Consumer AI growth, projecting significant market expansion by 2030. The report suggests that established companies like Duolingo are well-positioned to benefit from this trend. Meanwhile, DA Davidson previously raised Duolingo’s price target to $400 after the company exceeded fourth-quarter earnings expectations, pointing to growth in all served markets. The introduction of Duolingo Max has been a notable contributor to revenue growth, with expectations for continued margin expansion in 2025.

In the gaming sector, Take-Two Interactive (NASDAQ:TTWO) was discussed by DA Davidson, noting that AI integration in game development remains limited, with a focus on enhancing player experience over premature AI adoption.

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