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Duolingo Registered (A) Stock: Soars on Stellar Earnings

Felix Baarz by Felix Baarz
August 7, 2025
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Duolingo Registered (A) shares surged nearly 24% in pre-market trading to $428.63 following a robust quarterly earnings report that exceeded expectations. The language-learning platform reported bookings 9% above forecasts, with earnings per share reaching $0.91 compared to the anticipated $0.58. Revenue also outperformed, hitting $252.3 million against projections of $240.73 million. Driving this growth was a 36% year-over-year increase in paying subscribers and a 6% rise in average revenue per user. Notably, the company’s new chess feature has already attracted over 1 million daily active users, while its adjusted EBITDA margin stood at a healthy 41%.

Strategic Moves and Mixed Analyst Sentiment

Alongside its earnings triumph, Duolingo announced the acquisition of a London-based music-gaming firm’s team, adding 23 specialists in game design and monetization to bolster its expanding music-learning segment. Despite the bullish momentum, analyst opinions remain divided. One firm maintained a "Market Perform" rating, citing valuation concerns, while another reaffirmed a "Buy" rating with a $460 price target, praising subscriber growth and margin improvements. The stock’s 108% 12-month gain before the earnings release underscores its dominant position in mobile education, supported by a $15.6 billion market cap and 39% revenue growth.

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Felix Baarz

Felix Baarz

My name is Felix Baarz, and I look back on over fifteen years of experience as a business journalist. I have always been fascinated by the mechanisms and dynamics of global financial markets as well as the complex economic and political interconnections that shape our world. With this passion, I have made a name for myself as an expert on international financial markets and dedicate myself with great commitment to making even the most complex topics understandable and accessible to my readers. My roots lie in Cologne, where I was born and raised. Early on, my curiosity about economic topics and international developments sparked my interest in journalism. After completing my studies, I began my career as a business editor at a respected German trade publication. Here I laid the foundation for my professional career, but my curiosity soon drew me out into the wider world. A turning point in my life was moving to New York, where I lived for six years and gained insight into leading media houses. In this vibrant metropolis, I was able to report firsthand from the heart of the global financial world. From daily developments on Wall Street to major economic policy decisions that make waves worldwide, I had the opportunity to write about central topics that move people and markets alike. This time shaped my perspective and sharpened my view of global interconnections.

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