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Duolingo’s Strong Market Position and Growth Potential Justify Buy Rating

Duolingo’s Strong Market Position and Growth Potential Justify Buy Rating

J.P. Morgan analyst Bryan Smilek has maintained their bullish stance on DUOL stock, giving a Buy rating yesterday.

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Bryan Smilek has given his Buy rating due to a combination of factors that highlight Duolingo’s strong market position and growth potential. Despite recent concerns over user growth deceleration and increased churn, Smilek remains optimistic about Duolingo’s ability to optimize its products and maintain robust daily active user growth. He emphasizes the company’s strategic focus on product enhancements, social-first marketing, and content expansion, which are expected to drive continued user engagement and subscription growth.
Smilek also points out Duolingo’s significant market opportunity, as the platform is only partially penetrated in the global language learning market. With a strong freemium model and efficient customer acquisition strategies, Duolingo is well-positioned to capitalize on the growing demand for online language learning. Furthermore, Smilek projects substantial growth in Duolingo’s financial metrics, including bookings, adjusted EBITDA, and free cash flow, supporting his positive outlook and the December 2025 price target of $580.

In another report released yesterday, D.A. Davidson also maintained a Buy rating on the stock with a $500.00 price target.

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