Latest news with #DUOL
Yahoo
a day ago
- Business
- Yahoo
5 Under-the-Radar Stocks To Consider Buying This Summer
When it comes to investing your hard-earned cash, you may not always factor in growth potential or dividend yields. Yet, as the summer heats up, savvy investors are scanning the market for overlooked opportunities — companies quietly innovating or recovering under the radar, away from the hype of big tech or meme stocks. Check Out: For You: If you're looking to diversify your portfolio with potential breakout candidates, these five under-the-radar stocks could be worth a closer look this summer. Stock price: $7.58 Market cap: $898.7 million 52-week high: $7.92 52-week low: $0.50 Sector: Consumer discretionary Many analysts give this online warehouse for used vintage, designer and second-hand clothing a consensus rating of buy. You'll want to consider this company for investing in both your wardrobe and portfolio, as business for high-end clothing with more frugal price tags is booming. Good To Know: Stock price: $471.84 Market cap: $21.49 billion 52-week high: $544.93 52-week low: $145.05 Sector: Education tech While most investors are focused on artificial intelligence (AI) giants, Duolingo has been quietly leveraging AI to improve language learning and user engagement. Its gamified app continues to grow its global user base, especially in non-English speaking markets. With strong brand recognition, growing subscription revenue, and increasing profitability, DUOL is positioning itself as more than just a niche app — it's building an ecosystem of learning. This summer it is expanding into math and music learning for potential new revenue streams, as well. Stock price: $239.33 Market cap: $3.20 billion 52-week high: $240.00 52-week low: $28.31 Sector: Digital banking This summer could be a great time to buy this stock before its price skyrockets, as analysts have been raising their price targets for DAVE, reflecting a positive outlook on the company's future performance. It also currently has a 'buy' or 'strong buy' rating. Stock price: $141.19 Market cap: $4.78 billion 52-week high: $177.37 52-week low: $55.00 Sector: Healthcare Another stock with a growth rate that is gaining momentum is TMDX. Multiple analysts give this stock a 'buy' to 'moderate buy' rating, even though it's a lesser-known contender in the healthcare industry. Stock price: $23.38 Market cap: $1.29 billion 52-week high: $23.95 52-week low: $2.52 Sector: Technology Expert analysts expect this stock to rise thanks to the rising technical trend it's linked to (autonomous navigation), as well as savvy and strategic partnerships and collaborations. It has a 'buy' to 'strong buy' rating. Editor's note: Stock prices are accurate as of June 12, 2025. More From GOBankingRates How Much Money Is Needed To Be Considered Middle Class in Every State? This article originally appeared on 5 Under-the-Radar Stocks To Consider Buying This Summer Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
2 days ago
- Business
- Yahoo
Should iShares Morningstar Small-Cap Growth ETF (ISCG) Be on Your Investing Radar?
Looking for broad exposure to the Small Cap Growth segment of the US equity market? You should consider the iShares Morningstar Small-Cap Growth ETF (ISCG), a passively managed exchange traded fund launched on 06/28/2004. The fund is sponsored by Blackrock. It has amassed assets over $670.62 million, making it one of the average sized ETFs attempting to match the Small Cap Growth segment of the US equity market. There's a lot of potential to investing in small cap companies, but with market capitalization below $2 billion, that high potential comes with even higher risk. While growth stocks do boast higher than average sales and earnings growth rates, and they are expected to grow faster than the wider market, investors should note these kinds of stocks have higher valuations. Also, growth stocks are a type of equity that carries more risk compared to others. They are likely to outperform value stocks in strong bull markets but over the longer-term, value stocks have delivered better returns than growth stocks in almost all markets. Investors should also pay attention to an ETF's expense ratio. Lower cost products will produce better results than those with a higher cost, assuming all other metrics remain the same. Annual operating expenses for this ETF are 0.06%, making it the least expensive products in the space. It has a 12-month trailing dividend yield of 0.74%. ETFs offer a diversified exposure and thus minimize single stock risk but it is still important to delve into a fund's holdings before investing. Most ETFs are very transparent products and many disclose their holdings on a daily basis. This ETF has heaviest allocation to the Industrials sector--about 24.20% of the portfolio. Information Technology and Healthcare round out the top three. Looking at individual holdings, Duolingo Inc Class A (DUOL) accounts for about 0.83% of total assets, followed by Sofi Technologies Inc (SOFI) and Royal Gold Inc (RGLD). The top 10 holdings account for about 5.75% of total assets under management. ISCG seeks to match the performance of the MORNINGSTAR US SML CP BRD GRWTH EXTD ID before fees and expenses. The Morningstar US Small Cap Broad Growth Extended Index comprises of small-capitalization U.S. equities that exhibit growth characteristics. The ETF has lost about -1.15% so far this year and was up about 9.70% in the last one year (as of 06/12/2025). In the past 52-week period, it has traded between $39.44 and $54.11. The ETF has a beta of 1.08 and standard deviation of 22.92% for the trailing three-year period. With about 961 holdings, it effectively diversifies company-specific risk. IShares Morningstar Small-Cap Growth ETF holds a Zacks ETF Rank of 2 (Buy), which is based on expected asset class return, expense ratio, and momentum, among other factors. Because of this, ISCG is an outstanding option for investors seeking exposure to the Style Box - Small Cap Growth segment of the market. There are other additional ETFs in the space that investors could consider as well. The iShares Russell 2000 Growth ETF (IWO) and the Vanguard Small-Cap Growth ETF (VBK) track a similar index. While iShares Russell 2000 Growth ETF has $11.48 billion in assets, Vanguard Small-Cap Growth ETF has $18.54 billion. IWO has an expense ratio of 0.24% and VBK charges 0.07%. Retail and institutional investors increasingly turn to passively managed ETFs because they offer low costs, transparency, flexibility, and tax efficiency; these kind of funds are also excellent vehicles for long term investors. To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report iShares Morningstar Small-Cap Growth ETF (ISCG): ETF Research Reports Royal Gold, Inc. (RGLD) : Free Stock Analysis Report iShares Russell 2000 Growth ETF (IWO): ETF Research Reports Vanguard Small-Cap Growth ETF (VBK): ETF Research Reports SoFi Technologies, Inc. (SOFI) : Free Stock Analysis Report Duolingo, Inc. (DUOL) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Sign in to access your portfolio
Yahoo
21-05-2025
- Business
- Yahoo
Wall Street Bulls Look Optimistic About Duolingo (DUOL): Should You Buy?
When deciding whether to buy, sell, or hold a stock, investors often rely on analyst recommendations. Media reports about rating changes by these brokerage-firm-employed (or sell-side) analysts often influence a stock's price, but are they really important? Before we discuss the reliability of brokerage recommendations and how to use them to your advantage, let's see what these Wall Street heavyweights think about Duolingo, Inc. (DUOL). Duolingo currently has an average brokerage recommendation (ABR) of 1.94, on a scale of 1 to 5 (Strong Buy to Strong Sell), calculated based on the actual recommendations (Buy, Hold, Sell, etc.) made by 18 brokerage firms. An ABR of 1.94 approximates between Strong Buy and Buy. Of the 18 recommendations that derive the current ABR, nine are Strong Buy and one is Buy. Strong Buy and Buy respectively account for 50% and 5.6% of all recommendations. Check price target & stock forecast for Duolingo here>>>While the ABR calls for buying Duolingo, it may not be wise to make an investment decision solely based on this information. Several studies have shown limited to no success of brokerage recommendations in guiding investors to pick stocks with the best price increase potential. Do you wonder why? As a result of the vested interest of brokerage firms in a stock they cover, their analysts tend to rate it with a strong positive bias. According to our research, brokerage firms assign five "Strong Buy" recommendations for every "Strong Sell" recommendation. In other words, their interests aren't always aligned with retail investors, rarely indicating where the price of a stock could actually be heading. Therefore, the best use of this information could be validating your own research or an indicator that has proven to be highly successful in predicting a stock's price movement. Zacks Rank, our proprietary stock rating tool with an impressive externally audited track record, categorizes stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), and is an effective indicator of a stock's price performance in the near future. Therefore, using the ABR to validate the Zacks Rank could be an efficient way of making a profitable investment decision. Although both Zacks Rank and ABR are displayed in a range of 1-5, they are different measures altogether. The ABR is calculated solely based on brokerage recommendations and is typically displayed with decimals (example: 1.28). In contrast, the Zacks Rank is a quantitative model allowing investors to harness the power of earnings estimate revisions. It is displayed in whole numbers -- 1 to 5. Analysts employed by brokerage firms have been and continue to be overly optimistic with their recommendations. Since the ratings issued by these analysts are more favorable than their research would support because of the vested interest of their employers, they mislead investors far more often than they guide. On the other hand, earnings estimate revisions are at the core of the Zacks Rank. And empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements. Furthermore, the different grades of the Zacks Rank are applied proportionately across all stocks for which brokerage analysts provide earnings estimates for the current year. In other words, at all times, this tool maintains a balance among the five ranks it assigns. Another key difference between the ABR and Zacks Rank is freshness. The ABR is not necessarily up-to-date when you look at it. But, since brokerage analysts keep revising their earnings estimates to account for a company's changing business trends, and their actions get reflected in the Zacks Rank quickly enough, it is always timely in indicating future price movements. Looking at the earnings estimate revisions for Duolingo, the Zacks Consensus Estimate for the current year has increased 10.3% over the past month to $2.92. Analysts' growing optimism over the company's earnings prospects, as indicated by strong agreement among them in revising EPS estimates higher, could be a legitimate reason for the stock to soar in the near term. The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #2 (Buy) for Duolingo. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> Therefore, the Buy-equivalent ABR for Duolingo may serve as a useful guide for investors. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Duolingo, Inc. (DUOL) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research
Yahoo
13-05-2025
- Business
- Yahoo
Duolingo, Inc. (DUOL): A Bull Case Theory
We came across a bullish thesis on Duolingo, Inc. (DUOL) on Substack by Lorenzo Bastianelli. In this article, we will summarize the bulls' thesis on DUOL. Duolingo, Inc. (DUOL)'s share was trading at $503.57 as of May 8th. DUOL's trailing and forward P/E were 248.06 and 178.57 respectively according to Yahoo Finance. romantitov/ Duolingo's Q1 2025 results are a testament to the company's ability to leverage its unique brand and marketing strategies, with the 'Dead Duo' campaign becoming a viral sensation that significantly boosted its performance. Revenue for the quarter reached $230.7 million, marking a 38% year-over-year increase and exceeding analyst expectations. This surge is reflective of Duolingo's business model, which continues to benefit from a well-oiled flywheel of user growth, engagement, and paid subscriber conversion. The company's Monthly Active Users (MAUs) surged to 130.2 million in Q1 2025, a 33% increase compared to the same period last year. This growth was propelled not only by Duolingo's freemium model and the network effects of its global reach but also by the marketing success of its 'Dead Duo' campaign, which generated 1.7 billion organic impressions. This viral event attracted new users and re-engaged lapsed ones, further fueling Duolingo's MAU growth. Beyond language learning, Duolingo's expansion into new verticals, such as math, music, and chess, provides additional growth opportunities and broadens its user base. CEO Luis von Ahn emphasized the potential of these new subjects, noting the massive demand for skills like chess and the platform's ability to scale content quickly, especially with the help of AI. Duolingo's engagement metrics are also impressive, with Daily Active Users (DAUs) reaching 46.6 million, up 49% year-over-year. The DAU/MAU ratio's surge highlights how users are increasingly engaged, with features like Friend Streaks, streak freezes, and AI-driven enhancements keeping users committed. The 'Dead Duo' campaign's interactive component also played a key role in driving daily participation. The integration of generative AI into content creation has significantly boosted Duolingo's ability to scale and personalize its offerings. AI has enabled faster and more cost-effective content production, contributing to both user retention and feature innovation. For instance, the new 'Video Call with Lily' feature has made practicing conversation with a computer more feasible, and AI has streamlined the development of Duolingo's chess course. Paid subscriber penetration continues to rise, with 10.3 million premium subscribers in Q1 2025, a 40% year-over-year increase. This growth is closely linked to Duolingo's product enhancements, particularly Duolingo Max, which has shown strong retention rates. The company's AI-driven features and new courses, such as 148 newly added language courses, have made the platform more appealing to a global audience. These developments are accelerating user conversions from free to paid subscriptions, which now contribute significantly to Duolingo's revenue, which reached $191 million for the quarter, up 45% from the previous year. Overall, Duolingo's Q1 2025 performance reaffirms the long-term investment thesis that the company's strategic use of AI, coupled with a powerful user growth engine and engaging brand, positions it for sustained success. As Duolingo continues to expand its content and refine its product offerings, it is moving beyond a language-learning app to become a platform for lifelong learning. With AI enabling faster content creation and scaling, Duolingo is well-positioned to capitalize on its growth opportunities, including expanding into new educational verticals. The company's strong performance in Q1 2025 sets the stage for continued outperformance as it executes on its ambitious vision. Duolingo, Inc. (DUOL) is not on our list of the 30 Most Popular Stocks Among Hedge Funds. As per our database, 52 hedge fund portfolios held DUOL at the end of the fourth quarter which was 31 in the previous quarter. While we acknowledge the risk and potential of DUOL as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than DUOL but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock. READ NEXT: 8 Best Wide Moat Stocks to Buy Now and 30 Most Important AI Stocks According to BlackRock. Disclosure: None. This article was originally published at Insider Monkey. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
10-05-2025
- Business
- Yahoo
Duolingo Demand, Earnings Lift Shares
DUOL offers an international language learning platform, delivering courses in many languages, such as Spanish, English, French, German, Italian, Portuguese, Japanese, Chinese, and more. It's game-like approach to language learning is popular among users. DUOL has also been using generative AI to improve its courses and improve operations, and recently more than doubled the number of languages it teaches. The company continues to branch out too – for instance, it's now offering math, music, and chess courses. DUOL's first-quarter fiscal 2025 financial results showed total daily active users rising by 49% year-over-year. The company's quarterly revenue was $230.7 million, which helped generate per-share earnings of $0.72. On a year-over-year basis, sales jumped 38% and earnings rose 26%. The company reported more than 10 million paying subscribers, including 46.6 million daily active users. DUOL's full-year forecast calls for up to $996 million in revenue after generating $748 million in sales last year. It's no wonder DUOL shares are up 55% this year – and they could rise more. MAPsignals data shows how a rare bullish signal reflects Big Money investors are betting heavily on the forward picture of the stock. Institutional volumes reveal plenty. In the last year, DUOL has enjoyed strong investor demand, which we believe to be institutional support. Each green bar signals unusually large volumes in DUOL shares. They reflect our proprietary inflow signal, pushing the stock higher: Plenty of technology names are under accumulation right now. But there's a powerful fundamental story happening with Duolingo. Institutional support and a healthy fundamental backdrop make this company worth investigating. As you can see, DUOL has had strong sales and earnings growth: 3-year sales growth rate (+44%) 3-year EPS growth rate (+246.7%) Source: FactSet Also, EPS is estimated to ramp higher this year by +49.6%. Now it makes sense why the stock has been powering to new heights. DUOL has a track record of strong financial performance. Marrying great fundamentals with our proprietary software has found some big winning stocks over the long term. Duolingo has been a top-rated stock at MAPsignals. That means the stock has unusual buy pressure and growing fundamentals. We have a ranking process that showcases stocks like this on a weekly basis. It's made the rare Top 20 report multiple times in the last year, with more potentially on the horizon. The blue bars below show when DUOL was a top pick…sending shares higher: Tracking unusual volumes reveals the power of money flows. This is a trait that most outlier stocks exhibit…the best of the best. Big Money demand drives stocks upward. The DUOL rally isn't new at all. Big Money buying in the shares is signaling to take notice. Given the historical gains in share price and strong fundamentals, this stock could be worth a spot in a diversified portfolio. Disclosure: the author holds no position in DUOL at the time of publication. If you are a Registered Investment Advisor (RIA) or are a serious investor, take your investing to the next level, learn more about the MAPsignals process here. This article was originally posted on FX Empire Career Learners Make Stride Revenue Gains, Bold Guidance Lift ADMA Shares Discounted Walmart Shares Could Be Opportunity Slight Bounce by the Dollar Despite Weaker GDP Agnico Eagle's Strong Gold Production Attracts Big Money Investors Flock to Royal Gold Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
