Latest news with #NextBeat
Yahoo
2 days ago
- Business
- Yahoo
Should You Buy the Post-Earnings Surge in Duolingo Stock or Is It Too Late?
Duolingo (DUOL) shares soared as much as 35% on Thursday morning after reporting Q2 results that handily topped Street estimates and raising guidance for the full year. DUOL is being rewarded this morning also because it announced plans of acquiring NextBeat, a music gaming startup, for an undisclosed amount to broaden its app offerings. More News from Barchart Supermicro's Earnings Selloff Explained: Should You Buy SMCI Stock Now? Amazon's $36M Bet on Quantum Computing: What Investors Need to Know AMD Stock Slips After Q2 Earnings, But Here's Why It's a Buying Opportunity Our exclusive Barchart Brief newsletter is your FREE midday guide to what's moving stocks, sectors, and investor sentiment - delivered right when you need the info most. Subscribe today! Duolingo stock has, however, reversed at least half of its intraday gain in recent hours and is now down more than 27% versus its year-to-date high of about $544 set in the second week of May. AI Is Serving as a Tailwind for Duolingo stock DUOL shares ripped higher today primarily because the company's earnings release confirmed AI isn't resulting in a growth slowdown as initially expected. In fact, the Nasdaq-listed firm has integrated artificial intelligence solutions into its online language learning platform, which are actually helping 'drive' user growth, according to Luis von Ahn, the company's chief executive. On Thursday, Duolingo guided for its revenue to grow by 36% on a year-over-year basis in 2025. This further confirms that Duolingo stock merits a place in growth-focused portfolios this year. Is Now the Right Time to Load Up on DUOL Shares? Despite a 37% AI-driven increase in paid subscribers to 10.9 million in Duolingo's second quarter, Wolfe Research continues to rate the mobile learning platform at 'Peer Perform' only. The investment firm is sticking with its cautious view on DUOL stock mostly because of valuation concerns. Duolingo shares are currently going for a forward price-earnings (P/E) multiple of nearly 118x, well above best-of-breed AI stocks like Nvidia (NVDA) that's currently trading at less than 45x only. Wall Street Remains Optimistic About Duolingo Other Wall Street analysts, however, are significantly more bullish on Duolingo stock for the back half of 2025. According to Barchart, the consensus rating on DUOL shares currently sits at 'Moderate Buy' and the mean target of about $480 indicates potential upside of nearly 19% from current levels. On the date of publication, Wajeeh Khan did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on 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
Fast Company
3 days ago
- Business
- Fast Company
Duolingo wants to make its music lessons more addictive
DESIGN 'Our vision is to make music learning feel just as engaging and habit-forming as language learning does on Duolingo.' [Images: Duolingo, Nataliia Hruts/iStock/Getty Images Plus] BY Listen to this Article More info 0:00 / 2:58 Duolingo may be known as the world's largest language learning app, but it also wants to get users hooked on learning music. On August 6, Duolingo announced its plan to acquire the team behind the London-based gaming startup NextBeat. The startup's mobile gaming catalog, which includes Piano Tile-style games like Beatstar and Country Star, has amassed around $200 million in revenue. Now, NextBeat's staff will help Duolingo make its Music course more fun, effective, and, ultimately, something you don't want to put down. '[ Beatstar and Country Star ] combined chart-topping licensed music with intuitive, satisfying gameplay and reached tens of millions of players worldwide,' a Duolingo spokesperson said of the acquisition. 'The team's background spans game design, music licensing, live operations, and mobile monetization, all of which will strengthen Duolingo Music and beyond.' For Duolingo, the deal is part of a larger plan to build out its non-language courses using its uniquely gamified learning model—ultimately moving toward becoming an all-encompassing education app. What's next for Duolingo Music The NextBeat acquisition announcement came on the same day as Duolingo's second quarter 2025 earnings report, which notched a 41% increase in revenue year-over-year and an 84% increase in net income. The report marked an overwhelmingly positive quarter for Duolingo, in spite of the backlash the company received earlier this year when CEO Luis Von Ahn announced that the company would be going 'AI-first.' On an earnings call with investors, von Ahn shared that the company would be raising its full-year guidance 'while still investing in both our core business and exciting new areas like chess, math, and music that we believe will drive long-term growth.' Duolingo first added math courses to its repertoire in 2022, followed by music in 2023 and chess earlier this year. While the company declined to share specific numbers on the Music course's performance, a spokesperson did say that 'millions of learners' are studying music on Duolingo, and the company views it as a 'key pillar of our evolution into a broader learning platform.' Currently, Duolingo's sole Music offering is a piano course. Through the NextBeat acquisition, though, the company plans to experiment with new modules like guitar, voice, or rhythm-based activities, chief business officer Bob Meese told Bloomberg. Further, a spokesperson shared with Fast Company, NextBeat will help to smooth out the in-lesson user experience by improving course pacing, personalization, and feedback mechanics. 'We're focused on making the Music course even more joyful and captivating,' the spokesperson said. 'Our vision is to make music learning feel just as engaging and habit-forming as language learning does on Duolingo.' The early-rate deadline for Fast Company's Most Innovative Companies Awards is Friday, September 5, at 11:59 p.m. PT. Apply today. ABOUT THE AUTHOR Grace Snelling is an editorial assistant for Fast Company with a focus on product design, branding, art, and all things Gen Z. Her stories have included an exploration into the wacky world of Duolingo's famous mascot, an interview with the New Yorker 's art editor about the scramble to prepare a cover image of Donald Trump post-2024 election, and an analysis of how the pineapple became the ultimate sex symbol More
CNBC
4 days ago
- Business
- CNBC
Duolingo stock skyrockets 30% on boosted guidance as AI powers user growth
Duolingo shares skyrocketed more than 30% after the language learning platform boosted its guidance due to strong user growth driven by artificial intelligence. The mobile learning platform hiked its full-year guidance to between $1.01 billion and $1.02 billion, up from a prior range of $987 million to $996 million. Duolingo also lifted its bookings guidance to between $1.15 billion and $1.16 billion. "We exceeded our own high expectations for bookings and revenue this quarter, and did it while expanding profitability," said co-founder and CEO Luis von Ahn in a release. Daily active users jumped 40% to nearly 48 million from about 34 million in the year-ago period. In an effort to expand its course offerings and boost users, Duolingo has implemented AI tools, including a video-call conversation practice feature for some paying subscribers. The company has also expanded beyond language learning with new course such as chess. Duolingo also announced the acquisition of London-based music gaming startup NextBeat for an undisclosed amount as it looks to broaden its app products. The company's CEO said Duolingo is still in the early stages of its growth trajectory. Revenues jumped about 41% year over year to $252 million and beat a Wall Street estimate of $241 million. Net income grew 84% from a year ago to about $45 million, or 91 cents per share. For the third quarter, Duolingo projects revenues between $257 million and $261 million, surpassing the $253 million forecast from Wall Street analysts.
Yahoo
4 days ago
- Business
- Yahoo
Duolingo Doubles Down on Delight with Acquisition of Music Gaming Startup NextBeat's Innovative Team
London-based team brings deep expertise in music games, licensing, and interactive design PITTSBURGH, Aug. 06, 2025 (GLOBE NEWSWIRE) -- Duolingo, Inc. (Nasdaq: DUOL), the world's leading mobile learning platform, announced today it has acquired the team behind NextBeat, a London-based music gaming startup known for blending world-class music licensing with engaging mobile gameplay. With this move, Duolingo is investing in making its Music course as fun and joyful as the best mobile games in the market. 'Learning should be just as engaging as playing a great game, whether you're practicing a new language or playing a favorite song,' said Bob Meese, Chief Business Officer at Duolingo. 'This is a strategic bet on talent. The NextBeat team brings deep mobile gaming and music industry expertise, which will make our Music course and the entire Duolingo platform more delightful, immersive, and effective.' The acquisition of NextBeat's team brings twenty-three world-class experts in areas such as game design, user retention and monetization, sound design, and music licensing. Their expertise will power the next chapter of Duolingo's gamified learning experiences, with a focus on building upon Duolingo's Music course. The move also establishes Duolingo's first official presence in the UK, a hub of creativity and talent. 'From day one, it was clear that Duolingo and NextBeat share the same values: putting learners first, obsessing over great design, and never taking ourselves too seriously,' said Simon Hade, CEO of NextBeat. 'Joining forces means we can bring our passion for music and play to a platform that is redefining how people learn.' With millions of learners already using Duolingo Music since its beta launch, this acquisition signals Duolingo's ambition to make music education more engaging and accessible with a product that is both playful and effective. About DuolingoDuolingo is the leading mobile learning platform globally. Its flagship app has organically become the world's most popular way to learn languages and the top-grossing app in the Education category on both Google Play and the Apple App Store. With technology at the core of everything it does, Duolingo has consistently invested to provide learners with a fun, engaging, and effective learning experience while remaining committed to its mission to develop the best education in the world and make it universally available. About NextBeatNextBeat is a London-based music-first gaming studio founded by serial entrepreneurs Simon Hade, Olly Barnes & Joe Adams. The company is best known for the hit games Beatstar and Country Star, which were spun out of Space Ape Games upon its acquisition by mobile gaming giant Supercell. The hit mobile rhythm games reached over 100 million downloads and generated nearly $200 million in revenue. NextBeat built a team of experts across game design, licensing, and creative tech to explore new interactive experiences across gaming, education, and wellness. Contact:Monica Earle, press@ 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
