November 13, 2023

Duolingo (DUOL) Moves to Hold

After rallying 21% last Thursday (the day after reporting Q3 results) and another 5% on Friday, shares of Duolingo (DUOL) are now trading at an all-time high above 205 (their 2021 high) and roughly 35% above our entry point. The stock could certainly work higher from here but in the short term I don’t love this as a buy point – DUOL has just moved too far too fast. Let’s move to hold and sit back and see what happens. HOLD HALF

Tyler Laundon

Tyler Laundon is chief analyst of the limited-subscription advisory, Cabot Small-Cap Confidential and grand slam advisory Cabot Early Opportunities. He has spent his entire career managing, consulting and analyzing start-up and small-cap companies. His hands-on experience has taught Tyler that the development of a superior business model is the biggest factor in determining a company’s long-term success. Accordingly, his research focuses on assessing the viability of management’s growth strategies, trends in addressable markets and achievement of major developmental milestones.