- Duolingo's stock rises on Morgan Stanley's bullish outlook, featuring a $435 price target.
- Analysts' consensus suggests a potential upside in Duolingo's stock price with strong market confidence.
- Despite a positive outlook, GuruFocus estimates indicate potential overvaluation.
Duolingo Inc (DUOL, Financial) shares saw a notable increase after Morgan Stanley projected a bright future for the language-learning giant. The investment firm set an ambitious price target of $435, underscoring Duolingo's impressive user growth and healthy margins as pivotal factors in their optimistic forecast.
Wall Street Analysts' Forecast
What do Wall Street's experts predict for Duolingo over the next year? According to data from 16 analysts, the average target price for the company's stock is $380.27. This projection comes with a high estimate of $428.20 and a low of $315.12. Current estimates suggest a modest upside of 2.82% compared to the present stock price of $369.84. For a detailed breakdown of these projections, visit the Duolingo Inc (DUOL, Financial) Forecast page.
The consensus from 22 brokerage firms casts Duolingo Inc (DUOL, Financial) in a favorable light, reflecting an average recommendation of 2.3, which translates to an "Outperform" status. This rating adheres to a scale from 1 to 5, where a score of 1 indicates a Strong Buy and a 5 suggests a Sell.
GuruFocus Valuation Insight
While analysts see potential growth, GuruFocus' valuation metric, GF Value, paints a different picture. The estimated GF Value for Duolingo in one year is $341.18, revealing a potential downside of 7.75% from the current stock price of $369.8377. The GF Value is derived from past trading multiples and business growth projections, offering a comprehensive view of what the stock's fair value should be. For more detailed valuation insights, explore the Duolingo Inc (DUOL, Financial) Summary page.