Duolingo, Inc. (DUOL) shares are soaring 5.17% in intraday trading, as investors react positively to the company's recent performance and growth prospects. The language-learning platform provider has been outperforming the broader market, with its stock rising 6.7% over the past month compared to the S&P 500's 13.5% decline.

The company's strong fourth-quarter 2024 results appear to be a significant factor driving investor enthusiasm. Duolingo reported revenues of $209.55 million, representing a 38.8% year-over-year increase and surpassing analyst expectations. The company's subscriber base grew an impressive 42% year-over-year, reaching 9.5 million users by the end of 2024.

Duolingo's integration of artificial intelligence into its platform is also contributing to its positive momentum. The company's Max subscription tier, which includes AI-powered features like Explain My Answer, Roleplay, and Video Call, now accounts for 5% of its total subscriber base. These innovations are helping to convert free users into paying subscribers and enhance the overall learning experience. Looking ahead, analysts project continued strong growth for Duolingo, with expectations of 30.1% revenue growth for the current fiscal year and 24.4% for the next. The company's focus on AI-driven personalized learning and its ability to monetize its large user base effectively are positioning it as a leader in the digital education space, driving investor confidence and the stock's upward trajectory.