Duolingo, Inc. (DUOL) closed at $325.17 in the latest trading session, marking a -0.46% move from the prior day. The stock's change was less than the S&P 500's daily loss of 0.17%. Elsewhere, the Dow lost 0.39%, while the tech-heavy Nasdaq lost 0.05%.

Heading into today, shares of the company had gained 11.04% over the past month, outpacing the Business Services sector's loss of 3.14% and the S&P 500's loss of 3.94% in that time.

The investment community will be paying close attention to the earnings performance of Duolingo, Inc. in its upcoming release. The company is slated to reveal its earnings on May 1, 2025. The company is forecasted to report an EPS of $0.52, showcasing an 8.77% downward movement from the corresponding quarter of the prior year. In the meantime, our current consensus estimate forecasts the revenue to be $222.68 million, indicating a 32.9% growth compared to the corresponding quarter of the prior year.

DUOL's full-year Zacks Consensus Estimates are calling for earnings of $2.65 per share and revenue of $972.98 million. These results would represent year-over-year changes of +40.96% and +30.07%, respectively.

Investors should also pay attention to any latest changes in analyst estimates for Duolingo, Inc. These revisions help to show the ever-changing nature of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.

Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 1.42% upward. Duolingo, Inc. presently features a Zacks Rank of #3 (Hold).

From a valuation perspective, Duolingo, Inc. is currently exchanging hands at a Forward P/E ratio of 123.27. Its industry sports an average Forward P/E of 16.62, so one might conclude that Duolingo, Inc. is trading at a premium comparatively.

The Technology Services industry is part of the Business Services sector. Currently, this industry holds a Zacks Industry Rank of 62, positioning it in the top 25% of all 250+ industries.

The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.

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.com).

Zacks Investment Research