From Yahoo Finance: 2025-06-01 15:03:00

Duolingo had a remarkable year in 2024, with record-breaking performance and strong growth potential ahead. Despite its impressive results, investors may be wary of its high valuation. The stock has soared 164% in the last year due to robust financials and growth prospects. The language learning app saw revenue surge 41% to $748 million in 2024, with net income increasing over sixfold to $89 million. The company continued its success into 2025, with first-quarter revenue jumping 38% to $231 million. Monthly active users reached 130.2 million, up 33% year over year, while daily active users increased by 49% to 46.6 million. Duolingo is focused on expanding its paid subscriber base, which grew from 8.6% to 8.9% year over year. The company aims to capitalize on the $47 billion online language learning market in 2025 with potential for vast user base growth. Despite a high price-to-earnings ratio and price-to-sales valuation, Duolingo remains a compelling investment for long-term growth. The company’s AI integration and continuous improvement efforts enhance learning outcomes and user experience for subscribers. While the stock may be pricey, its strong performance and market potential make it a viable option for investors with a long-term perspective.

Read more: Is Duolingo Stock a Buy in the Second Half of 2025?