{
  "id": 17772889,
  "title": "Evercore ISI reiterates Duolingo stock rating on user growth",
  "url": "https://urgent.news/2026/11/02/evercore-isi-reiterates-duolingo-stock-rating-on-user-growth",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-11-02T09:00:51.000Z",
  "source": {
    "name": "Investing.com",
    "slug": "investing-com",
    "url": "https://www.investing.com/news/analyst-ratings/evercore-isi-reiterates-duolingo-stock-rating-on-user-growth-93CH-4990298"
  },
  "original_language": "en",
  "account": "Evercore ISI has maintained its Outperform rating and $210 price target for Duolingo Inc. (NASDAQ:DUOL), according to a report on Monday. The company's stock is currently trading at $131.59, down 53% from its 52-week high. Evercore ISI's analysis indicates that Duolingo is undervalued at present. The firm anticipates a modest beat for the third quarter based on survey results and third-party data trends. In August, Duolingo announced that daily active users grew by approximately 27% year-over-year. The investment firm believes that Wall Street estimates for Duolingo's fiscal 2027 and 2028 significantly underestimate its user growth potential and monetization capabilities. While Street expectations call for bookings growth of 13% in fiscal 2027 and 12% in fiscal 2028, Evercore ISI sees an opportunity for operating margins to expand from around 11% in 2026 to over 20% over time. This projection is in line with Duolingo's impressive gross profit margin of 72.7% and its strong financial health score of 3.32 out of 5, as indicated by InvestingPro data. The company's bookings growth likely reached a low of around 8% in the second quarter, according to Evercore ISI. The investment bank ranks Duolingo as its third-highest small and mid-cap stock pick, citing its global leadership in language learning, product innovation, and potential for growth in education, including mathematics. In recent news, both Evercore ISI and DA Davidson have updated their Duolingo stock outlook. DA Davidson raised its price target to $175, maintaining a Buy rating, citing robust daily active user growth trends, with projections for a year-over-year increase of 26.0% to 28.0%.",
  "summary": null,
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}