Duolingo Valuation

Is DUOL * undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

Below Fair Value
Significantly Below Fair Value
Price-To-Sales vs Peers
Price-To-Sales vs Industry
Price-To-Sales vs Fair Ratio
Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of DUOL * when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: DUOL * (MX$3975.06) is trading below our estimate of fair value (MX$7065.33)

Significantly Below Fair Value: DUOL * is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for DUOL *?

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for DUOL *. This is calculated by dividing DUOL *'s market cap by their current preferred multiple.
What is DUOL *'s n/a Ratio?
n/a	0x
n/a	n/a
Market Cap	n/a

DUOL * key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	11.9x
Enterprise Value/EBITDA	358x
PEG Ratio	3.8x

Price to Sales Ratio vs Peers

How does DUOL *'s PS Ratio compare to its peers?

The above table shows the PS ratio for DUOL * vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	Forward PS	Estimated Growth	Market Cap
Peer Average	2x
ALSEA * Alsea. de	0.5x	9.1%	Mex$39.9b
BFAM Bright Horizons Family Solutions	2.6x	7.9%	US$6.7b
RLH A RLH Properties. de	2.5x	n/a	Mex$18.4b
PSON Pearson	2.2x	3.8%	UK£7.9b
DUOL * Duolingo	13.2x	24.2%	Mex$7.7b

Price-To-Sales vs Peers: DUOL * is expensive based on its Price-To-Sales Ratio (13.2x) compared to the peer average (1.9x).

Price to Earnings Ratio vs Industry

How does DUOL *'s PE Ratio compare vs other companies in the Global Consumer Services Industry?

0 Companies	Price / Earnings	Estimated Growth	Market Cap
Industry Avg.	n/a	0%
	n/a	n/a	n/a

Fetching data

0 Companies	Price / Earnings	Estimated Growth	Market Cap
Industry Avg.	n/a	0%
	n/a	n/a	n/a

No more companies

Price-To-Sales vs Industry: DUOL * is expensive based on its Price-To-Sales Ratio (13.2x) compared to the Global Consumer Services industry average (1.3x).

Price to Sales Ratio vs Fair Ratio

What is DUOL *'s PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

DUOL * PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio	13.2x
Fair PS Ratio	n/a

Price-To-Sales vs Fair Ratio: Insufficient data to calculate DUOL *'s Price-To-Sales Fair Ratio for valuation analysis.

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.