Duolingo Misses on Bookings Despite Strong Revenue

3 months ago

Carmen Reiniki

"Yeah, so the next one is really moving in the opposite direction. Dolingo, ticker D, down more than 20% right now. Um so the company reported fourth quarter earnings as well but bookings trailed estimates. Uh they're seeing a range of about 330 million to 335 million as analysts were estimating 344 million. Um so this is interesting as well because the revenue for the quarter was really in line with expectations and they boosted the guidance for the year because users are paying more to chat with AI bots on Duolingo. So interesting. We're just seeing the other side here of an AI play from Dolingo."

Duolingo is trading down over 20% driven primarily by missed bookings figures, despite revenue meeting expectations and an optimistic update on guidance fueled by increasing user engagement with AI chatbots. The market reaction underscores caution amid shifting estimates.

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