Morgan Stanley Maintained an Overweight Rating on Duolingo (DUOL), Keeps the PT Unchanged

Duolingo, Inc. (NASDAQ:DUOL) is one of the 11 Unstoppable Tech Stocks to Invest inOn June 11, analyst Nathan Feather from Morgan Stanley maintained an Overweight rating on Duolingo, Inc. (NASDAQ:DUOL) with a price target of $515. The analyst sees a “Triple Double” bull case for the company which could result in approximately $2 billion in EBITDA.

Feather sees Duolingo, Inc. (NASDAQ:DUOL) doubling its users, revenue per user, and profits. He notes, that if the company achieves this triple-double scenario its EBITDA would be around $2 billion. He believes the market under-appreciates the chances of this success and the potential of Duolingo, Inc. (NASDAQ:DUOL).

Morgan Stanley Maintained an Overweight Rating on Duolingo (DUOL), Keeps the PT Unchanged

A close up macro image of someone using a mobile device to learn a new language.

During the fiscal first quarter of 2025, the company grew its daily active users by 49% year-over-year to reach 46.6 million. Whereas the paid subscribers grew by 40% reaching 130.2 million during the same time. As a result, the company reached $230.7 million in revenue, representing a 38% year-over-year increase. Looking ahead, Duolingo, Inc. (NASDAQ:DUOL) expects to grow its bookings by 28.1% to 29.7% in Q2 2025.

While we acknowledge the potential of DUOL as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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