Duolingo Stock Is Due For a Recovery

Duolingo's stock has declined 38% year-to-date due to AI concerns, but the company's fundamentals remain strong with 27% revenue growth, 56.5 million daily active users (up 21% YoY), and 12.5 million paid subscribers (up 21% YoY). The stock now trades at a 15.7 forward P/E ratio, down from over 100 a year ago, suggesting a potential recovery opportunity. AI is actually helping Duolingo create content faster and improve engagement rather than threatening the business.