DUOL is trading at $91.40 (-22.18%) in after-hours following the release of its Q4 2025 earnings and a disappointing outlook for the upcoming fiscal year.
- The company issued FY2026 bookings guidance of just 10-12%, representing a sharp deceleration from the previous 33% growth rate.
- Management attributed the outlook to a strategic shift prioritizing long-term user growth over immediate monetization.
- The sell-off occurred despite Q4 revenue beating analyst estimates and coincided with a broader market decline that saw the NASDAQ drop 1.21%.