Duolingo(US:DUOL) Prnewswire·2026-03-17 20:30Core Viewpoint - Faruqi & Faruqi, LLP is investigating potential securities claims against Duolingo, Inc. following a significant drop in its stock price due to concerns over slower earnings growth and narrower profit margins as the company focuses on increasing its subscriber base and investing in artificial intelligence [2][3]. Company Performance - Duolingo's shares fell by as much as 22% on February 27th after the company announced that its strategy to gain subscribers would lead to slower earnings growth and narrower profit margins in the short term [3][5]. - The company aims to double its daily active users to 100 million by 2028, which involves increased investment in artificial intelligence and a temporary sacrifice in monetization [3][5]. - Daily active users grew by 30% in the most recent quarter compared to the previous year, marking the slowest growth rate in four years [3][5]. - For the first quarter, Duolingo expects an adjusted EBITDA of $73.6 million, which is below analyst estimates of $84 million [3][5].