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DCF valuation

What is Duolingo, Inc. worth?

With the base-case assumptions below, a discounted cash flow model on Duolingo, Inc.'s reported free cash flow gives $277.31 per share. The share price was $143.51 on September 25, 2026, 48% below that value.

Inputs from the filings

Free cash flow, fiscal 2025
$369.7M
Average free cash flow, last 5 years
$169.4M
Cash
$1.18B
balance sheet of June 30, 2026
Debt
$0
not reported, counted as 0
Diluted shares, fiscal 2025
48,308,000
Revenue growth per year, last 4 years
59.2%

Three sets of assumptions

CaseGrowth yrs 1-5Growth yrs 6-10After year 10Discount rateValue per shareValue vs price
Bear10.0%6.0%2.0%10.0%$178.09+24%
Base15.0%9.0%2.5%9.0%$277.31+93%
Bull20.0%11.5%3.0%8.0%$462.07+222%

Sensitivity: base case value per share

Discount rate down the side, growth after year 10 across the top. Everything else as in the base case.

1.5%2.0%2.5%3.0%3.5%
7.0%$352.44$375.86$404.49$440.28$486.29
8.0%$296.00$311.19$329.15$350.69$377.02
9.0%$254.94$265.33$277.31$291.29$307.82
10.0%$223.81$231.19$239.56$249.13$260.17
11.0%$199.45$204.86$210.91$217.72$225.44

Where the presets come from

Base: years 1 to 5 grow at Duolingo, Inc.'s revenue growth rate over the last 4 fiscal years (59.2% a year), held between -5% and 15%. Years 6 to 10 grow halfway between that and the long-run rate of 2.5%. Future cash is discounted at 9% a year.

Bear: 5 points less growth, 2% long-run growth, 10% discount rate. Bull: 5 points more growth (at most 25%), 3% long-run growth, 8% discount rate.

Value per share = (present value of 10 years of free cash flow + present value of everything after + cash - debt) / diluted shares.

This is a model run on assumptions, not a recommendation or a price target. Small changes in the discount rate or growth move the result a lot, as the table above shows. Change them yourself in the calculator.

Adjust the assumptions

Move the sliders for growth, long-run growth and discount rate, or switch to average free cash flow, and see the value per share change.

Adjust the assumptions

Duolingo, Inc. company page