Stock Price Trends

Duolingo Inc (DUOL)

None

Stock Price Trends

Stock price trends estimated using linear regression.

Key facts

  • The primary trend is increasing.
  • The growth rate of the primary trend is 76.09% per annum.
  • DUOL price at the close of April 28, 2025 was $384.34 and was inside the primary price channel.
  • The secondary trend is decreasing.
  • The decline rate of the secondary trend is 16.95% per annum.
  • DUOL price at the close of April 28, 2025 was inside the secondary price channel.
  • The direction of the secondary trend is opposite to the direction of the primary trend. This indicates a possible reversal in the direction of the primary trend.

Linear Regression Model

Model equation:
Yi = α + β × Xi + εi

Top border of price channel:
Exp(Yi) = Exp(a + b × Xi + 2 × s)

Bottom border of price channel:
Exp(Yi) = Exp(a + b × Xi – 2 × s)

where:

i - observation number
Yi - natural logarithm of DUOL price
Xi - time index, 1 day interval
σ - standard deviation of εi
a - estimator of α
b - estimator of β
s - estimator of σ
Exp() - calculates the exponent of e


Primary Trend

Start date: August 26, 2022
End date: April 28, 2025

a = 3.7972

b = 0.0016

s = 0.1678

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × 0.0016) – 1
= 76.09%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.1678) – 1
= 95.68%

August 26, 2022 calculations

Top border of price channel:

Exp(Y273)
= Exp(a + b × X273 + 2 × s)
= Exp(a + b × 394 + 2 × s)
= Exp(3.7972 + 0.0016 × 394 + 2 × 0.1678)
= Exp(4.7436)
= $114.85

Bottom border of price channel:

Exp(Y273)
= Exp(a + b × X273 – 2 × s)
= Exp(a + b × 394 – 2 × s)
= Exp(3.7972 + 0.0016 × 394 – 2 × 0.1678)
= Exp(4.0723)
= $58.69

April 28, 2025 calculations

Top border of price channel:

Exp(Y941)
= Exp(a + b × X941 + 2 × s)
= Exp(a + b × 1,370 + 2 × s)
= Exp(3.7972 + 0.0016 × 1,370 + 2 × 0.1678)
= Exp(6.2565)
= $521.41

Bottom border of price channel:

Exp(Y941)
= Exp(a + b × X941 – 2 × s)
= Exp(a + b × 1,370 – 2 × s)
= Exp(3.7972 + 0.0016 × 1,370 – 2 × 0.1678)
= Exp(5.5852)
= $266.46

Description

  • The primary trend is increasing.
  • The growth rate of the primary trend is 76.09% per annum.
  • DUOL price at the close of April 28, 2025 was $384.34 and was inside the primary price channel.

Secondary Trend

Start date: November 20, 2024
End date: April 28, 2025

a = 6.4844

b = -0.0005

s = 0.1026

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × -0.0005) – 1
= -16.95%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.1026) – 1
= 50.76%

November 20, 2024 calculations

Top border of price channel:

Exp(Y835)
= Exp(a + b × X835 + 2 × s)
= Exp(a + b × 1,211 + 2 × s)
= Exp(6.4844 + -0.0005 × 1,211 + 2 × 0.1026)
= Exp(6.0736)
= $434.26

Bottom border of price channel:

Exp(Y835)
= Exp(a + b × X835 – 2 × s)
= Exp(a + b × 1,211 – 2 × s)
= Exp(6.4844 + -0.0005 × 1,211 – 2 × 0.1026)
= Exp(5.6631)
= $288.04

April 28, 2025 calculations

Top border of price channel:

Exp(Y941)
= Exp(a + b × X941 + 2 × s)
= Exp(a + b × 1,370 + 2 × s)
= Exp(6.4844 + -0.0005 × 1,370 + 2 × 0.1026)
= Exp(5.9928)
= $400.52

Bottom border of price channel:

Exp(Y941)
= Exp(a + b × X941 – 2 × s)
= Exp(a + b × 1,370 – 2 × s)
= Exp(6.4844 + -0.0005 × 1,370 – 2 × 0.1026)
= Exp(5.5822)
= $265.66

Description

  • The secondary trend is decreasing.
  • The decline rate of the secondary trend is 16.95% per annum.
  • DUOL price at the close of April 28, 2025 was inside the secondary price channel.