Duolingo shares tumble 20% as Q4 bookings guidance disappoints

Duolingo shares plummet as AI pitch falls flat, bookings estimates miss

Shares in the language-learning app Duolingo (DUOL) plummeted on Thursday, falling more than 25% as an AI-heavy pitch from the company fell flat with investors and the company lowered its guidance on bookings.

Duolingo, which has leaned into pitching itself as an AI-forward company in recent months, posted third quarter sales of $271.1 million against analyst estimates of $260.3 million. But several negative measures dragged shares downward.

The company lowered its bookings forecast for the fourth quarter to a range of $329.5 million to $335.5 million, below analyst estimates of $343.6 million. Meanwhile, Duolingo also missed on estimates on user growth in the third quarter, ticking up to 50.5 million daily active users against analysts' estimates of 51.1 million users.

From @FuckyWucky@hexbear.net's comment in the news mega.