DuolingoMEX:DUOL 69 FCF Margin % is 50.62% as of Mar. 2026, which is 330% above its 10-year median of 11.78. GuruFocus rates MEX:DUOL with a GF Score™ of 69/100 and a GF Value™ of MXN7,719.84 (Significantly Undervalued). The stock has 5 warning signs investors should review. Among 2,815 Software companies, Duolingo ranks better than 96.23% on this metric.
FCF Margin % is calculated as Free Cash Flow divided by its Revenue. Duolingo's Free Cash Flow for the
three
months ended in Mar. 2026 was MXN2,665 Mil. Duolingo's Revenue for the
three
months ended in Mar. 2026 was MXN5,265 Mil. Therefore, Duolingo's FCF Margin % for the quarter that ended in Mar. 2026 was 50.62%.
The historical rank and industry rank for Duolingo's FCF Margin % or its related term are showing as below:
MEX:DUOL'
s FCF Margin % Range Over the Past 10 Years
Min: -4.37 Med: 11.78 Max: 36.74
Current: 36.74
During the past 7 years, the highest FCF Margin % of Duolingo was 36.74%. The lowest was -4.37%. And the median was 11.78%.
MEX:DUOL's FCF Margin % is ranked better than 96.23% of 2815
companies
in the Software industry
Industry Median: 2.41
vs MEX:DUOL: 36.74
Duolingo FCF Margin % Related Terms
Duolingo FCF Margin % Historical Data
* Premium members only.
The historical data trend for Duolingo's FCF Margin % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
MEX:DUOL vs LYFT, NAVN, CVLT: FCF Margin % Comparison
For the Software - Application subindustry, Duolingo's FCF Margin %, along with its competitors' market caps and FCF Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Duolingo FCF Margin % vs Software Industry
For the Software industry and Technology sector, Duolingo's FCF Margin % distribution charts can be found below:
* The bar in red indicates where Duolingo's FCF Margin % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Duolingo (MEX:DUOL) has a FCF Margin % of 50.62% as of Mar. 2026. Free cash flow margin is the ratio of total free cash flow to net sales. View historical data on Duolingo and its competitors. This is 330% above median its historical median of 11.78. According to the industry distribution chart, Duolingo ranks #106 out of 2815 companies in the Software industry, placing it in the top 3.8%.
Is Duolingo's FCF Margin % too high?
Duolingo's current FCF Margin % of 50.62% is 330% above median its 10-year median of 11.78. The Software industry median FCF Margin % is 2.41. Duolingo's value of 50.62% is 2000.4% above this industry median. Based on the distribution chart, Duolingo ranks #106 out of 2815 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, Duolingo has a GF Score™ of 69/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Duolingo's FCF Margin % compare to LYFT and NAVN?
According to the Software industry distribution chart, Duolingo ranks #106 out of 2815 companies for FCF Margin %. This places Duolingo in the top 4% of its industry — outperforming the majority of peers. The industry median FCF Margin % is 2.41. Duolingo's value of 50.62% is 2000.4% above this benchmark. While the company's 10-year median is 11.78 vs. the industry median of 2.41, Duolingo has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good FCF Margin % for a Software company?
The median FCF Margin % among Software companies is 2.41, based on 2,815 companies in the industry. Companies in the top quartile (top 25%) have a FCF Margin % significantly above this median, while those in the bottom quartile fall well below. However, FCF Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Duolingo's current FCF Margin % of 50.62% is 2000.4% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high FCF Margin % mean?
A high FCF Margin % can signal that a stock is expensive relative to its fundamentals. Free cash flow margin is the ratio of total free cash flow to net sales. View historical data on Duolingo and its competitors. For the Software industry, the median FCF Margin % is 2.41 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Duolingo's current FCF Margin % is 50.62%, which is 330% above median its own 10-year median of 11.78. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Duolingo stock overvalued right now?
Based on GuruFocus' analysis, Duolingo (MEX:DUOL) is currently considered Significantly Undervalued. The stock's GF Value™ is MXN7,719.84, compared to a current price of MXN2,363.00 — trading 69.4% below its estimated fair value. The current FCF Margin % is 50.62%, which is 330% above median its 10-year median of 11.78 and 2000.4% above the Software industry median of 2.41. Duolingo's overall GF Score™ is 69/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is FCF Margin % calculated?
FCF Margin % is calculated from a company's financial statements. For Duolingo (MEX:DUOL), the current FCF Margin % is 50.62% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Duolingo (MEX:DUOL) Overvalued in 2026?
Based on GuruFocus' analysis, Duolingo stock appears to be undervalued.
The current stock price of MXN2,363.00 is trading 69.4% below its estimated GF Value™ of MXN7,719.84.
GuruFocus considers Duolingo to be Significantly Undervalued.
Key valuation signals for MEX:DUOL:
FCF Margin %: 50.62% (330% above median its 10-year median of 11.78)
GF Value™: MXN7,719.84 vs. price of MXN2,363.00 (69.4% below fair value)
Industry Position: 2000.4% above the Software median (#106 of 2815)
No single metric tells the full story. See the MEX:DUOL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Duolingo Inc is a technology company that develops a mobile learning platform to learn languages. Its products are powered by sophisticated data analytics and artificial intelligence and delivered with class art, animation, and design to make it easier for learners to stay motivated, master new material, and achieve their learning goals. Its solutions include the Duolingo Language Learning App, Super Duolingo, Duolingo English Test: AI-Driven Language Assessment, Duolingo For Schools, Duolingo ABC, and Duolingo Math. It has four predominant sources of revenue: time-based subscriptions, in-app advertising placement by third parties, the Duolingo English Test, and In-App purchases. Geographically, the company generates revenue from its customers in the United States and other markets.
69GF Score
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