DuolingoMEX:DUOL 69 Net Margin % is 14.89% as of Mar. 2026. GuruFocus rates MEX:DUOL with a GF Score™ of 69/100 and a GF Value™ of MXN6,937.46 (Significantly Undervalued). The stock has 5 warning signs investors should review. Among 2,827 Software companies, Duolingo ranks better than 96.96% on this metric.
Net margin is calculated as Net Income divided by its Revenue. Duolingo's Net Income for the
three
months ended in Mar. 2026 was MXN784 Mil. Duolingo's Revenue for the
three
months ended in Mar. 2026 was MXN5,265 Mil. Therefore, Duolingo's net margin for the quarter that ended in Mar. 2026 was 14.89%.
The historical rank and industry rank for Duolingo's Net Margin % or its related term are showing as below:
MEX:DUOL'
s Net Margin % Range Over the Past 10 Years
Min: -23.98 Med: -9.76 Max: 39.91
Current: 38.44
MEX:DUOL's Net Margin % is ranked better than 96.96% of 2827
companies
in the Software industry
Industry Median: 2.54
vs MEX:DUOL: 38.44
Duolingo (MEX:DUOL) Net Margin % Explanation
Although Net Income and Earnings-per-Share (EPS) are the most widely used parameter in measuring a company's profitability and valuation, it is the least reliable. The reason is that reported earnings can be manipulated easily by adjusting any numbers such as Depreciation, Depletion and Amotorization and non-recurring items.
But the long term trend of the net margin is a good indicator of the competitiveness and health of the business.
Duolingo Net Margin % Related Terms
Duolingo Net Margin % Historical Data
* Premium members only.
The historical data trend for Duolingo's Net 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: Net Margin % Comparison
For the Software - Application subindustry, Duolingo's Net Margin %, along with its competitors' market caps and Net 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 Net Margin % vs Software Industry
For the Software industry and Technology sector, Duolingo's Net Margin % distribution charts can be found below:
* The bar in red indicates where Duolingo's Net 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 Net Margin % of 14.89% as of Mar. 2026. Net margin is the ratio of total net income to net sales. View historical data on Duolingo and its competitors. According to the industry distribution chart, Duolingo ranks #86 out of 2827 companies in the Software industry, placing it in the top 3%.
Is Duolingo's Net Margin % too high?
Duolingo's current Net Margin % is 14.89%. The Software industry median Net Margin % is 2.54. Duolingo's value of 14.89% is 486.2% above this industry median. Based on the distribution chart, Duolingo ranks #86 out of 2827 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 Net Margin % compare to LYFT and NAVN?
According to the Software industry distribution chart, Duolingo ranks #86 out of 2827 companies for Net Margin %. This places Duolingo in the top 3% of its industry — outperforming the majority of peers. The industry median Net Margin % is 2.54. Duolingo's value of 14.89% is 486.2% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Net Margin % for a Software company?
The median Net Margin % among Software companies is 2.54, based on 2,827 companies in the industry. Companies in the top quartile (top 25%) have a Net Margin % significantly above this median, while those in the bottom quartile fall well below. However, Net Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Duolingo's current Net Margin % of 14.89% is 486.2% 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 Net Margin % mean?
A high Net Margin % can signal that a stock is expensive relative to its fundamentals. Net margin is the ratio of total net income to net sales. View historical data on Duolingo and its competitors. For the Software industry, the median Net Margin % is 2.54 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Duolingo's current Net Margin % is 14.89%. 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 MXN6,937.46, compared to a current price of MXN2,363.00 — trading 65.9% below its estimated fair value. The current Net Margin % is 14.89% and 486.2% above the Software industry median of 2.54. 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 Net Margin % calculated?
Net Margin % is calculated from a company's financial statements. For Duolingo (MEX:DUOL), the current Net Margin % is 14.89% 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 65.9% below its estimated GF Value™ of MXN6,937.46.
GuruFocus considers Duolingo to be Significantly Undervalued.
Key valuation signals for MEX:DUOL:
Net Margin %: 14.89%
GF Value™: MXN6,937.46 vs. price of MXN2,363.00 (65.9% below fair value)
Industry Position: 486.2% above the Software median (#86 of 2827)
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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