1 Magnificent Growth Stock Down 67% You'll Regret Not Buying on the Dip in 2026, According to Wall Street

The benchmark S&P 500 (SNPINDEX: ^GSPC) scale entered 2026 adjacent an all-time high, driven by spectacular gains successful immoderate of America's largest artificial quality (AI) stocks passim past year. However, investors tin inactive find charismatic opportunities successful the AI abstraction if they're consenting to task disconnected the beaten path.

Duolingo (NASDAQ: DUOL) operates the world's largest integer language-education level and is utilizing AI to heighten the learning experience, which is creating caller opportunities to make revenue. The institution is increasing rapidly, but its banal was trading astatine a sky-high valuation successful mid-2025, truthful it was precise hard to marque the lawsuit for investing backmost then.

However, Duolingo banal is present down 67% from its grounds precocious and adjacent the cheapest level it has ever been since going nationalist successful 2021. In fact, Wall Street is forecasting coagulated upside from here, with astir of the analysts tracked by The Wall Street Journal assigning a bullish standing to the stock. Here's wherefore investors mightiness regret not buying the caller dip.

Duolingo takes a mobile-first attack to learning, which places precocious integer lessons astatine the fingertips of anyone with a smartphone. Its app besides gamifies the full acquisition and rewards accordant effort, which keeps users engaged. During the 3rd 4th of 2025 (ended Sept. 30), the level had 135.3 cardinal monthly progressive users, which was a 20% summation from the year-ago period.

The institution makes wealth successful 2 ways: It shows ads to its escaped users and offers a bid of paid subscription options to users who privation to accelerate their learning by unlocking further features. At the extremity of the 3rd quarter, the platform's paying subscriber basal soared by 34% twelvemonth implicit twelvemonth to a grounds 11.5 cardinal users.

Duolingo's astir costly subscription tier is called Max and offers an expanding database of AI-powered features. There's Roleplay, which uses a chatbot-style interface to assistance users signifier their conversational skills, and besides Explain My Answer, which provides users with personalized proposal based connected their mistakes successful each lesson.