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Updated 2026-05-04
DocuSign, Inc. (DOCU) vs Duolingo, Inc. (DUOL): Stock Comparison 2026
Quick verdict: DOCU vs DUOL in 2026
Our comprehensive analysis of the DOCU vs DUOL stock comparison 2026 reveals Duolingo (DUOL) as having a stronger overall edge. DUOL is the clear growth leader with significantly higher revenue expansion, while also presenting a more attractive valuation for potential investors. Duolingo also takes the lead in ultimate net profitability and has higher confidence from analysts regarding future upside. Not investment advice.
Best for Value: DUOL
Best for Income: Neither
DOCU vs DUOL: key metrics side by side
Full side-by-side comparison of DOCU and DUOL across valuation, profitability, growth and analyst sentiment. Data updated 2026-05-04.
| Metric | DOCU | DUOL |
|---|---|---|
| Revenue (TTM) | $3.22B | $1.04B |
| Revenue growth YoY | 8.2% | 38.7% DUOL wins |
| Gross margin | 79.4% DOCU wins | 72.23% |
| Net margin | 9.6% | 39.91% DUOL wins |
| EBITDA margin | 17.46% DOCU wins | 14.45% |
| ROE | N/A% | N/A% |
| FCF yield | 11.24% DOCU wins | 7.08% |
| P/E ratio | 31.43x | 12.76x DUOL wins |
| P/B ratio | 5.07x | 3.92x DUOL wins |
| Debt / equity | 0.1x | 0.07x DUOL wins |
| Dividend yield | 0% | 0% |
| Buy rating % | 28.6% | 36.4% DUOL wins |
| Analyst consensus | Hold | Hold |
| Price target upside | +41.7% | +94.6% DUOL wins |
| DCF upside | +63.8% | +238.9% DUOL wins |
| FMP rating | A- | A |
DOCU vs DUOL valuation comparison
A critical aspect of any `docu vs duol stock comparison 2026` is their valuation. DocuSign (DOCU) currently trades at a P/E ratio of 31.43x and a P/B ratio of 5.07x. While these multiples suggest a growth-oriented valuation, Duolingo (DUOL) presents a much more compelling picture with a P/E of 12.76x and a P/B of 3.92x. Despite its higher current share price, DUOL’s significantly lower multiples imply it is trading at a more attractive price relative to its earnings and book value.
Furthermore, a Discounted Cash Flow (DCF) analysis suggests substantial upside for both companies, but with a clear advantage for DUOL. DOCU’s DCF model indicates a potential upside of +63.8% from its current price of $48.455 to a fair value of $79.38. In contrast, DUOL’s DCF shows an impressive +238.9% upside, indicating a fair value of $383.97 from its current $113.3156 price. This substantial difference strongly suggests that, from a `docu vs duol fundamentals and valuation` perspective, DUOL is currently offering a more undervalued opportunity, especially for investors looking for significant long-term potential. DUOL appears cheaper based on these valuation metrics.
DOCU vs DUOL growth comparison
When evaluating `docu vs duol stock comparison 2026` through a growth lens, Duolingo (DUOL) demonstrates significantly stronger momentum. DocuSign (DOCU) reported trailing twelve-month revenue of $3.22 billion with a year-over-year growth rate of +8.2%. This indicates steady, albeit modest, expansion in its mature market. DOCU’s growth trajectory suggests a company that is solidifying its position and potentially focusing on profitability and market share in its established electronic signature and agreement cloud segments.
Duolingo (DUOL), on the other hand, showcases explosive growth, reporting revenue of $1.04 billion with an impressive year-over-year growth rate of +38.7%. This rapid expansion highlights DUOL’s ability to capture a growing share in the online language learning and education technology sector. The substantial difference in revenue growth rates positions DUOL as the clear leader for investors prioritizing top-line expansion and market penetration. Its higher growth rate implies stronger momentum and potential for continued market expansion, especially within the dynamic education tech landscape.
DOCU vs DUOL profitability
A deep dive into the profitability of these two tech giants reveals distinct strengths within the `docu vs duol fundamentals and valuation`. DocuSign (DOCU) generated a net margin of 9.6% and an EBITDA margin of 17.46%. Its Free Cash Flow (FCF) yield stands at a robust 11.24%. While its Net Margin is respectable, the FCF yield indicates a strong ability to convert revenue into readily available cash, a positive sign for operational efficiency and financial health. The Return on Equity (ROE) for both companies is N/A%, limiting direct comparison on this specific metric.
Duolingo (DUOL), however, boasts a considerably higher net margin of 39.91%, demonstrating exceptional efficiency in converting revenue into profit. This superior net margin indicates that DUOL retains a significantly larger portion of its sales as profit compared to DOCU. While DUOL’s EBITDA margin is slightly lower at 14.45% and its FCF yield is 7.08%, its impressive net margin underscores a highly profitable business model. Therefore, when considering which company generates more ultimate profit from its operations, DUOL leads due to its commanding net margin, though DOCU shows strong cash generation capabilities via its FCF yield.
Analyst ratings: DOCU vs DUOL
Examining analyst sentiment is key to understanding market perception in this `docu vs duol stock comparison 2026`. DocuSign (DOCU) is currently covered by 28 analysts, with 28.6% assigning a “Buy” rating. The consensus rating for DOCU is “Hold,” and their average price target stands at $68.67, representing an impressive potential upside of +41.7% from its current price. This indicates that while analysts see significant room for appreciation, the overall consensus leans towards a cautious stance, suggesting some uncertainty or perceived fair valuation at present levels.
In contrast, Duolingo (DUOL) is covered by 22 analysts, with a higher percentage of 36.4% recommending a “Buy.” The consensus for DUOL also remains “Hold,” but their average price target is $220.56, implying a much larger potential upside of +94.6% from its current trading price. The higher percentage of “Buy” ratings and the substantially greater projected upside signal that analysts, on average, have a more optimistic outlook for DUOL’s future performance and growth prospects. This suggests analysts prefer DUOL for its perceived greater upside potential.
Should I buy DOCU or DUOL stock in 2026?
For growth investors keenly focused on expanding revenue and market share, the question of “should i buy docu or duol stock 2026” leans heavily towards Duolingo (DUOL). With a remarkable year-over-year revenue growth of +38.7% compared to DocuSign’s (DOCU) +8.2%, DUOL clearly demonstrates stronger momentum and a higher potential for continued expansion in the dynamic education technology sector. Its ability to scale rapidly, coupled with a superior net profit margin, makes it a compelling choice for those seeking high-growth opportunities.
For value investors, analyzing `docu vs duol fundamentals and valuation` shows Duolingo as the more attractive option. DUOL trades at a P/E ratio of 12.76x and a P/B ratio of 3.92x, significantly lower than DOCU’s P/E of 31.43x and P/B of 5.07x. Furthermore, DUOL’s Discounted Cash Flow (DCF) analysis suggests a massive +238.9% upside, dwarfing DOCU’s +63.8%. This indicates that, despite its higher share price, DUOL is potentially more undervalued based on its future cash flow generating capabilities and current multiples, offering better long-term value.
Regarding income, neither DOCU nor DUOL currently presents an appealing option for dividend-focused investors. Both companies maintain a 0% dividend yield, reflecting their strategies to reinvest earnings back into the business for growth rather than distributing them to shareholders. Therefore, if income generation is a primary investment goal, neither of these stocks would be suitable in 2026. This is not investment advice; please conduct your own thorough research.
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FAQ: DOCU vs DUOL
Is DOCU or DUOL a better stock in 2026?
In 2026, Duolingo (DUOL) appears to be the stronger contender, offering significantly higher revenue growth, a more attractive valuation (P/E of 12.76x vs DOCU’s 31.43x), and greater projected upside according to DCF analysis and analyst price targets. DUOL also boasts a superior net profit margin (39.91% vs 9.6%). However, DocuSign (DOCU) shows strong free cash flow generation. Not investment advice.
Which has more analyst upside — DOCU or DUOL?
As of 2026-05-04, analysts project more upside for Duolingo (DUOL). The consensus price target for DOCU is $68.67, representing +41.7% upside, while DUOL’s consensus target is $220.56, indicating a higher +94.6% upside. Not a prediction by Alert Invest.
Which is growing faster — DOCU or DUOL?
Duolingo (DUOL) is growing significantly faster, with a year-over-year revenue growth of +38.7% compared to DocuSign’s (DOCU) +8.2%.
Which is more profitable — DOCU or DUOL?
Duolingo (DUOL) is more profitable based on net margin, reporting 39.91% compared to DocuSign’s (DOCU) 9.6%. Both companies have ROE listed as N/A%.
Do DOCU or DUOL pay dividends?
Neither DocuSign (DOCU) nor Duolingo (DUOL) currently pays dividends, with both having a 0% dividend yield.
For informational purposes only. Not investment advice. Data: Financial Modeling Prep & SEC EDGAR. Always do your own research.
