Duolingo Inc ( DUOL ) shares are tanking in Wednesday’s after-hours session on the heels of the company’s third-quarter financial results.

DUOL stock is at key technical levels. Watch the momentum here.

What To Know: Duolingo ( DUOL ) reported third-quarter revenue of $271.7 million, beating analyst estimates of $260.33 million, according to Benzinga Pro. The company reported third-quarter earnings of $5.95 per share, which may not compare to estimates.

Total revenue was up 41% year-over-year as daily active users climbed 36% year-over-year to 50.2 million. Monthly active users came in at 135.3 million, up 20% year-over-year.

Duolingo ( DUOL ) expects fourth-quarter revenue to be in the range of $273 million to $277 million versus estimates of $274.55 million. The company also raised its full-year 2025 revenue guidance from a range of $1.011 billion to $1.019 billion to a new range of $1.028 billion to $1.032 billion, versus estimates of $1.018 billion.

“DAUs grew 36% year over year in Q3, even on top of an exceptional Q3 last year. Growth was slightly slower than Q2 in part because we posted less ‘unhinged’ content on our English-speaking social media accounts as we listened to community feedback and prioritized building long-term brand sentiment,” the company said in a letter to shareholders.

“We recently started posting more unhinged content, and while impressions haven't yet reached peak volume, we've seen a significant increase in them. We also modestly increased marketing spend to help drive momentum, particularly in the U.S.”

Shares appear to be reacting to the slower sequential user growth reported in the quarter. The company is currently discussing the quarter on an earnings call that started at 5:30 p.m. ET.

DUOL Price Action: Duolingo ( DUOL ) shares were down 17.34% at $214.93 at the time of publication on Wednesday, according to Benzinga Pro.

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