WallStSmart

Duolingo Inc (DUOL)vsSAP SE ADR (SAP)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

SAP SE ADR generates 3298% more annual revenue ($37.34B vs $1.10B). DUOL leads profitability with a 38.4% profit margin vs 19.6%. DUOL trades at a lower P/E of 14.3x. DUOL earns a higher WallStSmart Score of 65/100 (C+).

DUOL

Buy

65

out of 100

Grade: C+

Growth: 8.7Profit: 8.5Value: 7.7Quality: 7.5
Piotroski: 2/9Altman Z: 2.81

SAP

Buy

59

out of 100

Grade: C

Growth: 6.0Profit: 8.5Value: 4.7Quality: 6.8
Piotroski: 6/9Altman Z: 3.11
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

DUOLUndervalued (+57.5%)

Margin of Safety

+57.5%

Fair Value

$257.05

Current Price

$119.94

$137.11 discount

UndervaluedFair: $257.05Overvalued
SAPSignificantly Overvalued (-34.8%)

Margin of Safety

-34.8%

Fair Value

$145.80

Current Price

$148.06

$2.26 premium

UndervaluedFair: $145.80Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

DUOL6 strengths · Avg: 9.0/10
Return on EquityProfitability
30.4%10/10

Every $100 of equity generates 30 in profit

Profit MarginProfitability
38.4%10/10

Keeps 38 of every $100 in revenue as profit

Debt/EquityHealth
0.0710/10

Conservative balance sheet, low leverage

P/E RatioValuation
14.3x8/10

Attractively priced relative to earnings

Revenue GrowthGrowth
26.5%8/10

Revenue surging 26.5% year-over-year

EPS GrowthGrowth
23.6%8/10

Earnings expanding 23.6% YoY

SAP4 strengths · Avg: 9.3/10
Operating MarginProfitability
30.0%10/10

Strong operational efficiency at 30.0%

Altman Z-ScoreHealth
3.1110/10

Safe zone — low bankruptcy risk

Market CapQuality
$179.08B9/10

Large-cap with strong market position

Free Cash FlowQuality
$3.27B8/10

Generating 3.3B in free cash flow

Areas to Watch

DUOL1 concerns · Avg: 3.0/10
Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

SAP0 concerns · Avg: 0/10

No major concerns identified

Comparative Analysis Report

WallStSmart Research

Bull Case : DUOL

The strongest argument for DUOL centers on Return on Equity, Profit Margin, Debt/Equity. Profitability is solid with margins at 38.4% and operating margin at 15.4%. Revenue growth of 26.5% demonstrates continued momentum.

Bull Case : SAP

The strongest argument for SAP centers on Operating Margin, Altman Z-Score, Market Cap. Profitability is solid with margins at 19.6% and operating margin at 30.0%. PEG of 1.35 suggests the stock is reasonably priced for its growth.

Bear Case : DUOL

The primary concerns for DUOL are Piotroski F-Score.

Bear Case : SAP

No major red flags identified for SAP, but monitor valuation.

Key Dynamics to Monitor

DUOL profiles as a growth stock while SAP is a mature play — different risk/reward profiles.

DUOL carries more volatility with a beta of 0.89 — expect wider price swings.

DUOL is growing revenue faster at 26.5% — sustainability is the question.

SAP generates stronger free cash flow (3.3B), providing more financial flexibility.

Bottom Line

DUOL scores higher overall (65/100 vs 59/100), backed by strong 38.4% margins and 26.5% revenue growth. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Duolingo Inc

TECHNOLOGY · SOFTWARE - APPLICATION · USA

Duolingo Inc (DUOL) is a pioneering leader in the edtech industry, celebrated for its innovative language-learning platform that has attracted more than 500 million users worldwide through an effective freemium model and enticing gamification strategies. Founded in 2011, the company employs sophisticated AI-driven personalized learning to optimize user engagement and retention across a broad spectrum of over 30 languages. With a strong commitment to making education universally accessible, Duolingo is well-positioned to capitalize on the burgeoning digital learning market, presenting compelling growth opportunities for institutional investors looking to invest in the future of educational technology.

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SAP SE ADR

TECHNOLOGY · SOFTWARE - APPLICATION · USA

SAP SE is a global enterprise application software company. The company is headquartered in Walldorf, Germany.

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