WallStSmart

Duolingo Inc (DUOL)vsSAP SE ADR (SAP)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

SAP SE ADR generates 3447% more annual revenue ($36.80B vs $1.04B). DUOL leads profitability with a 39.9% profit margin vs 19.5%. DUOL trades at a lower P/E of 11.4x. DUOL earns a higher WallStSmart Score of 69/100 (B-).

DUOL

Strong Buy

69

out of 100

Grade: B-

Growth: 8.0Profit: 8.5Value: 8.3Quality: 6.5
Piotroski: 3/9Altman Z: 1.20

SAP

Buy

58

out of 100

Grade: C

Growth: 5.3Profit: 8.5Value: 7.3Quality: 8.0
Piotroski: 6/9Altman Z: 3.09
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

DUOLUndervalued (+72.8%)

Margin of Safety

+72.8%

Fair Value

$401.08

Current Price

$99.12

$301.96 discount

UndervaluedFair: $401.08Overvalued
SAPSignificantly Overvalued (-88.8%)

Margin of Safety

-88.8%

Fair Value

$104.04

Current Price

$168.95

$64.91 premium

UndervaluedFair: $104.04Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

DUOL5 strengths · Avg: 10.0/10
P/E RatioValuation
11.4x10/10

Attractively priced relative to earnings

Return on EquityProfitability
38.1%10/10

Every $100 of equity generates 38 in profit

Profit MarginProfitability
39.9%10/10

Keeps 40 of every $100 in revenue as profit

Revenue GrowthGrowth
35.0%10/10

Revenue surging 35.0% year-over-year

Debt/EquityHealth
0.0710/10

Conservative balance sheet, low leverage

SAP6 strengths · Avg: 8.8/10
Market CapQuality
$217.55B10/10

Mega-cap, among the largest globally

Altman Z-ScoreHealth
3.0910/10

Safe zone — low bankruptcy risk

Debt/EquityHealth
0.189/10

Conservative balance sheet, low leverage

PEG RatioValuation
0.798/10

Growing faster than its price suggests

Operating MarginProfitability
29.2%8/10

Strong operational efficiency at 29.2%

Free Cash FlowQuality
$1.09B8/10

Generating 1.1B in free cash flow

Areas to Watch

DUOL3 concerns · Avg: 3.0/10
EPS GrowthGrowth
1.9%4/10

1.9% earnings growth

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Altman Z-ScoreHealth
1.202/10

Distress zone — elevated risk

SAP2 concerns · Avg: 4.0/10
P/E RatioValuation
26.3x4/10

Moderate valuation

Revenue GrowthGrowth
3.3%4/10

3.3% revenue growth

Comparative Analysis Report

WallStSmart Research

Bull Case : DUOL

The strongest argument for DUOL centers on P/E Ratio, Return on Equity, Profit Margin. Profitability is solid with margins at 39.9% and operating margin at 15.5%. Revenue growth of 35.0% demonstrates continued momentum.

Bull Case : SAP

The strongest argument for SAP centers on Market Cap, Altman Z-Score, Debt/Equity. Profitability is solid with margins at 19.5% and operating margin at 29.2%. PEG of 0.79 suggests the stock is reasonably priced for its growth.

Bear Case : DUOL

The primary concerns for DUOL are EPS Growth, Piotroski F-Score, Altman Z-Score.

Bear Case : SAP

The primary concerns for SAP are P/E Ratio, Revenue Growth.

Key Dynamics to Monitor

DUOL profiles as a growth stock while SAP is a value 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 35.0% — sustainability is the question.

SAP generates stronger free cash flow (1.1B), providing more financial flexibility.

Bottom Line

DUOL scores higher overall (69/100 vs 58/100), backed by strong 39.9% margins and 35.0% revenue growth. Both earn "Strong 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 leading innovator in the education technology sector, renowned for its engaging language-learning platform that employs a freemium model and gamification to attract over 500 million users worldwide. Founded in 2011, the company has established itself as a significant player in the market through continuous investment in AI-driven personalized learning solutions, aimed at enhancing user acquisition and retention across more than 30 languages. Duolingo's commitment to accessible education and user-centric design positions it favorably in a rapidly evolving landscape, making it an appealing opportunity for institutional investors seeking exposure in the dynamic edtech space.

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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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