Is Duolingo, Inc. (DUOL) Halal?

NASDAQ Technology United States $4.5B
✓ HALAL
Confidence: 95/100
Duolingo, Inc. (DUOL) is Halal under 3 of 5 Shariah screening standards, including AAOIFI Standard 21. With a debt ratio of just 2.0% against the AAOIFI threshold of 30%, Duolingo, Inc. comfortably passes the key financial ratio tests. The company operates in the Technology sector (Software - Application), which is not a prohibited industry under Islamic finance principles.

Shariah Screening — 5 Standards

Based on financial data from December 2025

Standard Debt Ratio Cash Ratio Receivables Income Status
AAOIFI 2.0%
/ 30%
23.8%
/ 30%
3.7%
/ 30%
4.36%
/ 5%
✓ HALAL
DJIM 2.0%
/ 33%
23.8%
/ 33%
3.7%
/ 33%
4.36%
/ 5%
✓ HALAL
MSCI 4.7%
/ 33%
57.2%
/ 33%
8.9%
/ 33%
4.36%
/ 5%
✗ NOT HALAL
S&P 2.0%
/ 33%
23.8%
/ 33%
3.7%
/ 33%
4.36%
/ 5%
✓ HALAL
FTSE 4.7%
/ 33%
57.2%
/ 33%
8.9%
/ 50%
4.36%
/ 5%
✗ NOT HALAL

Financial Highlights

P/E Ratio
11.1
Forward: 11.8
EPS
$8.57
P/B Ratio
3.3
EV/EBITDA
22.1
EV: $3.4B
Revenue
$1.0B
Growth: 35.0%
Beta
0.9
Average volatility
Current Ratio
2.6

Profitability

Gross Margin 72.2%
Operating Margin 15.5%
Net Margin 39.9%
Return on Equity (ROE) 38.1%
Return on Assets (ROA) 5.4%

Cash Flow & Balance Sheet

Operating Cash Flow$388M
Free Cash Flow$360M
Total Debt$94M
Debt-to-Equity7.5
Current Ratio2.6
Total Assets$2.0B

Price & Trading

Last Close$98.11
50-Day MA$115.56
200-Day MA$248.20
Avg Volume2.7M
Beta0.9
52-Week Range
$91.61
$544.93

About Duolingo, Inc. (DUOL)

CEO
Dr. Luis Alfonso von Ahn Arellano Ph.D.
Employees
900
Sector
Technology
Industry
Software - Application
Country
United States
Exchange
NASDAQ
Market Cap
$4.5B
Currency
USD

Duolingo, Inc. operates as a mobile learning platform in the United States, the United Kingdom, and internationally. The company offers 250 language courses, including Spanish, English, French, German, Italian, Portuguese, Japanese, and Chinese through its Duolingo app. It also provides a digital English language proficiency assessment exam. The company was incorporated in 2011 and is headquartered in Pittsburgh, Pennsylvania.

Purification Calculator

As a halal stock with 4.36% impermissible income, you need to purify your dividends.

Enter your dividends to calculate purification amount

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Frequently Asked Questions

Is Duolingo, Inc. (DUOL) halal to invest in?

Based on our screening using AAOIFI Standard 21 (the strictest methodology), Duolingo, Inc. is Halal. The company passes all financial ratio thresholds for debt, cash, receivables, and impermissible income. We screen against all 5 major standards: AAOIFI, DJIM, MSCI, S&P, and FTSE.

What is Duolingo, Inc.'s debt ratio?

Duolingo, Inc.'s debt ratio is 2.0% under the AAOIFI standard (which uses market capitalization as the denominator). The AAOIFI threshold is 30%. Under MSCI and FTSE (which use total assets as the denominator), the debt ratio is 4.7%.

Does Duolingo, Inc. require dividend purification?

Yes, Duolingo, Inc. has an impermissible income ratio of 4.36%, which means 4.36% of any dividends received should be donated to charity as purification. This is because a small portion of the company's revenue comes from non-Shariah-compliant sources.

What are Duolingo, Inc.'s key financial metrics?

Duolingo, Inc. has a market capitalization of $4.5B, trailing P/E ratio of 11.1, and revenue of $1.0B. The company maintains a gross margin of 72.2% and a net margin of 39.9%. Return on equity stands at 38.1%.

How often is the screening data updated?

Our screening data is updated regularly using the latest available financial statements and market data. Stock prices and market caps are refreshed frequently, while financial statements are updated quarterly when companies report earnings.

Disclaimer: HalalStockGuide.com provides Shariah compliance screening for educational and informational purposes only. This is not a fatwa, financial advice, or a recommendation to buy or sell any security. Screening results are based on publicly available financial data and established methodologies. Always consult a qualified Islamic scholar and a licensed financial advisor before making investment decisions.