Shares of Duolingo (DUOL) dipped in early trading on Monday despite the company’s strong growth prospects. Analyst Andrew Boone of JMP Securities downgraded the rating for Duolingo from Market Outperform to Market Perform, citing the stock’s already high valuation reflecting future growth initiatives. Boone remains positive about Duolingo’s execution and product roadmap, highlighting the potential of new features like video calls and AI-powered conversational learning.
Sphere Entertainment Co., the company behind the Las Vegas Sphere, is facing challenges due to high production costs and scalability issues, leading analyst Mike Hickey to downgrade the company’s rating to Sell. Hickey believes the profitability outlook is underwhelming, citing expensive content creation and the risk associated with a single screen to recover massive investments. He also questions the feasibility of replicating the Las Vegas model in other markets due to high investment requirements, potential community resistance, and the need for consistent tourist traffic.
