Performance in the fourth quarter was led by our exposure to consumer-focused investments as the consumer remains resilient despite macro worries. Shares of FIGS increased 69.8% in the fourth quarter and added 161 bps to performance as the company continues to generate strong results. Shares of Hyatt Hotels increased 13.1% and added 60 bps to performance as the company reported strong RevPAR and unit growth rates despite concerns about the macro economy.

In the closing of the recent trading day, Duolingo, Inc. (DUOL) stood at $111.01, denoting a -1.29% move from the preceding trading day.

Duolingo (DUOL) doesn't possess the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.

Duolingo shifts focus to teaching quality and long-term user growth, even as daily active user gains slow and near-term monetization faces pressure.

AI is crushing digital businesses, and capital is starting to rotate out of tech. Meanwhile, many REITs trade at 30% discounts to NAV with ~5% yields. We highlight three anti-AI real asset plays that could rerate sharply higher.

As the competitive landscape evolves, long-term Duolingo investors must look beyond user growth and ask more challenging strategic questions.

Scale is a strategic asset for this language learning app. Last year saw Duolingo reach a billion-dollar milestone.

DUOL has plunged 70% in six months, yet still trades at a premium as AI risks and a growth-over-monetization shift cloud its near-term outlook.

The bearish thesis is that Duolingo will be replaced by AI, but financial results suggest the opposite. Duolingo has continued to gain market share and deliver excellent results despite ChatGPT reaching 100 million users in January 2023.

Growth has to be sustainable. Monetization efficiency matters more than user totals.