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Submitted by Sam Quirke. Article Posted: 9/5/2026.
When the AI boom took hold, few companies looked more vulnerable than Duolingo Inc. (NASDAQ: DUOL). If a chatbot could teach you a language for free, the thinking went, why bother with a dedicated app?
That fear sent the stock down more than 80% in less than a year. But since bottoming out last April, shares of the language-learning app have rallied sharply. After gaining about 70% through the end of last week, the stock jumped again this week following a fresh analyst upgrade.
Alexander Green bought Apple in 1996, recommended Nvidia at a split-adjusted 66 cents in 2004, and picked up Amazon and Netflix under $3 per share in 2005.
Now the chief investment strategist at The Oxford Club has identified three AI stocks he believes could be the most profitable investments of the next decade.
Click here to get all three AI stock names from Alexander GreenEvercore's Mark Mahaney has turned bullish, saying the threat from ChatGPT and its peers has been wildly overstated. Along with a fresh Outperform rating, he raised his price target to $210, indicating more than 30% upside from current levels.
Mahaney also offered an interesting comparison. He likened Duolingo's setup to that of Netflix Inc. (NASDAQ: NFLX) in 2022, when the streaming giant's shares fell more than 75% before a wave of product improvements powered a spectacular recovery. As we head into the final few months of 2026, could Duolingo be setting up for a Netflix-style comeback of its own?
The heart of the bullish case is that the market has fundamentally misjudged the AI threat. Rather than stealing Duolingo's users, tools like ChatGPT appear to coexist with the app, and the same people often use both. The evidence is telling. Evercore's research found that most language learners who use ChatGPT also use Duolingo. Crucially, they use the app just as intensively as Duolingo's most dedicated fans.
Far from cannibalizing the business, the AI-chatbot crowd treats ChatGPT as a casual supplement, turning to it mostly for light, travel-related dabbling rather than serious study.
Given that Duolingo's stock lost more than 80% of its value on the assumption that this would not be the case, that distinction matters enormously. It suggests the company's committed, habit-forming core—the users who log in day after day to keep their streaks alive—remains firmly intact. But with shares still down 70% from last year's all-time high, it appears the market still has not fully priced this in.
Beyond the AI question, the underlying numbers paint a picture of a company in good health. User growth, for example, has been accelerating rather than fading, with daily active users recently hitting an all-time high. Just as important, those users are sticking around, with retention rates well above 80%. They're also coming back: A clever one-off campaign to win back lapsed learners brought millions of users back to the app.
That's not exactly the kind of engagement momentum you'd expect from a product being disrupted by AI. Duolingo is also widening its appeal well beyond languages, pushing into subjects such as math, music and even chess, while using AI to reduce the cost of premium features. The cost per use of one of the app's tools fell from around 30 cents to less than 1 cent—a neat illustration that, far from being replaced by AI, Duolingo is making the technology work in its favor.
For all the renewed enthusiasm, the skeptics have not been entirely silenced, and their concerns deserve a fair hearing. The most pressing is the gap between Duolingo's booming user numbers and the slower pace at which it converts those users into paying subscribers. Strong engagement is one thing; turning it into revenue is quite another.
Then there are external risks, from the ever-present threat of new and more capable AI rivals to the regulatory complications of operating in China. This market holds the key to much of Duolingo's planned growth. In addition, with shares already having rebounded sharply, investors are right to question whether most of the easy gains have been made.
So, could Duolingo really deliver the next Netflix-style comeback? The parallel is appealing: a beaten-down favorite, written off too soon, staging a comeback on the back of relentless product innovation. If the comparison holds, today's price could look cheap in hindsight, just as Netflix's did before its own 700% recovery.
Yet caution is warranted. Netflix operated at a vastly greater scale, and the monetization questions hanging over Duolingo are real and unresolved. History, as ever, rarely repeats itself so cleanly, and a single upbeat analyst call does not guarantee a repeat performance.
Still, the direction of travel is hard to ignore. Duolingo seems to have answered its biggest existential question, with strong evidence that AI is proving more friend than foe, while its engagement numbers continue to climb. For investors willing to look past the near-term doubts, this recovering favorite may be at the start of a triple-digit rally of its own.
Submitted by Jessica Mitacek. Article Posted: 9/3/2026.
On multiple occasions this year, President Donald Trump has publicly shown his support for Dell Technologies (NYSE: DELL), telling Americans to “go out and buy a Dell computer” as recently as July 6.
In doing so, he has shone a light on one of the best-performing stocks of the past year.
Alexander Green bought Apple in 1996, recommended Nvidia at a split-adjusted 66 cents in 2004, and picked up Amazon and Netflix under $3 per share in 2005.
Now the chief investment strategist at The Oxford Club has identified three AI stocks he believes could be the most profitable investments of the next decade.
Click here to get all three AI stock names from Alexander GreenSince reaching a multiyear low on April 4, 2025, in the wake of the market’s tariff tantrum, Dell shares have gained more than 490%.
Founder and CEO Michael Dell and his wife, Susan, are also vocal supporters of the president. They have personally pledged $6.25 billion to help fund Trump Accounts—the administration’s tax-advantaged investment plans for children under 18, which provide $1,000 in government funding for babies born between 2025 and 2028.
But Trump isn’t just a fan of the stock. According to his 927-page financial disclosure, filed with the U.S. Office of Government Ethics on June 30, he is also a shareholder. That position has paid off for the president and investors broadly, most recently after Dell reported blowout second-quarter fiscal 2027 earnings on Sept. 1 after the close.
The 42-year-old company is perhaps best known for its laptop and desktop computers, which were popularized by a series of highly successful commercials in the early 2000s.
But as a multinational technology conglomerate, Dell also designs, manufactures and sells a broad range of IT products and services, including enterprise software, cloud infrastructure and managed financial solutions.
Dell is also a government contractor. Trump’s stake, which reportedly grew to between $1 million and $5 million in February and March, preceded the company’s being awarded a five-year, $9.7 billion contract on May 28 to provide software consolidation and cloud services across the military, intelligence community and Coast Guard.
Second-quarter fiscal 2027 revenue came in at a record $46.97 billion, surpassing the consensus estimate of $44.89 billion and representing a 58% year-over-year (YOY) increase. But earnings per share (EPS) was the headline-grabber. An EPS of $7.04, up more than 200% YOY, easily surpassed analyst expectations of $4.91. The earnings beat marked the company’s 10th in the past 11 quarters.
Additional highlights included:
AI server revenue of $16.4 billion and a growing backlog of $95 billion
Full-year guidance for AI server revenue of $74 billion
Traditional server and networking revenue growth of 122%
Storage growth of 26% YOY, with record demand growth in Dell IP
$2.2 billion in cash flow from operations and a record $4.3 billion returned to shareholders through dividends and stock buybacks
As a result, Dell raised its full-year revenue guidance by $25 billion to a range of $192 billion to $202 billion and raised its EPS guidance to $25.50 at the midpoint.
In his earnings call comments, COO Jeff Clarke said Dell’s broad portfolio, global reach and customer relationships are helping drive demand across compute, networking, storage and PCs as the company’s addressable market expands.
Analysts largely anticipated the company’s strong second-quarter fiscal 2027 performance.
On May 30, Wall Street Zen raised Dell from a Buy rating to a Strong Buy rating. On June 1, Goldman Sachs analysts boosted their price target on Dell from $230 to $500 while maintaining a Buy rating. More recently, Bank of America raised its price target on Dell from $505 to $600 on Aug. 31 while maintaining a Buy rating.
Following Dell’s Sept. 1 earnings report, JPMorgan raised its target from $565 to $635 and maintained an Overweight rating, while UBS, TD Cowen and Morgan Stanley lifted their targets to $500, $500 and $499, respectively.
Overall, Dell carries a Moderate Buy rating. Based on 34 analysts covering the stock, its average 12-month price target suggests more than 11% additional upside from current prices.
In addition to bullish price targets and strong ratings from Wall Street, institutional owners are supporting the investment case. Over the past year, 1,031 institutional buyers have injected $92.48 billion into Dell, easily surpassing the outflows from 602 sellers, which totaled just over $3 billion.
Meanwhile, short interest has recently tapered off. Currently, just 3.7% of the float—or $6.89 billion worth of shares—is sold short, marking a notable improvement from the multiyear high of nearly $8 billion shorted on May 29.