Form 4: Duolingo CEO Luis von Ahn Executes Stock Option and Sells Shares Under 10b5-1 Plan

Duolingo's CEO, Luis von Ahn, exercised a stock option and sold Class A Common Stock on March 17, 2025, under a pre-arranged 10b5-1 trading plan.

Summary

• On March 17, 2025, Luis von Ahn, CEO and Co-Founder of Duolingo, Inc., engaged in transactions involving the company's stock.
• Von Ahn exercised a stock option to acquire 8,000 shares of Class A Common Stock at a price of $7.48 per share.
• Simultaneously, von Ahn sold a total of 8,000 shares of Class A Common Stock at prices ranging from $285.4567 to $301.31 per share.
• These sales were executed under a pre-arranged Rule 10b5-1 trading plan adopted on September 12, 2024.
• Following these transactions, von Ahn directly owns 0 shares of Class A Common Stock and 3,154,171 shares of Class B Common Stock.
• Von Ahn also holds 8,000 derivative securities (Stock Options) that are fully vested and exercisable.

Sentiment

Score: 5

Explanation: The sentiment is neutral as the filing simply reports transactions executed under a pre-existing trading plan. There's no indication of positive or negative sentiment towards the company's prospects.

Industry Context

Form 4 filings are standard disclosures required by the SEC when company insiders, like the CEO, trade their company's stock. These filings are closely watched by investors for insights into management's perspective on the company's value and future prospects. The use of a 10b5-1 plan suggests the sales were pre-planned and not based on any specific non-public information.

Stakeholder Impact

• The stock sales by the CEO could have a minor impact on shareholder sentiment, but the existence of a 10b5-1 plan mitigates concerns about insider information being used for personal gain.

Key Dates