Duolingo's $670M Volume Plunge Ranks 129th as AI Expansion Fails to Spark Momentum

On September 12, 2025, , . , . equities. Market participants noted reduced liquidity despite the company’s ongoing strategic focus on expanding its language-learning platform into generative AI tools.

Analysts highlighted that the volume contraction followed a period of elevated interest in the stock earlier in the month, driven by renewed investor speculation about its potential to monetize AI-driven educational features. However, the absence of new product announcements or earnings reports in recent days contributed to a cooling of momentum. The stock’s performance remained sensitive to broader market sentiment, particularly in tech-heavy sectors where volatility has persisted amid macroeconomic uncertainties.

To construct a back-tested portfolio that re-selects the 500 highest-volume stocks daily, key parameters require clarification: the (e.g., full U.S. listings or S&P 500 constituents), weighting methodology (e.g., equal-weighted), and execution assumptions (e.g., one-day hold periods). Current tools limit testing to single tickers, necessitating alternative approaches such as proxy indices or custom data feeds for cross-sectional analysis. Transaction cost estimates and data scope remain critical variables for accurate simulation. Finalizing these details will enable precise back-testing execution.