A securities fraud class action against Duolingo alleges the company misled investors about daily active user growth by adding ad volume and subscription upsells that created user friction, while rapidly generated AI content degraded product quality. The class period covers Class A shares purchased from May 2, 2025 through February 26, 2026. The lead plaintiff deadline is December 7, 2026. The suit claims internal A/B testing showed the friction and lower-quality AI content were hurting DAU growth and the subscription value proposition. No class has been certified.
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