Earnings results often give us a good indication of what direction a company will take in the months ahead. With Q4 now behind us, let’s have a look at Duolingo (NASDAQ:DUOL) and its peers.

Consumers today expect goods and services to be hyper-personalized and on demand. Whether it be what music they listen to, what movie they watch, or even finding a date, online consumer businesses are expected to delight their customers with simple user interfaces that magically fulfill demand. Subscription models have further increased usage and stickiness of many online consumer services.

The 8 consumer subscription stocks we track reported a slower Q4; on average, revenues beat analyst consensus estimates by 1.3% while next quarter's revenue guidance was 1% below consensus. Investors abandoned cash-burning companies to buy stocks with higher margins of safety, and consumer subscription stocks have not been spared, with share prices down 13% on average, since the previous earnings results.

Best Q4: Duolingo (NASDAQ:DUOL)

Founded by a Carnegie Mellon computer science professor and his Ph.D. student, Duolingo (NASDAQ:DUOL) is a mobile app helping people learn new languages.

Duolingo reported revenues of $151 million, up 45.4% year on year, topping analyst expectations by 1.8%. It was an impressive quarter for the company, with a strong growth in its user base and exceptional revenue growth.

“2023 was an exceptional year that exceeded our own high expectations. It was capped off with a very strong Q4 that saw us achieve record bookings, revenue and profitability,” said Luis von Ahn, Co-Founder and CEO of Duolingo.

Duolingo scored the fastest revenue growth and highest full-year guidance raise of the whole group. The company reported 6.6 million users, up 57.1% year on year. The stock is up 10.7% since the results and currently trades at $216.75.

Read why we think that Duolingo is one of the best consumer subscription stocks, our full report is free.

Roku (NASDAQ:ROKU)

Spun out from Netflix, Roku (NASDAQ: ROKU) makes hardware players that offer access to various online streaming TV services.

Roku reported revenues of $984.4 million, up 13.5% year on year, outperforming analyst expectations by 1.7%. It was a decent quarter for the company, with strong sales guidance for the next quarter but slow revenue growth.

The stock is down 36.1% since the results and currently trades at $60.42.

Is now the time to buy Roku? Access our full analysis of the earnings results here, it's free.

Weakest Q4: Chegg (NYSE:CHGG)

Started as a physical textbook rental service, Chegg (NYSE:CHGG) is now a digital platform addressing student pain points by providing study and academic assistance.

Chegg reported revenues of $188 million, down 8.4% year on year, exceeding analyst expectations by 1.1%. It was a weak quarter for the company, with a decline in its user base and slow revenue growth.

Chegg had the slowest revenue growth in the group. The company reported 4.6 million users, down 8% year on year. The stock is down 23.8% since the results and currently trades at $7.08.

Read our full analysis of Chegg's results here.

Coursera (NYSE:COUR)

Founded by two Stanford University computer science professors, Coursera (NYSE:COUR) is an online learning platform that offers courses, specializations, and degrees from top universities and organizations around the world.

Coursera reported revenues of $168.9 million, up 18.8% year on year, surpassing analyst expectations by 2.5%. It was a mixed quarter for the company, with strong growth in its user base but underwhelming revenue guidance for the next quarter.

Coursera delivered the biggest analyst estimates beat among its peers. The company reported 142 million users, up 20.3% year on year. The stock is down 28.5% since the results and currently trades at $13.7.

Read our full, actionable report on Coursera here, it's free.

Udemy (NASDAQ:UDMY)

With courses ranging from investing to cooking to computer programming, Udemy (NASDAQ:UDMY) is an online learning platform that connects learners with expert instructors who specialize in a wide range of topics.

Udemy reported revenues of $189.5 million, up 14.6% year on year, surpassing analyst expectations by 1.9%. It was a weak quarter for the company, with full-year revenue guidance missing analysts' expectations.

Udemy had the weakest full-year guidance update among its peers. The company reported 1.37 million active buyers, up 0.7% year on year. The stock is down 24.4% since the results and currently trades at $10.59.

Read our full, actionable report on Udemy here, it's free.

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