** Shares of Duolingo drop 7% to $332.76 after Bank of American analysts downgraded the language learning platform to "neutral" from "buy"

** DUOL shares are on track for biggest daily pct decline since July this year and on course for the lowest close in nearly three weeks

** DUOL now has "less upside potential as shares are now trading at peak valuation and near-term estimate revisions may be lower than in prior quarters," said Bofa analyst Curtis Nagle

** Bofa raised its price target to $375 from $355

** "We continue to see Duolingo as one of the highest quality and most consistent growth names within Internet and we see potential for 40% EBITDA margins and over 20% GAAP net income margins over the long-term," Nagle says

** Among 19 analysts cover DUOL, median PT is $351 and avg rating is "buy", per LSEG data

** With today's move, DUOL is now up ~48% YTD

(Reporting by Chibuike Oguh in New York)

((Chibuike.Oguh@thomsonreuters.com; +332-219-1834; Reuters Messaging: chibuike.oguh.thomsonreuters.com@reuters.net))