Shares of Duolingo, Inc. (DUOL) plummeted 5.07% in Monday's pre-market trading session, following a significant target price cut by Jefferies. The language-learning platform's stock faced pressure as investors reacted to the lowered expectations from a major Wall Street firm.

Jefferies, a prominent financial services company, reduced its target price for Duolingo from $325 to $210, representing a substantial 35% decrease. This adjustment in valuation has sparked concerns among investors about the company's growth prospects and future performance, leading to the sharp decline in stock price.

While the specific reasons behind Jefferies' decision were not immediately clear, such target price cuts often reflect changes in a company's financial outlook, market conditions, or competitive landscape. Investors will likely be closely monitoring Duolingo's upcoming financial reports and any further analyst commentary to gauge the company's trajectory in the competitive ed-tech sector.