Chegg (CHGG)
Market Price (12/28/2025): $0.999 | Market Cap: $108.3 MilSector: Consumer Discretionary | Industry: Education Services
Chegg (CHGG)
Market Price (12/28/2025): $0.999Market Cap: $108.3 MilSector: Consumer DiscretionaryIndustry: Education Services
Investment Highlights Why It Matters Detailed financial logic regarding cash flow yields vs trend-riding momentum.
| Cash is significant % of market capNet D/ENet Debt/Equity. Debt net of cash. Negative indicates net cash. Equity is taken as the Market Capitalization is -12% | Weak multi-year price returns2Y Excs Rtn is -137%, 3Y Excs Rtn is -178% | Penny stockMkt Price is 1.0 |
| Attractive yieldFCF Yield is 7.2% | Not profitable at operating income levelOp Inc LTMOperating Income, Last Twelve Months is -108 Mil, Op Mgn LTMOperating Margin = Operating Income / Revenue Reflects profitability before taxes and before impact of capital structure (interest payments). is -24% | |
| Megatrend and thematic driversMegatrends include Future of Education. Themes include Online Learning Platforms, Digital Learning Resources, and AI-Powered Education. | Weak revenue growthRev Chg LTMRevenue Change % Last Twelve Months (LTM) is -32%, Rev Chg 3Y AvgRevenue Change % averaged over trailing 3 years is -16%, Rev Chg QQuarterly Revenue Change % is -43% | |
| Yield minus risk free rate is negativeERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is -76% | ||
| High stock price volatilityVol 12M is 113% | ||
| Key risksCHGG key risks include [1] the profound disruption to its core business model from advanced AI tools that directly compete with its services and [2] a potential delisting from the NYSE due to its persistently low stock price. |
| Cash is significant % of market capNet D/ENet Debt/Equity. Debt net of cash. Negative indicates net cash. Equity is taken as the Market Capitalization is -12% |
| Attractive yieldFCF Yield is 7.2% |
| Megatrend and thematic driversMegatrends include Future of Education. Themes include Online Learning Platforms, Digital Learning Resources, and AI-Powered Education. |
| Weak multi-year price returns2Y Excs Rtn is -137%, 3Y Excs Rtn is -178% |
| Penny stockMkt Price is 1.0 |
| Not profitable at operating income levelOp Inc LTMOperating Income, Last Twelve Months is -108 Mil, Op Mgn LTMOperating Margin = Operating Income / Revenue Reflects profitability before taxes and before impact of capital structure (interest payments). is -24% |
| Weak revenue growthRev Chg LTMRevenue Change % Last Twelve Months (LTM) is -32%, Rev Chg 3Y AvgRevenue Change % averaged over trailing 3 years is -16%, Rev Chg QQuarterly Revenue Change % is -43% |
| Yield minus risk free rate is negativeERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is -76% |
| High stock price volatilityVol 12M is 113% |
| Key risksCHGG key risks include [1] the profound disruption to its core business model from advanced AI tools that directly compete with its services and [2] a potential delisting from the NYSE due to its persistently low stock price. |
Why The Stock Moved
Qualitative Assessment
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Chegg (CHGG) experienced a significant decline in its stock price, moving approximately -32.5% during the period from late August 2025 to late December 2025. This downturn was primarily driven by a confluence of factors, mainly stemming from persistent challenges in its core business exacerbated by the rising influence of artificial intelligence.
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<b>1. Continuing Decline in Subscribers and Revenue:</b> The company reported dismal financial results in Q2 2025 (announced in early August 2025), revealing a steep 40% year-over-year drop in subscription service subscribers to 2.6 million. Total revenue also saw a significant decrease, falling 36% from the previous year. This trend of declining users and revenue continued to impact investor confidence throughout the period.
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<b>2. Impact of Generative AI and Google's AI Overviews:</b> A major headwind for Chegg was the increasing adoption of free generative AI tools by students, which reduced the attractiveness of Chegg's paid services. Management consistently cited Google's AI Overviews feature as a factor diverting traffic away from Chegg and negatively impacting sales.
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<b>3. Weak Financial Outlook and Guidance:</b> Chegg provided a cautious outlook for future quarters, with its Q3 2025 revenue forecast of $75 million to $77 million falling short of analyst expectations. The company's revenue was also projected to decline by approximately 22.9% per annum, signaling persistent financial challenges and an unfavorable path to growth.
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<b>4. Workforce Reductions and Restructuring Efforts:</b> In response to its declining business and the "new realities of AI," Chegg initiated significant restructuring plans. Around October 2025, the company announced a workforce reduction of approximately 45%, cutting 388 jobs, as part of efforts to realign its cost structure and pivot its strategy.
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<b>5. NYSE Non-Compliance Notice:</b> In December 2025, Chegg received a continued Listing Standard Notice from the New York Stock Exchange. Such a notice can indicate concerns about the company's financial health or operational performance, further eroding investor confidence during this period.
Show moreStock Movement Drivers
Fundamental Drivers
The -33.9% change in CHGG stock from 9/27/2025 to 12/27/2025 was primarily driven by a -24.1% change in the company's P/S Multiple.| 9272025 | 12272025 | Change | |
|---|---|---|---|
| Stock Price ($) | 1.50 | 0.99 | -33.85% |
| Change Contribution By | LTM | LTM | |
| Total Revenues ($ Mil) | 506.58 | 447.73 | -11.62% |
| P/S Multiple | 0.32 | 0.24 | -24.08% |
| Shares Outstanding (Mil) | 106.91 | 108.45 | -1.44% |
| Cumulative Contribution | -33.87% |
Market Drivers
9/27/2025 to 12/27/2025| Return | Correlation | |
|---|---|---|
| CHGG | -33.9% | |
| Market (SPY) | 4.3% | 25.8% |
| Sector (XLY) | 1.8% | 19.9% |
Fundamental Drivers
The -23.7% change in CHGG stock from 6/28/2025 to 12/27/2025 was primarily driven by a -20.7% change in the company's Total Revenues ($ Mil).| 6282025 | 12272025 | Change | |
|---|---|---|---|
| Stock Price ($) | 1.30 | 0.99 | -23.68% |
| Change Contribution By | LTM | LTM | |
| Total Revenues ($ Mil) | 564.61 | 447.73 | -20.70% |
| P/S Multiple | 0.24 | 0.24 | -0.74% |
| Shares Outstanding (Mil) | 105.16 | 108.45 | -3.13% |
| Cumulative Contribution | -23.75% |
Market Drivers
6/28/2025 to 12/27/2025| Return | Correlation | |
|---|---|---|
| CHGG | -23.7% | |
| Market (SPY) | 12.6% | 27.2% |
| Sector (XLY) | 11.9% | 20.3% |
Fundamental Drivers
The -37.2% change in CHGG stock from 12/27/2024 to 12/27/2025 was primarily driven by a -32.4% change in the company's Total Revenues ($ Mil).| 12272024 | 12272025 | Change | |
|---|---|---|---|
| Stock Price ($) | 1.58 | 0.99 | -37.20% |
| Change Contribution By | LTM | LTM | |
| Total Revenues ($ Mil) | 662.08 | 447.73 | -32.37% |
| P/S Multiple | 0.25 | 0.24 | -2.91% |
| Shares Outstanding (Mil) | 103.72 | 108.45 | -4.56% |
| Cumulative Contribution | -37.33% |
Market Drivers
12/27/2024 to 12/27/2025| Return | Correlation | |
|---|---|---|
| CHGG | -37.2% | |
| Market (SPY) | 17.0% | 25.3% |
| Sector (XLY) | 7.0% | 24.3% |
Fundamental Drivers
The -96.1% change in CHGG stock from 12/28/2022 to 12/27/2025 was primarily driven by a -94.2% change in the company's P/S Multiple.| 12282022 | 12272025 | Change | |
|---|---|---|---|
| Stock Price ($) | 25.26 | 0.99 | -96.07% |
| Change Contribution By | LTM | LTM | |
| Total Revenues ($ Mil) | 769.17 | 447.73 | -41.79% |
| P/S Multiple | 4.14 | 0.24 | -94.20% |
| Shares Outstanding (Mil) | 126.13 | 108.45 | 14.02% |
| Cumulative Contribution | -96.15% |
Market Drivers
12/28/2023 to 12/27/2025| Return | Correlation | |
|---|---|---|
| CHGG | -91.3% | |
| Market (SPY) | 48.0% | 22.8% |
| Sector (XLY) | 37.7% | 24.2% |
Price Returns Compared
| 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Total [1] | |
|---|---|---|---|---|---|---|---|
| Returns | |||||||
| CHGG Return | 138% | -66% | -18% | -55% | -86% | -44% | -98% |
| Peers Return | 16% | 38% | -12% | 21% | 26% | 16% | 150% |
| S&P 500 Return | 16% | 27% | -19% | 24% | 23% | 18% | 114% |
Monthly Win Rates [3] | |||||||
| CHGG Win Rate | 67% | 50% | 50% | 50% | 17% | 50% | |
| Peers Win Rate | 52% | 65% | 42% | 68% | 57% | 52% | |
| S&P 500 Win Rate | 58% | 75% | 42% | 67% | 75% | 73% | |
Max Drawdowns [4] | |||||||
| CHGG Max Drawdown | -27% | -72% | -46% | -70% | -87% | -71% | |
| Peers Max Drawdown | -34% | -5% | -26% | -7% | -9% | -23% | |
| S&P 500 Max Drawdown | -31% | -1% | -25% | -1% | -2% | -15% | |
[1] Cumulative total returns since the beginning of 2020
[2] Peers: HPQ, HPE, IBM, CSCO, AAPL. See CHGG Returns vs. Peers.
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year
[5] 2025 data is for the year up to 12/26/2025 (YTD)
How Low Can It Go
| Event | CHGG | S&P 500 |
|---|---|---|
| 2022 Inflation Shock | ||
| % Loss | -93.4% | -25.4% |
| % Gain to Breakeven | 1413.5% | 34.1% |
| Time to Breakeven | Not Fully Recovered days | 464 days |
| 2020 Covid Pandemic | ||
| % Loss | -37.9% | -33.9% |
| % Gain to Breakeven | 61.0% | 51.3% |
| Time to Breakeven | 48 days | 148 days |
| 2018 Correction | ||
| % Loss | -37.8% | -19.8% |
| % Gain to Breakeven | 60.8% | 24.7% |
| Time to Breakeven | 216 days | 120 days |
Compare to HPQ, HPE, IBM, CSCO, AAPL
In The Past
Chegg's stock fell -93.4% during the 2022 Inflation Shock from a high on 2/12/2021. A -93.4% loss requires a 1413.5% gain to breakeven.
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Chegg, Inc. operates direct-to-student learning platform that supports students starting with their academic journey and extending into their careers with products and services to support and help them better understand their academic course materials. The company offers Chegg Services, which include subscription services; and required materials that comprise its print textbooks and eTextbooks. Its subscription services include Chegg Study, which helps students master challenging concepts on their own; Chegg Writing that provides students with a suite of tools, such as plagiarism detection scans, grammar and writing fluency checking, expert personalized writing feedback, and premium citation generation; Chegg Math, a step-by-step math problem solver and calculator that helps students to solve problems; Chegg Study Pack, a bundle of various Chegg Services product offerings, including Chegg Study, Chegg Writing, and Chegg Math Solver services, which creates an integrated platform of connected academic support services; Busuu, an online language learning solution that offers a comprehensive solution through a combination of self-paced lessons, live classes with expert tutors, and the ability to learn and practice with members of the Busuu language learning community; and Thinkful, a skills-based learning platform that offers professional courses along with networking, interviewing, and career services. The company also provides other services, such as Chegg Life, Chegg Prep, and Chegg Internships; provides personal and professional development skills training; and rents and sells print textbooks and eTextbooks. Chegg, Inc. was incorporated in 2005 and is headquartered in Santa Clara, California.
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Here are 1-3 brief analogies for Chegg (CHGG):
- Netflix for academic help and study tools.
- Stack Overflow for college students' homework questions.
- Amazon Prime for college students' academic needs.
AI Analysis | Feedback
- Chegg Study Pack: A digital academic support platform offering a subscription service with expert Q&A, step-by-step textbook solutions, practice problems, flashcards, and writing and math problem-solving tools.
- Chegg Tutors: An online tutoring service that connects students with live, on-demand subject matter experts for personalized academic assistance.
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For Chegg (symbol: CHGG), the company primarily sells its educational services directly to individuals rather than to other businesses (B2C model).
Its major customers can be categorized as follows:
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College and University Students: This is Chegg's core demographic. Undergraduate and, to a lesser extent, graduate students extensively use Chegg for a wide array of academic support, including textbook rentals, online homework help, step-by-step solutions, study materials, and live tutoring across various subjects.
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High School Students (Advanced Courses): Students enrolled in advanced high school programs, such as Advanced Placement (AP), International Baccalaureate (IB), or dual enrollment courses, frequently leverage Chegg's resources for help with complex assignments, test preparation, and deeper understanding of college-level material.
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Students Seeking Specialized Subject Support: While overlapping with the above, a significant portion of Chegg's user base consists of students specifically looking for in-depth assistance in challenging fields like Science, Technology, Engineering, and Mathematics (STEM). Chegg tailors much of its content and expert solutions to these demanding subjects, attracting students who require specialized help beyond general academic support.
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The following are key members of Chegg's management team:Nathan Schultz
President and Chief Executive Officer Nathan Schultz became President and CEO of Chegg in June 2024, after serving over 16 years in various operational roles at the company, including Chief Operating Officer. He has dedicated his career to education, having previously worked in educational publishing at Bowker, Pearson, and Jones & Bartlett. At Chegg, he led the expansion and integration of the company's student offerings globally and oversaw the transition to a fully digital learning platform. He was also instrumental in integrating AI into product development, leading to the creation of Chegg's proprietary large language models. Schultz also has entrepreneurial experience as a restaurant owner.David Longo
Chief Financial Officer David Longo was appointed Chief Financial Officer of Chegg, effective February 21, 2024. He joined Chegg in December 2021, and prior to his appointment as CFO, he held the positions of Vice President, Chief Accounting Officer, Corporate Controller, and Assistant Treasurer at the company. Before joining Chegg, Longo served as Chief Accounting Officer for Shutterfly, Inc., and as Senior Vice President and Controller at CBS Interactive. He holds a B.S. in Business Administration with a concentration in accounting from Boston University and is a licensed CPA.Dan Rosensweig
Executive Chairman Dan Rosensweig served as Chief Executive Officer of Chegg from 2010 to June 2024, during which he transformed the company from a textbook rental service into a leading provider of digital learning services. He now serves as Executive Chairman. Prior to Chegg, Rosensweig was the President and CEO of Guitar Hero and the Chief Operating Officer of Yahoo! from 2002 to 2006, where he oversaw global operations. He also served as President of CNET and President and CEO of ZDNet, taking ZDNet public and selling it to CNET in 2001. From 2007 to 2009, Rosensweig was a partner at the private investment firm Quadrangle Group, where he focused on media and communications private equity. He is also an angel investor and serves on the boards of directors for several companies, including Adobe.Chuck Geiger
Chief Technology Officer Chuck Geiger has been Chegg's Chief Technology Officer since June 2024, and previously served as Chief Technology Advisor since November 2022. He has a long history with Chegg, having served in various roles including Chief Product Officer and Chief Technology Officer from 2009 to 2018. Before his initial tenure at Chegg, he was a Partner at Silicon Valley Product Group and also held the position of Executive and Vice President of Technology at Ask.com, which was part of IAC/InterActiveCorp.Debra Thompson
Chief People Officer Debra Thompson has served as Chegg's Chief People Officer since March 2020. In this role, she is responsible for the company's human resources strategies, including talent acquisition, employee engagement, and organizational development. Her career in human resources spans over three decades, with prior significant roles at companies such as Amyris Inc., Risk Management Solutions, and CNET Networks.AI Analysis | Feedback
Key Risks to Chegg (CHGG)
- Impact of Artificial Intelligence (AI) on its Business Model: The most significant risk facing Chegg is the profound disruption caused by advanced AI tools, such as Large Language Models (LLMs) like ChatGPT. These AI tools directly compete with Chegg's core offerings by providing students with free and instant solutions to homework problems and study assistance, leading to a substantial decline in Chegg's subscriber growth, revenue, and overall business relevance. This technological shift has resulted in significant financial losses, stock plunges, and workforce reductions for Chegg.
- Risk of Delisting from the NYSE: Chegg has received a notice from the New York Stock Exchange (NYSE) for non-compliance with listing standards, as its average closing share price has fallen below $1.00 for a consecutive 30-trading-day period. This situation presents a significant risk of its common stock being suspended and potentially delisted from the NYSE, which could further erode investor confidence and impact the company's market accessibility. Chegg has a six-month period to regain compliance.
- Intense Competition and Broader Financial Challenges: Chegg operates in a highly competitive education technology (ed-tech) market, which, combined with the disruptive impact of AI, poses ongoing threats to its business. The company has faced a turbulent financial landscape marked by declining revenue, subscriber numbers, cash flow challenges, and debt management issues. Chegg's ability to innovate and adapt its products and services in response to these competitive and technological developments is crucial for its long-term stability.
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One clear emerging threat to Chegg (CHGG) is the rapid advancement and widespread adoption of generative artificial intelligence (AI), particularly large language models (LLMs) like ChatGPT, Google Gemini, and Anthropic Claude.
These AI technologies directly compete with Chegg's core subscription services, such as Chegg Study (for step-by-step solutions and expert Q&A), Chegg Writing (for grammar and plagiarism checking), and Chegg Math Solver. LLMs are increasingly capable of providing accurate answers to homework problems, generating essays, explaining complex concepts, and assisting with various academic tasks, often at no cost or a lower cost than Chegg's subscriptions.
Evidence for this threat is robust:
- Chegg itself acknowledged the significant impact of generative AI during its Q1 2023 earnings call, stating that the launch of ChatGPT in particular had "an impact on our new customer additions since March." This resulted in a substantial slowdown in subscriber growth.
- Following this admission, Chegg's stock price experienced a sharp decline (e.g., a nearly 50% drop on May 2, 2023), indicating the market's clear perception of this as a material threat.
- Chegg's strategic response, including its initiative to integrate AI into its own offerings through "CheggMate" powered by OpenAI, further underscores its recognition of AI as a disruptive force that necessitates a fundamental adaptation of its business model.
- The continuous development and accessibility of these powerful AI tools are shifting how students seek academic help, directly challenging Chegg's value proposition.
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Chegg Inc. operates within the educational technology sector, offering a range of services primarily aimed at college students. Its main products and services include online tutoring and study support, digital and physical textbook rentals, and online learning tools. The addressable markets for these core offerings are global, with specific market sizes also available for the U.S. market.Addressable Markets for Chegg's Main Products and Services:
* Online Tutoring and Study Services: * The global online tutoring services market was valued at approximately USD 10.42 billion in 2023 and is projected to grow to about USD 41.19 billion by 2032, with a compound annual growth rate (CAGR) of 16.5% during the forecast period of 2025-2032. Other estimates for the global online tutoring market include USD 8.36 billion in 2024, projected to reach USD 27.63 billion by 2034 with a 12.7% CAGR. * For the U.S. online private tutoring market specifically, the size was valued at USD 4.32 billion in 2024 and is projected to reach USD 8.08 billion by 2030, growing at a CAGR of 11.10%. North America held over 35% of the revenue share in the online tutoring services market in 2024. * Digital Textbooks and Resources: * The global digital textbooks and resources market is projected to expand from USD 6.5 billion in 2025 to USD 15.7 billion by 2033, demonstrating a CAGR of 19.2%. Another assessment indicates the global digital textbooks market size was USD 16.4 billion in 2024 and is forecasted to reach USD 54.7 billion by 2033, with a CAGR of 14.2%. * Chegg is also involved in the interactive textbooks market, a segment of digital textbooks. The global interactive textbooks market size was estimated at USD 1.21 billion in 2023 and is projected to reach USD 4.18 billion by 2032. North America held a dominant position in the interactive textbooks market in 2023, accounting for more than 38% of the market share, with a revenue of USD 0.9 billion. * Broader Online Learning Platforms / E-learning Market (contextual for Chegg's operational environment): * The global online learning platforms market size was recorded at USD 13.05 billion in 2021 and is expected to reach USD 21.89 billion by the end of 2025, with projections suggesting it will grow to USD 61.56 billion by 2033 at a CAGR of 13.8% from 2025 to 2033. Other estimates for the broader e-learning market indicate a global value of approximately USD 399.3 billion in 2022, with expectations to exceed USD 1 trillion by 2032, growing at a CAGR of approximately 14%. * The online learning industry in the United States alone is predicted to be valued at USD 687 billion by 2030. Chegg's core market is also cited as encompassing 15 million U.S. college students. While not a market size in revenue, it indicates a significant target user base.AI Analysis | Feedback
Chegg (CHGG) is focusing on several key drivers to spur future revenue growth over the next 2-3 years, primarily through a strategic pivot towards a skills-focused, business-to-business model and leveraging AI innovation.
- Growth in Busuu (Language Learning): Chegg's language learning platform, Busuu, is expected to be a significant growth engine. The business-to-consumer (B2C) segment is benefiting from AI-driven product enhancements like Speaking Practice, which is improving customer acquisition and retention. The business-to-business (B2B) segment of Busuu has demonstrated strong double-digit revenue growth, including a 29% year-over-year increase in Q1 2025 and a 39% year-over-year increase in Q2 2025. Busuu is projected to generate approximately $48 million in revenue in 2025 and achieve adjusted EBITDA positivity by the first quarter of 2026.
- Expansion of Chegg Skills (Workplace Readiness and Upskilling): The Chegg Skills offering is positioned for substantial growth, focusing on skill-building for the modern workforce, including foundational digital and AI training. Chegg anticipates 2025 to be a "breakout year" for Skills, with expectations for positive double-digit revenue growth in 2026. This expansion includes new pilot programs in India and growing partnerships with organizations like Guild, EdifyOnline, and Noodle to provide AI programs and professional upskilling.
- Content Licensing and Institutional Partnerships: Chegg is diversifying its revenue streams through content licensing agreements and direct institutional contracts. In Q1 2025, the company reported $4 million in revenue from licensing its question-and-answer content to AI companies, with an additional $7 million expected in Q2 2025. The business-to-institution program also expanded from five to 15 pilot programs in Q1 2025, with a target of 40 by year-end.
- AI-Powered Product Enhancements and "Reinvention" of Chegg Study: To address the impact of generative AI, Chegg is transforming its core Chegg Study product into a personalized learning assistant powered by AI. Recent introductions include "Solution Scout," which enables students to compare solutions from multiple language models alongside Chegg's proprietary content, and an AI-powered "Create" feature for generating customized practice tests. These innovations aim to enhance learning engagement, provide personalized experiences, and ultimately retain and attract users to the platform.
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Share Repurchases
- In 2023, Chegg executed stock repurchases that reduced shares outstanding by 19% compared to 2022, and repurchased $597 million of outstanding convertible notes at a $92 million discount to par.
- In November 2024, the Board of Directors approved a $300 million increase to its existing securities repurchase program, resulting in $303.7 million remaining available under the program.
- In March 2025, Chegg entered into agreements to repurchase approximately $56.6 million of its outstanding 0% Convertible Senior Notes due in 2026, leaving $157.7 million available for future transactions under its securities repurchase program.
Share Issuance
- Between December 31, 2024, and June 30, 2025, Chegg issued approximately 2.9 million shares, with 107,821,415 shares issued and outstanding as of June 30, 2025.
- In October 2025, CEO Dan Rosensweig was granted 1,650,000 RSUs with time-based vesting and up to 3,850,000 performance-based RSUs tied to stock-price hurdles over 36 months.
Outbound Investments
- In November 2021, Chegg acquired Busuu, a mobile platform for language learning, for $436 million.
- In June 2020, Chegg acquired the math solver Mathway for approximately $100 million in an all-cash transaction, with potential additional payments of up to $15 million.
- Chegg is strategically investing in its Busuu and Skills divisions, focusing on professional language learning, workplace readiness, and AI-related skills courses, which are expected to generate approximately $70 million in revenue in 2025.
Capital Expenditures
- Capital expenditures were $81 million in 2020 and were expected to be in the range of $90 million to $100 million in 2021, primarily for content development.
- Capital expenditures have significantly decreased, falling 60% year-over-year to $7 million in Q2 2025, largely due to leveraging AI to reduce content and software development costs.
- Chegg anticipates full-year 2025 capital expenditures of approximately $30 million, with a targeted further reduction of approximately 50% in 2026, as the company focuses on AI-powered product offerings like Chegg Study and Busuu.
Latest Trefis Analyses
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Trade Ideas
Select ideas related to CHGG. For more, see Trefis Trade Ideas.
| Date | Ticker | Company | Category | Trade Strategy | 6M Fwd Rtn | 12M Fwd Rtn | 12M Max DD |
|---|---|---|---|---|---|---|---|
| 11302025 | BBWI | Bath & Body Works | Dip Buy | DB | Insider Buys | Low D/EDip Buy with Strong Insider BuyingBuying dips for companies with strong insider buying in the last 1 month, positive operating income and reasonable debt / market cap | 13.7% | 13.7% | 0.0% |
| 11262025 | HRB | H&R Block | Dip Buy | DB | FCFY OPMDip Buy with High FCF Yield and High MarginBuying dips for companies with high FCF yield and meaningfully high operating margin | 6.0% | 6.0% | -0.1% |
| 11262025 | LRN | Stride | Dip Buy | DB | FCFY OPMDip Buy with High FCF Yield and High MarginBuying dips for companies with high FCF yield and meaningfully high operating margin | 3.8% | 3.8% | -4.4% |
| 11212025 | ABNB | Airbnb | Dip Buy | DB | FCFY OPMDip Buy with High FCF Yield and High MarginBuying dips for companies with high FCF yield and meaningfully high operating margin | 19.7% | 19.7% | 0.0% |
| 11212025 | MTN | Vail Resorts | Dip Buy | DB | FCFY OPMDip Buy with High FCF Yield and High MarginBuying dips for companies with high FCF yield and meaningfully high operating margin | 2.3% | 2.3% | -1.6% |
| 01312023 | CHGG | Chegg | Dip Buy | DB | CFO/Rev | Low D/EDip Buy with High Cash Flow MarginsBuying dips for companies with significant cash flows from operations and reasonable debt / market cap | -50.2% | -52.6% | -63.9% |
| 05312022 | CHGG | Chegg | Dip Buy | DB | CFO/Rev | Low D/EDip Buy with High Cash Flow MarginsBuying dips for companies with significant cash flows from operations and reasonable debt / market cap | 44.5% | -53.9% | -53.9% |
| 11302021 | CHGG | Chegg | Dip Buy | DB | CFO/Rev | Low D/EDip Buy with High Cash Flow MarginsBuying dips for companies with significant cash flows from operations and reasonable debt / market cap | -30.1% | 7.1% | -40.9% |
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Peer Comparisons for Chegg
| Peers to compare with: |
Financials
| Median | |
|---|---|
| Name | |
| Mkt Price | 51.32 |
| Mkt Cap | 158.8 |
| Rev LTM | 56,496 |
| Op Inc LTM | 7,584 |
| FCF LTM | 7,327 |
| FCF 3Y Avg | 7,366 |
| CFO LTM | 8,590 |
| CFO 3Y Avg | 8,697 |
Growth & Margins
| Median | |
|---|---|
| Name | |
| Rev Chg LTM | 5.2% |
| Rev Chg 3Y Avg | 2.2% |
| Rev Chg Q | 8.3% |
| QoQ Delta Rev Chg LTM | 2.0% |
| Op Mgn LTM | 12.1% |
| Op Mgn 3Y Avg | 11.9% |
| QoQ Delta Op Mgn LTM | -0.1% |
| CFO/Rev LTM | 15.1% |
| CFO/Rev 3Y Avg | 22.5% |
| FCF/Rev LTM | 11.6% |
| FCF/Rev 3Y Avg | 15.7% |
Price Behavior
Price Behavior
| Market Price | $0.99 | |
| Market Cap ($ Bil) | 0.1 | |
| First Trading Date | 11/13/2013 | |
| Distance from 52W High | -46.1% | |
| 50 Days | 200 Days | |
| DMA Price | $1.03 | $1.11 |
| DMA Trend | down | down |
| Distance from DMA | -3.5% | -11.0% |
| 3M | 1YR | |
| Volatility | 110.4% | 113.8% |
| Downside Capture | 262.56 | 220.05 |
| Upside Capture | 11.76 | 140.30 |
| Correlation (SPY) | 26.6% | 25.5% |
CHGG Betas & Captures as of 11/30/2025
[1] Upside and downside betas calculated using positive and negative benchmark daily returns respectively
| 1M | 2M | 3M | 6M | 1Y | 3Y | |
|---|---|---|---|---|---|---|
| Beta | 1.48 | 2.10 | 2.88 | 3.31 | 1.46 | 1.30 |
| Up Beta | -1.53 | 1.48 | 1.18 | 1.88 | 0.55 | 0.56 |
| Down Beta | 2.29 | 4.38 | 3.65 | 3.78 | 1.98 | 2.01 |
| Up Capture | 212% | -63% | 121% | 369% | 168% | 26% |
| Bmk +ve Days | 12 | 25 | 38 | 73 | 141 | 426 |
| Stock +ve Days | 7 | 18 | 27 | 55 | 112 | 331 |
| Down Capture | 179% | 234% | 335% | 290% | 151% | 111% |
| Bmk -ve Days | 7 | 16 | 24 | 52 | 107 | 323 |
| Stock -ve Days | 12 | 23 | 35 | 68 | 131 | 402 |
[1] Upside and downside betas calculated using positive and negative benchmark daily returns respectively
Based On 1-Year Data
| Comparison of CHGG With Other Asset Classes (Last 1Y) | |||||||
|---|---|---|---|---|---|---|---|
| CHGG | Sector ETF | Equity | Gold | Commodities | Real Estate | Bitcoin | |
| Annualized Return | -43.9% | 7.5% | 17.8% | 72.1% | 8.6% | 4.4% | -8.2% |
| Annualized Volatility | 113.2% | 24.3% | 19.4% | 19.3% | 15.2% | 17.0% | 35.0% |
| Sharpe Ratio | 0.01 | 0.24 | 0.72 | 2.70 | 0.34 | 0.09 | -0.08 |
| Correlation With Other Assets | 24.0% | 25.0% | 0.2% | 10.7% | 19.1% | 23.3% | |
ETFs used for asset classes: Sector ETF = XLY, Equity = SPY, Gold = GLD, Commodities = DBC, Real Estate = VNQ, and Bitcoin = BTCUSD
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Based On 5-Year Data
| Comparison of CHGG With Other Asset Classes (Last 5Y) | |||||||
|---|---|---|---|---|---|---|---|
| CHGG | Sector ETF | Equity | Gold | Commodities | Real Estate | Bitcoin | |
| Annualized Return | -59.2% | 9.6% | 14.7% | 18.7% | 11.5% | 4.6% | 30.8% |
| Annualized Volatility | 81.9% | 23.8% | 17.1% | 15.5% | 18.7% | 18.9% | 48.6% |
| Sharpe Ratio | -0.69 | 0.36 | 0.70 | 0.97 | 0.50 | 0.16 | 0.57 |
| Correlation With Other Assets | 27.8% | 25.7% | 4.5% | 6.1% | 20.2% | 14.7% | |
ETFs used for asset classes: Sector ETF = XLY, Equity = SPY, Gold = GLD, Commodities = DBC, Real Estate = VNQ, and Bitcoin = BTCUSD
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Based On 10-Year Data
| Comparison of CHGG With Other Asset Classes (Last 10Y) | |||||||
|---|---|---|---|---|---|---|---|
| CHGG | Sector ETF | Equity | Gold | Commodities | Real Estate | Bitcoin | |
| Annualized Return | -18.0% | 13.2% | 14.8% | 15.3% | 7.0% | 5.3% | 69.2% |
| Annualized Volatility | 67.9% | 21.9% | 18.0% | 14.7% | 17.6% | 20.8% | 55.8% |
| Sharpe Ratio | 0.03 | 0.55 | 0.71 | 0.86 | 0.32 | 0.22 | 0.90 |
| Correlation With Other Assets | 29.9% | 27.7% | 3.0% | 10.0% | 18.6% | 9.7% | |
ETFs used for asset classes: Sector ETF = XLY, Equity = SPY, Gold = GLD, Commodities = DBC, Real Estate = VNQ, and Bitcoin = BTCUSD
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Returns Analyses
Earnings Returns History
Expand for More| Forward Returns | |||
|---|---|---|---|
| Earnings Date | 1D Returns | 5D Returns | 21D Returns |
| 10/27/2025 | -13.2% | -34.6% | -37.4% |
| 8/5/2025 | -14.0% | -14.0% | 29.5% |
| 5/12/2025 | 7.5% | 29.9% | 126.1% |
| 2/24/2025 | -31.4% | -33.3% | -60.2% |
| 11/12/2024 | -10.7% | -5.1% | 26.6% |
| 8/5/2024 | -22.2% | -30.0% | -29.0% |
| 4/29/2024 | -27.9% | -28.0% | -48.8% |
| 2/5/2024 | -6.1% | -5.1% | -14.5% |
| ... | |||
| SUMMARY STATS | |||
| # Positive | 10 | 9 | 10 |
| # Negative | 15 | 16 | 15 |
| Median Positive | 8.3% | 11.6% | 28.0% |
| Median Negative | -15.1% | -17.9% | -21.3% |
| Max Positive | 32.3% | 39.7% | 126.1% |
| Max Negative | -48.8% | -51.0% | -60.2% |
SEC Filings
Expand for More| Report Date | Filing Date | Filing |
|---|---|---|
| 9302025 | 11102025 | 10-Q 9/30/2025 |
| 6302025 | 8082025 | 10-Q 6/30/2025 |
| 3312025 | 5122025 | 10-Q 3/31/2025 |
| 12312024 | 2242025 | 10-K 12/31/2024 |
| 9302024 | 11122024 | 10-Q 9/30/2024 |
| 6302024 | 8052024 | 10-Q 6/30/2024 |
| 3312024 | 4292024 | 10-Q 3/31/2024 |
| 12312023 | 2202024 | 10-K 12/31/2023 |
| 9302023 | 10302023 | 10-Q 9/30/2023 |
| 6302023 | 8072023 | 10-Q 6/30/2023 |
| 3312023 | 5012023 | 10-Q 3/31/2023 |
| 12312022 | 2212023 | 10-K 12/31/2022 |
| 9302022 | 11012022 | 10-Q 9/30/2022 |
| 6302022 | 8042022 | 10-Q 6/30/2022 |
| 3312022 | 5022022 | 10-Q 3/31/2022 |
| 12312021 | 2222022 | 10-K 12/31/2021 |
External Quote Links
| Y Finance | Barrons |
| TradingView | Morningstar |
| SeekingAlpha | ValueLine |
| Motley Fool | Robinhood |
| CNBC | Etrade |
| MarketWatch | Unusual Whales |
| YCharts | Perplexity Finance |
| FinViz |
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