(CHGG) Chegg - Overview
Stock: Textbook, Subscription, Study, Writing, Math
EPS (Earnings per Share)
Revenue
| Risk 5d forecast | |
|---|---|
| Volatility | 99.5% |
| Relative Tail Risk | -11.2% |
| Reward TTM | |
|---|---|
| Sharpe Ratio | 0.00 |
| Alpha | -70.57 |
| Character TTM | |
|---|---|
| Beta | 1.691 |
| Beta Downside | 2.146 |
| Drawdowns 3y | |
|---|---|
| Max DD | 97.53% |
| CAGR/Max DD | -0.66 |
Description: CHGG Chegg January 19, 2026
Chegg, Inc. (NYSE: CHGG) delivers a suite of subscription-based learning tools-including Chegg Study, Chegg Writing, Chegg Math, and the bundled Study Pack-as well as the language platform Busuu and a technical-skills marketplace covering AI, coding, data analytics, and cybersecurity. The company also monetizes legacy print and e-textbook rentals/sales and sells advertising, targeting both individual students and corporate clients through direct-to-consumer and social-media channels. Incorporated in 2005 and headquartered in Santa Clara, California, Chegg operates within the Education Services sub-industry.
Key operating metrics from the most recent FY 2023 filing show approximately 4.2 million total subscribers, a year-over-year growth rate of ~6 %, and an average revenue per user (ARPU) of roughly $250. The firm reported revenue of $1.07 billion, a net loss of $140 million, and a cash-burn rate of $120 million, with churn hovering near 5 %. Primary economic drivers include continued pressure on tuition costs (boosting demand for affordable supplemental learning), accelerating adoption of AI-enhanced tutoring tools, and macro-level trends in discretionary student spending that can tighten margins during recessionary periods.
For a deeper dive into Chegg’s valuation dynamics and scenario analysis, you might explore the company’s profile on ValueRay.
Piotroski VR‑10 (Strict, 0-10) 3.0
| Net Income: -76.7m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.02 > 0.02 and ΔFCF/TA -7.66 > 1.0 |
| NWC/Revenue: -2.51% < 20% (prev -7.45%; Δ 4.94% < -1%) |
| CFO/TA 0.11 > 3% & CFO 42.6m > Net Income -76.7m |
| Net Debt (44.9m) to EBITDA (15.4m): 2.91 < 3 |
| Current Ratio: 0.95 > 1.5 & < 3 |
| Outstanding Shares: last quarter (108.5m) vs 12m ago 4.56% < -2% |
| Gross Margin: 62.76% > 18% (prev 0.73%; Δ 6203 % > 0.5%) |
| Asset Turnover: 64.84% > 50% (prev 66.03%; Δ -1.19% > 0%) |
| Interest Coverage Ratio: -57.31 > 6 (EBITDA TTM 15.4m / Interest Expense TTM 1.18m) |
Altman Z'' -13.62
| A: -0.03 (Total Current Assets 203.4m - Total Current Liabilities 214.6m) / Total Assets 378.3m |
| B: -2.54 (Retained Earnings -960.1m / Total Assets 378.3m) |
| C: -0.10 (EBIT TTM -67.6m / Avg Total Assets 690.5m) |
| D: -4.28 (Book Value of Equity -993.2m / Total Liabilities 232.2m) |
| Altman-Z'' Score: -13.62 = D |
Beneish M -3.90
| DSRI: 0.96 (Receivables 15.4m/23.7m, Revenue 447.7m/662.1m) |
| GMI: 1.16 (GM 62.76% / 72.64%) |
| AQI: 0.28 (AQ_t 0.08 / AQ_t-1 0.30) |
| SGI: 0.68 (Revenue 447.7m / 662.1m) |
| TATA: -0.32 (NI -76.7m - CFO 42.6m) / TA 378.3m) |
| Beneish M-Score: -3.90 (Cap -4..+1) = AAA |
What is the price of CHGG shares?
Over the past week, the price has changed by +2.65%, over one month by -16.80%, over three months by -21.74% and over the past year by -43.94%.
Is CHGG a buy, sell or hold?
- StrongBuy: 0
- Buy: 0
- Hold: 2
- Sell: 2
- StrongSell: 1
What are the forecasts/targets for the CHGG price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 2.8 | 253.2% |
| Analysts Target Price | 2.8 | 253.2% |
| ValueRay Target Price | 0.4 | -50.6% |
CHGG Fundamental Data Overview February 05, 2026
P/S = 0.1757
P/B = 0.5387
P/EG = 0.1227
Revenue TTM = 447.7m USD
EBIT TTM = -67.6m USD
EBITDA TTM = 15.4m USD
Long Term Debt = 127.3m USD (from longTermDebt, last fiscal year)
Short Term Debt = 67.7m USD (from shortTermDebt, last quarter)
Debt = 83.0m USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 44.9m USD (from netDebt column, last quarter)
Enterprise Value = 65.3m USD (78.7m + Debt 83.0m - CCE 96.4m)
Interest Coverage Ratio = -57.31 (Ebit TTM -67.6m / Interest Expense TTM 1.18m)
EV/FCF = 8.50x (Enterprise Value 65.3m / FCF TTM 7.68m)
FCF Yield = 11.76% (FCF TTM 7.68m / Enterprise Value 65.3m)
FCF Margin = 1.72% (FCF TTM 7.68m / Revenue TTM 447.7m)
Net Margin = -17.14% (Net Income TTM -76.7m / Revenue TTM 447.7m)
Gross Margin = 62.76% ((Revenue TTM 447.7m - Cost of Revenue TTM 166.8m) / Revenue TTM)
Gross Margin QoQ = 59.22% (prev 66.25%)
Tobins Q-Ratio = 0.17 (Enterprise Value 65.3m / Total Assets 378.3m)
Interest Expense / Debt = 0.05% (Interest Expense 41.0k / Debt 83.0m)
Taxrate = 21.0% (US default 21%)
NOPAT = -53.4m (EBIT -67.6m * (1 - 21.00%)) [loss with tax shield]
Current Ratio = 0.95 (Total Current Assets 203.4m / Total Current Liabilities 214.6m)
Debt / Equity = 0.57 (Debt 83.0m / totalStockholderEquity, last quarter 146.1m)
Debt / EBITDA = 2.91 (Net Debt 44.9m / EBITDA 15.4m)
Debt / FCF = 5.84 (Net Debt 44.9m / FCF TTM 7.68m)
Total Stockholder Equity = 170.6m (last 4 quarters mean from totalStockholderEquity)
RoA = -11.11% (Net Income -76.7m / Total Assets 378.3m)
RoE = -44.97% (Net Income TTM -76.7m / Total Stockholder Equity 170.6m)
RoCE = -22.69% (EBIT -67.6m / Capital Employed (Equity 170.6m + L.T.Debt 127.3m))
RoIC = -15.76% (negative operating profit) (NOPAT -53.4m / Invested Capital 339.0m)
WACC = 5.93% (E(78.7m)/V(161.7m) * Re(12.15%) + D(83.0m)/V(161.7m) * Rd(0.05%) * (1-Tc(0.21)))
Discount Rate = 12.15% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: -33.33 | Cagr: -4.50%
[DCF Debug] Terminal Value 82.99% ; FCFF base≈43.5m ; Y1≈33.2m ; Y5≈20.5m
Fair Price DCF = 5.35 (EV 629.2m - Net Debt 44.9m = Equity 584.3m / Shares 109.3m; r=5.93% [WACC]; 5y FCF grow -28.03% → 2.90% )
EPS Correlation: -77.06 | EPS CAGR: -15.75% | SUE: 0.56 | # QB: 0
Revenue Correlation: -84.47 | Revenue CAGR: -23.03% | SUE: 0.73 | # QB: 0
EPS next Quarter (2026-03-31): EPS=0.02 | Chg30d=-0.033 | Revisions Net=+1 | Analysts=2
EPS next Year (2026-12-31): EPS=0.01 | Chg30d=-0.042 | Revisions Net=+0 | Growth EPS=+117.8% | Growth Revenue=-32.6%