Chegg, Inc. operates direct-to-student learning platform that supports students on their journey from high school to college and into their career with tools designed to help them pass their test, pass their class, and save money on required materials.
High growth potential with mediocre balance sheet.
Share Price & News
How has Chegg's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: CHGG has not had significant price volatility in the past 3 months.
7 Day Return
US Consumer Services
1 Year Return
US Consumer Services
Return vs Industry: CHGG underperformed the US Consumer Services industry which returned -2.4% over the past year.
Return vs Market: CHGG exceeded the US Market which returned -10.7% over the past year.
Price Volatility Vs. Market
How volatile is Chegg's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall StHave Insiders Been Selling Chegg, Inc. (NYSE:CHGG) Shares?
3 weeks ago | Simply Wall StIs Chegg, Inc.'s (NYSE:CHGG) CEO Pay Justified?
1 month ago | Simply Wall StHow Does Investing In Chegg, Inc. (NYSE:CHGG) Impact The Volatility Of Your Portfolio?
Is Chegg undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: CHGG ($35.78) is trading below our estimate of fair value ($39.23)
Significantly Below Fair Value: CHGG is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: CHGG is unprofitable, so we can't compare its PE Ratio to the Consumer Services industry average.
PE vs Market: CHGG is unprofitable, so we can't compare its PE Ratio to the US market.
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate CHGG's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: CHGG is overvalued based on its PB Ratio (8.7x) compared to the US Consumer Services industry average (1.6x).
How is Chegg forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: CHGG is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.7%).
Earnings vs Market: CHGG is forecast to become profitable over the next 3 years, which is considered above average market growth.
High Growth Earnings: CHGG's is expected to become profitable in the next 3 years.
Revenue vs Market: CHGG's revenue (14.7% per year) is forecast to grow faster than the US market (7.2% per year).
High Growth Revenue: CHGG's revenue (14.7% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: CHGG's Return on Equity is forecast to be high in 3 years time (26.7%)
How has Chegg performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: CHGG is currently unprofitable.
Growing Profit Margin: CHGG is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: CHGG is unprofitable, but has reduced losses over the past 5 years at a rate of 37.2% per year.
Accelerating Growth: Unable to compare CHGG's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: CHGG is unprofitable, making it difficult to compare its past year earnings growth to the Consumer Services industry (17.6%).
Return on Equity
High ROE: CHGG has a negative Return on Equity (-1.93%), as it is currently unprofitable.
How is Chegg's financial position?
Financial Position Analysis
Short Term Liabilities: CHGG's short term assets ($807.3M) exceed its short term liabilities ($71.4M).
Long Term Liabilities: CHGG's short term assets ($807.3M) do not cover its long term liabilities ($918.8M).
Debt to Equity History and Analysis
Debt Level: CHGG's debt to equity ratio (180.5%) is considered high.
Reducing Debt: Insufficient data to determine if CHGG's debt to equity ratio has reduced over the past 5 years.
Inventory Level: CHGG has a low level of unsold assets or inventory.
Debt Coverage by Assets: CHGG's debt is not covered by short term assets (assets are 0.9x debt).
Cash Runway Analysis
For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.
Stable Cash Runway: Whilst unprofitable CHGG has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.
Forecast Cash Runway: CHGG is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 60.9% per year.
What is Chegg's current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate CHGG's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.
High Dividend: Unable to evaluate CHGG's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if CHGG's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if CHGG's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of CHGG's dividend in 3 years as they are not forecast to pay a notable one for the US market.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Dan Rosensweig (57yo)
Mr. Daniel Lee Rosensweig, also known as Dan, has been the Chief Executive Officer and President of Chegg, Inc. since February 2010. Mr. Rosensweig serves as a Senior Advisor of TPG Capital, L.P. He serves ...
CEO Compensation Analysis
Compensation vs Market: Dan's total compensation ($USD9.12M) is above average for companies of similar size in the US market ($USD5.53M).
Compensation vs Earnings: Dan's compensation has increased whilst the company is unprofitable.
|Chief Financial Officer||8.5yrs||US$3.84m||0.26% $10.8m|
|Chief Information Officer & Chief Outcomes Officer||1.25yrs||US$3.12m||0.34% $13.9m|
|Chief Marketing Officer||9.33yrs||US$2.53m||0.15% $6.4m|
|President of Learning Services||7.92yrs||US$3.12m||0.19% $8.1m|
|Principal Accounting Officer||5.92yrs||no data||0.072% $3.0m|
|Vice President of Investor Relations||no data||no data||no data|
|Secretary & Associate General Counsel||0.25yr||no data||no data|
|Chief Product Officer||4.75yrs||US$2.68m||no data|
|Executive Vice President of Marketing Services||5.92yrs||no data||no data|
Experienced Management: CHGG's management team is seasoned and experienced (5.9 years average tenure).
|Independent Director||11.33yrs||US$239.99k||0.18% $7.4m|
|Independent Director||4.42yrs||US$234.99k||0.0098% $408.9k|
|Independent Director||6.83yrs||US$229.99k||0.0067% $280.4k|
|Independent Director||6.92yrs||US$234.99k||0.0044% $181.8k|
|Director||0.75yr||no data||no data|
|Director||0.83yr||no data||no data|
Experienced Board: CHGG's board of directors are considered experienced (3.1 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 5.3%.
Chegg, Inc.'s company bio, employee growth, exchange listings and data sources
- Name: Chegg, Inc.
- Ticker: CHGG
- Exchange: NYSE
- Founded: 2005
- Industry: Education Services
- Sector: Consumer Services
- Market Cap: US$4.160b
- Shares outstanding: 121.89m
- Website: https://www.chegg.com
Number of Employees
- Chegg, Inc.
- 3990 Freedom Circle
- Santa Clara
- United States
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|CHGG||NYSE (New York Stock Exchange)||Yes||Common Stock||US||USD||Nov 2013|
|0CG||DB (Deutsche Boerse AG)||Yes||Common Stock||DE||EUR||Nov 2013|
|0CG||BRSE (Berne Stock Exchange)||Yes||Common Stock||CH||CHF||Nov 2013|
Chegg, Inc. operates direct-to-student learning platform that supports students on their journey from high school to college and into their career with tools designed to help them pass their test, pass their class, and save money on required materials. The company offers Chegg Services, which include digital products and services; and required materials that comprise its print textbooks and eTextbooks. Its digital products and services include Chegg Study, which helps students master challenging concepts on their own; Chegg Writing that enables generate sources in the required formats, when students need to cite their sources in written work; Chegg Tutors that allow students find human help on its learning platform through a network of live tutors; Chegg Math solver, a step-by-step math problem solver and calculator that helps students to solve problems; and Thinkful, a skills-based learning platform that offers professional courses in the areas of software engineering, data science, data analytics, product design, and product management directly to students. The company also provides other services, such as Chegg Prep and internships, college admission and scholarship services; rents and sells print textbooks and eTextbooks; and offers supplemental materials. Chegg, Inc. was founded in 2005 and is headquartered in Santa Clara, California.
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/04/02 07:02|
|End of Day Share Price||2020/04/01 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.