Chegg, Inc. (NYSE:CHGG) Given Average Recommendation of “Reduce” by Brokerages

Shares of Chegg, Inc. (NYSE:CHGG) have earned an average rating of “Reduce” from the nine brokerages that are presently covering the company, MarketBeat.com reports. Four analysts have rated the stock with a sell recommendation and five have issued a hold recommendation on the company. The average 12 month price target among brokerages that have covered the stock in the last year is $10.00.

CHGG has been the subject of a number of recent analyst reports. The Goldman Sachs Group lowered their target price on shares of Chegg from $8.00 to $7.00 and set a “sell” rating for the company in a report on Tuesday, February 6th. Piper Sandler Companies downgraded shares of Chegg to an “underweight” rating and lowered their target price for the company from $9.00 to $8.50 in a report on Tuesday, February 6th. Piper Sandler downgraded shares of Chegg from a “neutral” rating to an “underweight” rating and decreased their price objective for the stock from $9.00 to $8.50 in a research note on Tuesday, February 6th. BMO Capital Markets decreased their price objective on shares of Chegg from $11.00 to $10.00 and set a “market perform” rating for the company in a research note on Tuesday, February 6th. Finally, JPMorgan Chase & Co. decreased their price objective on shares of Chegg from $10.00 to $9.00 and set a “neutral” rating for the company in a research note on Tuesday, February 6th.

Institutional Inflows and Outflows

Large investors have recently added to or reduced their stakes in the stock. Captrust Financial Advisors boosted its stake in Chegg by 79.6% during the 1st quarter. Captrust Financial Advisors now owns 2,012 shares of the technology company’s stock valued at $73,000 after acquiring an additional 892 shares during the last quarter. Virtus Fund Advisers LLC bought a new position in shares of Chegg in the 4th quarter worth about $29,000. Point72 Asset Management L.P. bought a new position in shares of Chegg in the 2nd quarter worth about $25,000. AM Squared Ltd bought a new position in shares of Chegg in the 1st quarter worth about $47,000. Finally, Allspring Global Investments Holdings LLC bought a new position in shares of Chegg in the 1st quarter worth about $30,000. 95.18% of the stock is currently owned by institutional investors.

Chegg Stock Performance

NYSE:CHGG opened at $7.10 on Friday. The firm has a 50 day simple moving average of $7.98 and a 200-day simple moving average of $9.14. The company has a debt-to-equity ratio of 0.26, a current ratio of 0.80 and a quick ratio of 0.80. The firm has a market cap of $730.42 million, a PE ratio of -44.34, a P/E/G ratio of 1.34 and a beta of 1.26. Chegg has a 1-year low of $6.63 and a 1-year high of $18.77.

Chegg (NYSE:CHGG) last posted its quarterly earnings data on Monday, February 5th. The technology company reported $0.36 earnings per share for the quarter, meeting analysts’ consensus estimates of $0.36. Chegg had a net margin of 2.54% and a return on equity of 1.27%. The business had revenue of $187.99 million during the quarter, compared to analyst estimates of $185.94 million. During the same quarter in the previous year, the business posted $0.16 earnings per share. The company’s revenue was down 8.4% on a year-over-year basis. On average, equities analysts expect that Chegg will post 0.26 EPS for the current year.

About Chegg

Chegg, Inc operates a direct-to-student learning platform that helps learners build essential life and job skills to accelerate their path from learning programs in the United States and internationally. Its subscription services include Chegg Study, which offers personalized step-by-step learning support from AI, computational engines, and subject matter experts, as well as Tinger Gold and DashPash Student services; 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 subscription product offerings, including Chegg Study, Chegg Writing, and Chegg Math services; and Busuu, an online language learning platform that offers comprehensive support through self-paced lessons, live classes with expert tutors, and a community of members to practice alongside.