CHEGG INC (CHGG) Stock Fundamental Analysis

USA • New York Stock Exchange • NYSE:CHGG • US1630921096

0.7904 USD
+0.1 (+14.62%)
At close: Feb 6, 2026
0.7905 USD
+0 (+0.01%)
After Hours: 2/6/2026, 7:24:43 PM
Fundamental Rating

3

CHGG gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 76 industry peers in the Diversified Consumer Services industry. While CHGG seems to be doing ok healthwise, there are quite some concerns on its profitability. CHGG has a valuation in line with the averages, but it does not seem to be growing.


Dividend Valuation Growth Profitability Health

2

1. Profitability

1.1 Basic Checks

  • CHGG had positive earnings in the past year.
  • In the past year CHGG had a positive cash flow from operations.
  • In multiple years CHGG reported negative net income over the last 5 years.
  • In the past 5 years CHGG always reported a positive cash flow from operatings.
CHGG Yearly Net Income VS EBIT VS OCF VS FCFCHGG Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 200M -200M -400M -600M -800M

1.2 Ratios

  • CHGG has a Return On Assets of -20.29%. This is in the lower half of the industry: CHGG underperforms 69.74% of its industry peers.
  • The Return On Equity of CHGG (-52.54%) is worse than 67.11% of its industry peers.
Industry RankSector Rank
ROA -20.29%
ROE -52.54%
ROIC N/A
ROA(3y)-28.15%
ROA(5y)-16.96%
ROE(3y)-135.99%
ROE(5y)-81.82%
ROIC(3y)N/A
ROIC(5y)N/A
CHGG Yearly ROA, ROE, ROICCHGG Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 -100 -200 -300 -400

1.3 Margins

  • CHGG has a Gross Margin of 63.25%. This is in the better half of the industry: CHGG outperforms 77.63% of its industry peers.
  • CHGG's Gross Margin has declined in the last couple of years.
  • CHGG does not have Profit Margin and Operating Margin available, so we won't be analyzing them here.
Industry RankSector Rank
OM N/A
PM (TTM) N/A
GM 63.25%
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.79%
GM growth 5Y-1.8%
CHGG Yearly Profit, Operating, Gross MarginsCHGG Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 50 -50 -100

4

2. Health

2.1 Basic Checks

  • CHGG does not have a ROIC to compare to the WACC, probably because it is not profitable.
  • The number of shares outstanding for CHGG has been increased compared to 1 year ago.
  • CHGG has less shares outstanding than it did 5 years ago.
  • Compared to 1 year ago, CHGG has a worse debt to assets ratio.
CHGG Yearly Shares OutstandingCHGG Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 20M 40M 60M 80M 100M
CHGG Yearly Total Debt VS Total AssetsCHGG Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 500M 1B 1.5B 2B 2.5B

2.2 Solvency

  • CHGG has an Altman-Z score of -2.74. This is a bad value and indicates that CHGG is not financially healthy and even has some risk of bankruptcy.
  • With a Altman-Z score value of -2.74, CHGG is not doing good in the industry: 73.68% of the companies in the same industry are doing better.
  • CHGG has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
Industry RankSector Rank
Debt/Equity 0
Debt/FCF 8.14
Altman-Z -2.74
ROIC/WACCN/A
WACC2.23%
CHGG Yearly LT Debt VS Equity VS FCFCHGG Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 500M 1B 1.5B

2.3 Liquidity

  • CHGG has a Current Ratio of 0.95. This is a bad value and indicates that CHGG is not financially healthy enough and could expect problems in meeting its short term obligations.
  • The Current ratio of CHGG (0.95) is comparable to the rest of the industry.
  • A Quick Ratio of 0.95 indicates that CHGG may have some problems paying its short term obligations.
  • With a Quick ratio value of 0.95, CHGG perfoms like the industry average, outperforming 44.74% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 0.95
Quick Ratio 0.95
CHGG Yearly Current Assets VS Current LiabilitesCHGG Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 500M 1B 1.5B

1

3. Growth

3.1 Past

  • The earnings per share for CHGG have decreased strongly by -77.89% in the last year.
  • The Earnings Per Share has been decreasing by -3.54% on average over the past years.
  • CHGG shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -32.37%.
  • CHGG shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 8.49% yearly.
EPS 1Y (TTM)-77.89%
EPS 3Y-16.17%
EPS 5Y-3.54%
EPS Q2Q%-100%
Revenue 1Y (TTM)-32.37%
Revenue growth 3Y-7.34%
Revenue growth 5Y8.49%
Sales Q2Q%-43.08%

3.2 Future

  • Based on estimates for the next years, CHGG will show a very negative growth in Earnings Per Share. The EPS will decrease by -34.44% on average per year.
  • The Revenue is expected to decrease by -21.41% on average over the next years. This is quite bad
EPS Next Y-108.05%
EPS Next 2Y-88.42%
EPS Next 3Y-34.44%
EPS Next 5YN/A
Revenue Next Year-39.13%
Revenue Next 2Y-31.51%
Revenue Next 3Y-21.41%
Revenue Next 5YN/A

3.3 Evolution

  • The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
CHGG Yearly Revenue VS EstimatesCHGG Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 200M 400M 600M
CHGG Yearly EPS VS EstimatesCHGG Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 0 0.5 1

4

4. Valuation

4.1 Price/Earnings Ratio

  • The Price/Earnings ratio is 3.76, which indicates a rather cheap valuation of CHGG.
  • 96.05% of the companies in the same industry are more expensive than CHGG, based on the Price/Earnings ratio.
  • CHGG's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.92.
  • A Price/Forward Earnings ratio of 77.49 indicates a quite expensive valuation of CHGG.
  • Compared to the rest of the industry, the Price/Forward Earnings ratio of CHGG is on the same level as its industry peers.
  • When comparing the Price/Forward Earnings ratio of CHGG to the average of the S&P500 Index (27.78), we can say CHGG is valued expensively.
Industry RankSector Rank
PE 3.76
Fwd PE 77.49
CHGG Price Earnings VS Forward Price EarningsCHGG Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 20 40 60

4.2 Price Multiples

  • Based on the Price/Free Cash Flow ratio, CHGG is valued cheaply inside the industry as 90.79% of the companies are valued more expensively.
Industry RankSector Rank
P/FCF 11.24
EV/EBITDA -0.76
CHGG Per share dataCHGG EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 1 2 3 4

4.3 Compensation for Growth

  • CHGG's earnings are expected to decrease with -34.44% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-88.42%
EPS Next 3Y-34.44%

0

5. Dividend

5.1 Amount

  • No dividends for CHGG!.
Industry RankSector Rank
Dividend Yield 0%

CHEGG INC

NYSE:CHGG (2/6/2026, 7:24:43 PM)

After market: 0.7905 +0 (+0.01%)

0.7904

+0.1 (+14.62%)

Chartmill FA Rating
GICS IndustryGroupConsumer Services
GICS IndustryDiversified Consumer Services
Earnings (Last)11-10
Earnings (Next)02-09
Inst Owners48.77%
Inst Owner Change-1.84%
Ins Owners8.08%
Ins Owner Change28.56%
Market Cap86.37M
Revenue(TTM)447.73M
Net Income(TTM)-76.74M
Analysts42.86
Price TargetN/A
Short Float %6.42%
Short Ratio4.51
Dividend
Industry RankSector Rank
Dividend Yield 0%
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)317.87%
Min EPS beat(2)100%
Max EPS beat(2)535.73%
EPS beat(4)2
Avg EPS beat(4)-602.55%
Min EPS beat(4)-3041.18%
Max EPS beat(4)535.73%
EPS beat(8)5
Avg EPS beat(8)-298.87%
EPS beat(12)8
Avg EPS beat(12)-198.94%
EPS beat(16)12
Avg EPS beat(16)-143.14%
Revenue beat(2)1
Avg Revenue beat(2)-0.02%
Min Revenue beat(2)-0.07%
Max Revenue beat(2)0.02%
Revenue beat(4)2
Avg Revenue beat(4)0.71%
Min Revenue beat(4)-0.97%
Max Revenue beat(4)3.84%
Revenue beat(8)2
Avg Revenue beat(8)-0.1%
Revenue beat(12)4
Avg Revenue beat(12)0.11%
Revenue beat(16)7
Avg Revenue beat(16)0.42%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)-166.67%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-15.2%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-2.99%
Valuation
Industry RankSector Rank
PE 3.76
Fwd PE 77.49
P/S 0.19
P/FCF 11.24
P/OCF 2.03
P/B 0.59
P/tB 0.62
EV/EBITDA -0.76
EPS(TTM)0.21
EY26.57%
EPS(NY)0.01
Fwd EY1.29%
FCF(TTM)0.07
FCFY8.89%
OCF(TTM)0.39
OCFY49.36%
SpS4.1
BVpS1.34
TBVpS1.27
PEG (NY)N/A
PEG (5Y)N/A
Graham Number2.51
Profitability
Industry RankSector Rank
ROA -20.29%
ROE -52.54%
ROCE N/A
ROIC N/A
ROICexc N/A
ROICexgc N/A
OM N/A
PM (TTM) N/A
GM 63.25%
FCFM 1.72%
ROA(3y)-28.15%
ROA(5y)-16.96%
ROE(3y)-135.99%
ROE(5y)-81.82%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.79%
GM growth 5Y-1.8%
F-Score7
Asset Turnover1.18
Health
Industry RankSector Rank
Debt/Equity 0
Debt/FCF 8.14
Debt/EBITDA 0
Cap/Depr 42.09%
Cap/Sales 7.8%
Interest Coverage N/A
Cash Conversion 195.07%
Profit Quality N/A
Current Ratio 0.95
Quick Ratio 0.95
Altman-Z -2.74
F-Score7
WACC2.23%
ROIC/WACCN/A
Cap/Depr(3y)92.13%
Cap/Depr(5y)128.49%
Cap/Sales(3y)12.56%
Cap/Sales(5y)14.58%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-77.89%
EPS 3Y-16.17%
EPS 5Y-3.54%
EPS Q2Q%-100%
EPS Next Y-108.05%
EPS Next 2Y-88.42%
EPS Next 3Y-34.44%
EPS Next 5YN/A
Revenue 1Y (TTM)-32.37%
Revenue growth 3Y-7.34%
Revenue growth 5Y8.49%
Sales Q2Q%-43.08%
Revenue Next Year-39.13%
Revenue Next 2Y-31.51%
Revenue Next 3Y-21.41%
Revenue Next 5YN/A
EBIT growth 1Y-486.9%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year-15.77%
EBIT Next 3Y-0.68%
EBIT Next 5YN/A
FCF growth 1Y-95.25%
FCF growth 3Y-33.14%
FCF growth 5Y-6.71%
OCF growth 1Y-82.44%
OCF growth 3Y-22.9%
OCF growth 5Y2%

CHEGG INC / CHGG FAQ

Can you provide the ChartMill fundamental rating for CHEGG INC?

ChartMill assigns a fundamental rating of 3 / 10 to CHGG.


What is the valuation status for CHGG stock?

ChartMill assigns a valuation rating of 4 / 10 to CHEGG INC (CHGG). This can be considered as Fairly Valued.


How profitable is CHEGG INC (CHGG) stock?

CHEGG INC (CHGG) has a profitability rating of 2 / 10.


What is the earnings growth outlook for CHEGG INC?

The Earnings per Share (EPS) of CHEGG INC (CHGG) is expected to decline by -108.05% in the next year.