CHEGG INC (CHGG) Stock Fundamental Analysis
NYSE:CHGG • US1630921096
0.5628 USD
-0.01 (-2.46%)
Last: Feb 19, 2026, 10:22 AM
We assign a fundamental rating of 3 out of 10 to CHGG. CHGG was compared to 75 industry peers in the Diversified Consumer Services industry. CHGG scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. CHGG has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
- In the past year CHGG was profitable.
- In the past year CHGG had a positive cash flow from operations.
- The reported net income has been mixed in the past 5 years: CHGG reported negative net income in multiple years.
- In the past 5 years CHGG always reported a positive cash flow from operatings.
1.2 Ratios
- CHGG has a Return On Assets of -20.29%. This is in the lower half of the industry: CHGG underperforms 70.67% of its industry peers.
- CHGG has a Return On Equity of -52.54%. This is in the lower half of the industry: CHGG underperforms 69.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -20.29% | ||
| ROE | -52.54% | ||
| ROIC | N/A |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- Looking at the Gross Margin, with a value of 63.25%, CHGG is in the better half of the industry, outperforming 78.67% of the companies in the same industry.
- In the last couple of years the Gross Margin of CHGG has declined.
- The Profit Margin and Operating Margin are not available for CHGG so they could not be analyzed.
| Industry Rank | Sector 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 3Y-6.76%
GM growth 5Y-2.45%
2. Health
2.1 Basic Checks
- CHGG does not have a ROIC to compare to the WACC, probably because it is not profitable.
- CHGG has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
- Based on the Altman-Z score of -2.78, we must say that CHGG is in the distress zone and has some risk of bankruptcy.
- Looking at the Altman-Z score, with a value of -2.78, CHGG is doing worse than 73.33% of the companies in the same industry.
- There is no outstanding debt for CHGG. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 8.14 | ||
| Altman-Z | -2.78 |
ROIC/WACCN/A
WACC6.36%
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.
- Looking at the Current ratio, with a value of 0.95, CHGG is in line with its industry, outperforming 41.33% of the companies in the same industry.
- A Quick Ratio of 0.95 indicates that CHGG may have some problems paying its short term obligations.
- CHGG has a Quick ratio (0.95) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.95 | ||
| Quick Ratio | 0.95 |
3. Growth
3.1 Past
- CHGG shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -96.05%.
- The earnings per share for CHGG have been decreasing by -53.01% on average. This is quite bad
- Looking at the last year, CHGG shows a very negative growth in Revenue. The Revenue has decreased by -38.97% in the last year.
- Measured over the past years, CHGG shows a very negative growth in Revenue. The Revenue has been decreasing by -10.17% on average per year.
EPS 1Y (TTM)-96.05%
EPS 3Y-71.46%
EPS 5Y-53.01%
EPS Q2Q%-105.88%
Revenue 1Y (TTM)-38.97%
Revenue growth 3Y-21.08%
Revenue growth 5Y-10.17%
Sales Q2Q%-49.36%
3.2 Future
- Based on estimates for the next years, CHGG will show a very strong growth in Earnings Per Share. The EPS will grow by 167.21% on average per year.
- Based on estimates for the next years, CHGG will show a very negative growth in Revenue. The Revenue will decrease by -26.42% on average per year.
EPS Next Y-66%
EPS Next 2Y167.21%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-40.75%
Revenue Next 2Y-26.42%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
- 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.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 18.76, CHGG is valued on the expensive side.
- Compared to the rest of the industry, the Price/Earnings ratio of CHGG indicates a somewhat cheap valuation: CHGG is cheaper than 62.67% of the companies listed in the same industry.
- CHGG's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.27.
- The Price/Forward Earnings ratio is 55.18, which means the current valuation is very expensive for CHGG.
- CHGG's Price/Forward Earnings is on the same level as the industry average.
- When comparing the Price/Forward Earnings ratio of CHGG to the average of the S&P500 Index (28.16), we can say CHGG is valued expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.76 | ||
| Fwd PE | 55.18 |
4.2 Price Multiples
- CHGG's Price/Free Cash Flow ratio is rather cheap when compared to the industry. CHGG is cheaper than 92.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.01 | ||
| EV/EBITDA | -1.33 |
4.3 Compensation for Growth
- A more expensive valuation may be justified as CHGG's earnings are expected to grow with 167.21% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y167.21%
EPS Next 3YN/A
5. Dividend
5.1 Amount
- CHGG does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
NYSE:CHGG (2/19/2026, 10:22:55 AM)
0.5628
-0.01 (-2.46%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryDiversified Consumer Services
Earnings (Last)02-09 2026-02-09/amc
Earnings (Next)05-11 2026-05-11/amc
Inst Owners48.77%
Inst Owner Change-6.67%
Ins Owners8.08%
Ins Owner Change28.56%
Market Cap61.50M
Revenue(TTM)376.91M
Net Income(TTM)-76.74M
Analysts42.86
Price TargetN/A
Short Float %6.35%
Short Ratio4.55
Dividend
| Industry Rank | Sector 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 Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.76 | ||
| Fwd PE | 55.18 | ||
| P/S | 0.14 | ||
| P/FCF | 8.01 | ||
| P/OCF | 1.44 | ||
| P/B | 0.42 | ||
| P/tB | 0.44 | ||
| EV/EBITDA | -1.33 |
EPS(TTM)0.03
EY5.33%
EPS(NY)0.01
Fwd EY1.81%
FCF(TTM)0.07
FCFY12.49%
OCF(TTM)0.39
OCFY69.32%
SpS4.1
BVpS1.34
TBVpS1.27
PEG (NY)N/A
PEG (5Y)N/A
Graham Number0.95
Profitability
| Industry Rank | Sector 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)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
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 3Y-6.76%
GM growth 5Y-2.45%
F-Score7
Asset Turnover1.18
Health
| Industry Rank | Sector 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 | -2.78 |
F-Score7
WACC6.36%
ROIC/WACCN/A
Cap/Depr(3y)65.15%
Cap/Depr(5y)90.8%
Cap/Sales(3y)10.4%
Cap/Sales(5y)11.73%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-96.05%
EPS 3Y-71.46%
EPS 5Y-53.01%
EPS Q2Q%-105.88%
EPS Next Y-66%
EPS Next 2Y167.21%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-38.97%
Revenue growth 3Y-21.08%
Revenue growth 5Y-10.17%
Sales Q2Q%-49.36%
Revenue Next Year-40.75%
Revenue Next 2Y-26.42%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-486.9%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year750.63%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-92.09%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-76.91%
OCF growth 3Y-60.73%
OCF growth 5Y-42.02%
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 -66% in the next year.