CHEGG INC (CHGG) Stock Fundamental Analysis
NYSE:CHGG • US1630921096
0.6678 USD
+0.01 (+1.18%)
At close: Feb 26, 2026
0.67 USD
+0 (+0.33%)
After Hours: 2/26/2026, 8:16:32 PM
Taking everything into account, CHGG scores 3 out of 10 in our fundamental rating. CHGG was compared to 75 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 is valued expensive and it does not seem to be growing.
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.
- CHGG had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- CHGG has a worse Return On Assets (-20.29%) than 70.67% of its industry peers.
- The Return On Equity of CHGG (-52.54%) is worse than 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
- CHGG's Gross Margin of 63.25% is fine compared to the rest of the industry. CHGG outperforms 78.67% of its industry peers.
- In the last couple of years the Gross Margin of CHGG has declined.
- CHGG does not have Profit Margin and Operating Margin available, so we won't be analyzing them here.
| 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
- CHGG has an Altman-Z score of -2.75. This is a bad value and indicates that CHGG is not financially healthy and even has some risk of bankruptcy.
- CHGG has a Altman-Z score of -2.75. This is in the lower half of the industry: CHGG underperforms 72.00% of its industry peers.
- CHGG has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 8.14 | ||
| Altman-Z | -2.75 |
ROIC/WACCN/A
WACC6.65%
2.3 Liquidity
- A Current Ratio of 0.95 indicates that CHGG may have some problems paying 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.
- Looking at the Quick ratio, with a value of 0.95, CHGG is in line with its industry, outperforming 42.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.95 | ||
| Quick Ratio | 0.95 |
3. Growth
3.1 Past
- The earnings per share for CHGG have decreased strongly by -96.05% in the last year.
- Measured over the past years, CHGG shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -53.01% on average per year.
- Looking at the last year, CHGG shows a very negative growth in Revenue. The Revenue has decreased by -38.97% in the last year.
- CHGG shows a very negative growth in Revenue. Measured over the last years, the Revenue has been decreasing by -10.17% yearly.
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
- The EPS growth rate is accelerating: in the next years the growth will be better 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.
4. Valuation
4.1 Price/Earnings Ratio
- CHGG is valuated rather expensively with a Price/Earnings ratio of 22.26.
- CHGG's Price/Earnings is on the same level as the industry average.
- CHGG is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 27.21, which is the current average of the S&P500 Index.
- The Price/Forward Earnings ratio is 65.47, which means the current valuation is very expensive for CHGG.
- The rest of the industry has a similar Price/Forward Earnings ratio as CHGG.
- The average S&P500 Price/Forward Earnings ratio is at 28.13. CHGG is valued rather expensively when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.26 | ||
| Fwd PE | 65.47 |
4.2 Price Multiples
- Based on the Price/Free Cash Flow ratio, CHGG is valued cheaply inside the industry as 89.33% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.5 | ||
| EV/EBITDA | -0.91 |
4.3 Compensation for Growth
- CHGG's earnings are expected to grow with 167.21% in the coming years. This may justify a more expensive valuation.
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% |
0.6678
+0.01 (+1.18%)
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-10.96%
Ins Owners8.08%
Ins Owner Change28.87%
Market Cap72.97M
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)-88.46%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-15.2%
Revenue NY rev (1m)-23.11%
Revenue NY rev (3m)-30.36%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.26 | ||
| Fwd PE | 65.47 | ||
| P/S | 0.16 | ||
| P/FCF | 9.5 | ||
| P/OCF | 1.71 | ||
| P/B | 0.5 | ||
| P/tB | 0.53 | ||
| EV/EBITDA | -0.91 |
EPS(TTM)0.03
EY4.49%
EPS(NY)0.01
Fwd EY1.53%
FCF(TTM)0.07
FCFY10.53%
OCF(TTM)0.39
OCFY58.42%
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 | -2.75 |
F-Score7
WACC6.65%
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 3 / 10 to CHEGG INC (CHGG). This can be considered as Overvalued.
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.