WallStSmart

Chegg Inc (CHGG) Stock Analysis — PE Ratio, PS Ratio, Intrinsic Value & 2030 Price Target

Chegg Inc stock (CHGG) is currently trading at $0.54. Chegg Inc PS ratio (Price-to-Sales) is 0.13. Analyst consensus price target for CHGG is $2.79. WallStSmart rates CHGG as Underperform.

  • CHGG PE ratio analysis and historical PE chart
  • CHGG PS ratio (Price-to-Sales) history and trend
  • CHGG intrinsic value — DCF, Graham Number, EPV models
  • CHGG stock price prediction 2025 2026 2027 2028 2029 2030
  • CHGG fair value vs current price
  • CHGG insider transactions and insider buying
  • Is CHGG undervalued or overvalued?
  • Chegg Inc financial analysis — revenue, earnings, cash flow
  • CHGG Piotroski F-Score and Altman Z-Score
  • CHGG analyst price target and Smart Rating
CHGG

Chegg Inc

NYSECONSUMER DEFENSIVE
$0.54
$0.03 (-6.10%)
52W$0.44
$1.90
Target$2.79+418.5%

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WallStSmart

Smart Analysis

Chegg Inc (CHGG) · 10 metrics scored

Smart Score

52
out of 100
Grade: C-
Buy
Investment Rating

Category Performance

WallStSmart pulls financial metrics like revenue growth, profit margins, and valuation ratios and scores each one from 0 to 10 based on how strong or weak it is. Those 10 scores are grouped into 4 categories: Growth, Profitability, Valuation, and Quality — which form the 4 axes of the spider chart you see. The categories are then combined into a final score out of 100, but not equally. Growth and Profitability together count for 60% of the total, because a fast-growing profitable business matters more than just a cheap one. That final number maps to a rating (Strong Buy, Buy, Hold, Avoid) and a letter grade, giving you one clear Stock Rating.

Investment Thesis

Strong fundamentals in peg ratio, price/sales, price/book. Concerns around market cap and return on equity. Fundamentals are solid but monitor weak areas for improvement.

Chegg Inc (CHGG) Key Strengths (4)

Avg Score: 10.0/10
PEG RatioValuation
0.1210/10

Growing significantly faster than its price suggests

Price/SalesValuation
0.1310/10

Paying less than $1 for every $1 of annual revenue

Price/BookValuation
0.4210/10

Trading below book value, meaning the market prices it less than net assets

EPS GrowthGrowth
499.60%10/10

Earnings per share surging 499.60% year-over-year

Supporting Valuation Data

Forward P/E
1.84
Attractive
Price/Sales (TTM)
0.134
Undervalued
EV/Revenue
0.123
Undervalued
CHGG Target Price
$2.792
303% Upside

Chegg Inc (CHGG) Areas to Watch (6)

Avg Score: 1.5/10
Return on EquityProfitability
-66.20%0/10

Company is destroying shareholder value

Operating MarginProfitability
-2.60%0/10

Losing money on operations

Revenue GrowthGrowth
-49.40%0/10

Revenue declining -49.40%, a shrinking business

Profit MarginProfitability
-27.40%0/10

Company is losing money with a negative profit margin

Market CapQuality
$50M3/10

Micro-cap company with very limited liquidity and high volatility

Institutional Own.Quality
42.63%6/10

Moderate institutional interest at 42.63%

Chegg Inc (CHGG) Detailed Analysis Report

Overall Assessment

This company scores 52/100 in our Smart Analysis, earning a C- grade. Out of 10 metrics analyzed, 4 register as strengths (avg 10.0/10) while 6 fall into concern territory (avg 1.5/10). The category breakdown reveals uneven performance, with some areas requiring attention.

The Bull Case

The strongest argument centers on PEG Ratio, Price/Sales, Price/Book. Valuation metrics including PEG Ratio (0.12), Price/Sales (0.13), Price/Book (0.42) suggest the stock is attractively priced. Growth metrics are encouraging with EPS Growth at 499.60%.

The Bear Case

The primary concerns are Return on Equity, Operating Margin, Revenue Growth. Growth concerns include Revenue Growth at -49.40%, which may limit upside. Profitability pressure is visible in Return on Equity at -66.20%, Operating Margin at -2.60%, Profit Margin at -27.40%.

Key Dynamics to Monitor

Three factors to monitor going forward. First, whether Return on Equity improves, as this is the primary drag on the overall score. Second, margin trajectory, with Return on Equity at -66.20% needing improvement to support the investment thesis. Third, growth sustainability, with Revenue Growth at -49.40% needing to reaccelerate.

Risk Considerations

Based on the metric profile, this is a moderate-to-high risk investment. There are more areas of concern than strength, warranting a more conservative position size. Investors should size positions according to their risk tolerance and maintain diversification.

Bottom Line

Mixed fundamentals with both positives (PEG Ratio, Price/Sales) and negatives (Return on Equity, Operating Margin). A cautious approach is warranted. Monitor for improvement in weak areas before increasing conviction.

Disclaimer: Smart Analysis is a scoring system developed by WallStSmart Team. Scores update daily using multi-model valuation framework. Always conduct your own research and consult with financial advisors before making investment decisions.

CHGG Price-to-Sales(PS) Ratio Chart

Historical valuation based on market cap ÷ trailing 12-month revenue

CHGG's Price-to-Sales ratio of 0.13x trades at a deep discount to its historical average of 5.63x (1th percentile). The current valuation is 99% below its historical high of 21.87x set in Jul 2020, and 12% above its historical low of 0.12x in Apr 2025. Over the past 12 months, the PS ratio has expanded from ~0.1x, reflecting growing market expectations outpacing revenue growth.

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WallStSmart Analysis Synopsis

Data-driven financial summary for Chegg Inc (CHGG) · CONSUMER DEFENSIVEEDUCATION & TRAINING SERVICES

The Big Picture

Chegg Inc is in a turnaround phase, with management focused on restoring profitability. Revenue reached 377M with 49% decline year-over-year. The company is currently unprofitable, posting a -27.4% profit margin.

Key Findings

Revenue Decline

Revenue contracted 49% YoY. Worth determining whether this is cyclical or structural.

Operating at a Loss

The company is unprofitable with a -27.4% profit margin. The path to breakeven will be the key catalyst.

What to Watch Next

Volatility is elevated with a beta of 2.02, so expect amplified moves relative to the broader market.

Sector dynamics: monitor EDUCATION & TRAINING SERVICES industry trends, competitive moves, and regulatory changes that could impact Chegg Inc.

Bottom Line

Chegg Inc is in turnaround mode. The path to profitability remains the critical question. Speculative investors may see opportunity in the recovery story, but conservative investors should wait for consistent positive earnings before committing capital.

This synopsis is generated from publicly available financial data. It is not financial advice. Always conduct your own research and consult a qualified financial advisor before making investment decisions.

Insider Transactions(4 last 3 months)

Total Buys
1
Total Sells
3
Mar 12, 2026(1 transaction)
ROSENSWEIG, DANIEL
Director, PRESIDENT, CEO, EXEC CHAIRMAN
Sell
Shares
-7,004
Feb 13, 2026(1 transaction)
ROSENSWEIG, DANIEL
Director, PRESIDENT, CEO, EXEC CHAIRMAN
Buy
Shares
+100,000

Data sourced from SEC Form 4 filings

Last updated: 8:25:11 AM

About Chegg Inc(CHGG)

Exchange

NYSE

Sector

CONSUMER DEFENSIVE

Industry

EDUCATION & TRAINING SERVICES

Country

USA

Chegg, Inc. operates a direct-to-student learning platform that supports students on their journey from high school to college and their career with tools designed to help them learn course materials, be successful in their classes, and save money. money on required materials. . The company is headquartered in Santa Clara, California.

Visit Chegg Inc (CHGG) Website
3990 FREEDOM CIRCLE, SANTA CLARA, CA, UNITED STATES, 95054