Chegg Inc Stock Buy Hold or Sell Recommendation
| CHGG Stock | USD 2.01 0.21 11.67% |
Given the investment horizon of 90 days and your highly speculative risk level, our recommendation regarding Chegg Inc is 'Cautious Hold'. Macroaxis provides Chegg buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding Chegg positions.
Check out Chegg Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. Note, we conduct extensive research on individual companies such as Chegg and provide practical buy, sell, or hold advice based on investors' constraints. Chegg Inc. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in price.
Chegg |
Execute Chegg Buy or Sell Advice
The Chegg recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Chegg Inc. Macroaxis does not own or have any residual interests in Chegg Inc or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Chegg's advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Cautious Hold
Market Performance | Very Weak | Details | |
Volatility | Unstable | Details | |
Hype Condition | Under hyped | Details | |
Current Valuation | Undervalued | Details | |
Odds Of Distress | Below Average | Details | |
Economic Sensitivity | Responds to the market | Details | |
Investor Sentiment | Impartial | Details | |
Analyst Consensus | Hold | Details | |
Financial Strenth (F Score) | Strong | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Chegg Trading Alerts and Improvement Suggestions
| Chegg Inc generated a negative expected return over the last 90 days | |
| Chegg Inc has high historical volatility and very poor performance | |
| Chegg Inc has a strong financial position based on the latest SEC filings | |
| Over 83.0% of the company shares are held by institutions such as insurance companies | |
| Latest headline from insidermonkey.com: Chegg, Inc. A Bear Case Theory |
Chegg Returns Distribution Density
The distribution of Chegg's historical returns is an attempt to chart the uncertainty of Chegg's future price movements. The chart of the probability distribution of Chegg daily returns describes the distribution of returns around its average expected value. We use Chegg Inc price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Chegg returns is essential to provide solid investment advice for Chegg.
| Mean Return | 0.02 | Value At Risk | -7.69 | Potential Upside | 8.59 | Standard Deviation | 4.88 |
Return Density |
| Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Chegg historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.
Chegg Stock Institutional Investors
| Shares | Two Sigma Investments Llc | 2024-09-30 | 2.1 M | Two Sigma Advisers, Llc | 2024-06-30 | 2 M | Quinn Opportunity Partners Llc | 2024-09-30 | 1.9 M | Citadel Advisors Llc | 2024-09-30 | 1.6 M | Renaissance Technologies Corp | 2024-09-30 | 1.4 M | Connor Clark & Lunn Inv Mgmt Ltd | 2024-06-30 | 1.4 M | Mitsubishi Ufj Trust & Banking Corp | 2024-09-30 | 1.2 M | Divisadero Street Capital Management, Lp | 2024-09-30 | 1.1 M | Walleye Trading Advisors, Llc | 2024-06-30 | 1 M | Vanguard Group Inc | 2024-09-30 | 9.6 M | Blackrock Inc | 2024-06-30 | 9.4 M |
Chegg Cash Flow Accounts
| 2019 | 2020 | 2021 | 2022 | 2023 | 2024 (projected) | ||
| Change To Inventory | 1.5M | (18.0M) | 19.7M | (5.9M) | (6.8M) | (6.4M) | |
| Change In Cash | 13.5M | 92.3M | 374.2M | (380.0M) | (337.9M) | (321.0M) | |
| Free Cash Flow | 71.1M | 155.1M | 179.0M | 152.6M | 163.1M | 171.3M | |
| Depreciation | 30.2M | 62.4M | 74.1M | 91.6M | 129.7M | 66.9M | |
| Other Non Cash Items | 48.2M | 63.0M | 21.9M | (72.8M) | (61.1M) | (58.0M) | |
| Capital Expenditures | 42.3M | 81.3M | 94.2M | 103.1M | 83.1M | 41.6M | |
| Net Income | (9.6M) | (6.2M) | (1.5M) | 266.6M | 18.2M | 19.1M | |
| End Period Cash Flow | 389.4M | 481.7M | 855.9M | 475.9M | 138.0M | 255.1M | |
| Dividends Paid | 374.8M | 877.4M | 80.7M | 8.9M | 10.2M | 9.7M | |
| Investments | (582.0M) | (507.7M) | (261.5M) | 104.9M | 497.9M | 522.8M | |
| Change Receivables | 1.8M | (400K) | (5.0M) | (3.8M) | (3.4M) | (3.2M) | |
| Change To Netincome | 65.5M | 99.4M | 199.7M | (119.8M) | (107.8M) | (102.4M) | |
| Net Borrowings | 780.2M | 757.2M | (300.8M) | (401.2M) | (361.1M) | (343.0M) |
Chegg Greeks
Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Chegg or Diversified Consumer Services sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Chegg's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Chegg stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α | Alpha over Dow Jones | -0.14 | |
β | Beta against Dow Jones | 1.27 | |
σ | Overall volatility | 4.92 | |
Ir | Information ratio | -0.02 |
Chegg Volatility Alert
Chegg Inc exhibits above-average semi-deviation for your current time horizon. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Chegg's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Chegg's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.Chegg Fundamentals Vs Peers
Comparing Chegg's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Chegg's direct or indirect competition across all of the common fundamentals between Chegg and the related equities. This way, we can detect undervalued stocks with similar characteristics as Chegg or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Chegg's fundamental indicators could also be used in its relative valuation, which is a method of valuing Chegg by comparing valuation metrics with those of similar companies.
| Better Than Average | Worse Than Average | Compare Chegg to competition |
| Fundamentals | Chegg | Peer Average |
| Return On Equity | -1.35 | -0.31 |
| Return On Asset | 0.0192 | -0.14 |
| Profit Margin | (1.24) % | (1.27) % |
| Operating Margin | (0.14) % | (5.51) % |
| Current Valuation | 473.71 M | 16.62 B |
| Shares Outstanding | 104.31 M | 571.82 M |
| Shares Owned By Insiders | 4.29 % | 10.09 % |
| Shares Owned By Institutions | 83.20 % | 39.21 % |
| Number Of Shares Shorted | 10.37 M | 4.71 M |
| Price To Earning | 69.12 X | 28.72 X |
| Price To Book | 1.13 X | 9.51 X |
| Price To Sales | 0.32 X | 11.42 X |
| Revenue | 716.29 M | 9.43 B |
| Gross Profit | 569.5 M | 27.38 B |
| EBITDA | (67.72 M) | 3.9 B |
| Net Income | 18.18 M | 570.98 M |
| Cash And Equivalents | 1.38 B | 2.7 B |
| Cash Per Share | 10.94 X | 5.01 X |
| Total Debt | 617.9 M | 5.32 B |
| Debt To Equity | 2.07 % | 48.70 % |
| Current Ratio | 10.81 X | 2.16 X |
| Book Value Per Share | 1.78 X | 1.93 K |
| Cash Flow From Operations | 246.2 M | 971.22 M |
| Short Ratio | 2.69 X | 4.00 X |
| Earnings Per Share | (8.18) X | 3.12 X |
| Price To Earnings To Growth | 0.13 X | 4.89 X |
| Target Price | 1.86 | |
| Number Of Employees | 3.04 K | 18.84 K |
| Beta | 1.31 | -0.15 |
| Market Capitalization | 209.66 M | 19.03 B |
| Total Asset | 1.73 B | 29.47 B |
| Retained Earnings | (52.37 M) | 9.33 B |
| Working Capital | (103.63 M) | 1.48 B |
Note: Acquisition by Renee Budig of 19305 shares of Chegg subject to Rule 16b-3 [view details]
Chegg Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Chegg . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
About Chegg Buy or Sell Advice
When is the right time to buy or sell Chegg Inc? Buying financial instruments such as Chegg Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
Use Investing Ideas to Build Portfolios
In addition to having Chegg in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
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Check out Chegg Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. You can also try the Portfolio Volatility module to check portfolio volatility and analyze historical return density to properly model market risk.
Is Diversified Consumer Services space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Chegg. If investors know Chegg will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Chegg listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 4.996 | Earnings Share (8.18) | Revenue Per Share 6.34 | Quarterly Revenue Growth (0.14) | Return On Assets 0.0192 |
The market value of Chegg Inc is measured differently than its book value, which is the value of Chegg that is recorded on the company's balance sheet. Investors also form their own opinion of Chegg's value that differs from its market value or its book value, called intrinsic value, which is Chegg's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Chegg's market value can be influenced by many factors that don't directly affect Chegg's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Chegg's value and its price as these two are different measures arrived at by different means. Investors typically determine if Chegg is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Chegg's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.