Chegg (NYSE:CHGG) Receives “Underweight” Rating from Piper Sandler

Chegg (NYSE:CHGG)‘s stock had its “underweight” rating reaffirmed by investment analysts at Piper Sandler in a report released on Tuesday, Benzinga reports. They currently have a $6.00 price target on the technology company’s stock, down from their previous price target of $8.50. Piper Sandler’s price target suggests a potential downside of 16.32% from the stock’s previous close.

Several other analysts have also issued reports on the company. Craig Hallum reaffirmed a “hold” rating and issued a $7.00 target price (down previously from $13.00) on shares of Chegg in a research note on Tuesday. Piper Sandler Companies cut shares of Chegg to an “underweight” rating and cut their price objective for the company from $9.00 to $8.50 in a research note on Tuesday, February 6th. BMO Capital Markets decreased their target price on shares of Chegg from $11.00 to $10.00 and set a “market perform” rating on the stock in a research report on Tuesday, February 6th. StockNews.com raised shares of Chegg from a “hold” rating to a “buy” rating in a research note on Tuesday, January 23rd. Finally, Jefferies Financial Group cut Chegg from a “hold” rating to an “underperform” rating and reduced their price objective for the company from $7.00 to $4.00 in a research note on Tuesday. Five research analysts have rated the stock with a sell rating, six have issued a hold rating and one has given a buy rating to the company’s stock. According to data from MarketBeat, Chegg presently has a consensus rating of “Hold” and a consensus target price of $7.72.

Chegg Stock Performance

NYSE CHGG opened at $7.17 on Tuesday. Chegg has a 52-week low of $6.63 and a 52-week high of $17.92. The company has a fifty day moving average of $7.74 and a 200-day moving average of $9.08. The company has a market capitalization of $728.26 million, a P/E ratio of -44.81, a P/E/G ratio of 1.38 and a beta of 1.26. The company has a debt-to-equity ratio of 0.26, a quick ratio of 0.80 and a current ratio of 0.80.

Chegg (NYSE:CHGG) last issued its quarterly earnings results on Monday, February 5th. The technology company reported $0.36 earnings per share (EPS) for the quarter, hitting the consensus estimate of $0.36. Chegg had a return on equity of 1.27% and a net margin of 2.54%. The firm had revenue of $187.99 million during the quarter, compared to analyst estimates of $185.94 million. During the same quarter in the previous year, the company posted $0.16 earnings per share. The company’s revenue was down 8.4% compared to the same quarter last year. As a group, equities research analysts predict that Chegg will post 0.26 EPS for the current fiscal year.

Institutional Investors Weigh In On Chegg

Hedge funds have recently made changes to their positions in the company. Allspring Global Investments Holdings LLC bought a new stake in Chegg during the first quarter worth about $30,000. Headlands Technologies LLC purchased a new position in shares of Chegg during the fourth quarter valued at approximately $48,000. Quest Partners LLC bought a new stake in shares of Chegg in the 4th quarter worth approximately $114,000. Moors & Cabot Inc. purchased a new stake in shares of Chegg in the 3rd quarter worth approximately $98,000. Finally, Shell Asset Management Co. increased its position in Chegg by 48.8% during the 3rd quarter. Shell Asset Management Co. now owns 11,423 shares of the technology company’s stock valued at $102,000 after buying an additional 3,748 shares in the last quarter. 95.18% of the stock is currently owned by institutional investors.

About Chegg

Chegg, Inc operates a direct-to-student learning platform that helps learners build essential life and job skills to accelerate their path from learning programs in the United States and internationally. Its subscription services include Chegg Study, which offers personalized step-by-step learning support from AI, computational engines, and subject matter experts, as well as Tinger Gold and DashPash Student services; Chegg Writing that provides students with a suite of tools, such as plagiarism detection scans, grammar and writing fluency checking, expert personalized writing feedback, and premium citation generation; Chegg Math, a step-by-step math problem solver and calculator that helps students to solve problems; Chegg Study Pack, a bundle of various subscription product offerings, including Chegg Study, Chegg Writing, and Chegg Math services; and Busuu, an online language learning platform that offers comprehensive support through self-paced lessons, live classes with expert tutors, and a community of members to practice alongside.