Chegg, Inc. (CHGG) — Stock Score Summary

Chegg, Inc. (CHGG) has a MoatMap StockRank of 68/100 based on Quality (35/100), Value (63/100), and Momentum (54/100) factor scores. The current signal is BUY. Chegg is facing an existential threat from free generative AI tools, which are rapidly cannibalizing its core homework-help subscription model. This is a broken business model that fails all quality and growth lenses, with no macro tailwind to rescue it.

Chegg, Inc. is a leading direct-to-student learning platform that provides digital study tools, textbook rentals, and online tutoring services. The company's competitive moat is anchored by its massive, proprietary database of millions of step-by-step homework solutions and expert Q&A, which creates high switching costs and strong brand loyalty among students. It is currently focused on integrating advanced artificial intelligence capabilities to enhance its personalized learning assistant and expand its global subscriber base.

Key Financial Metrics

Price$1.11
Market Cap$168M
P/E (Forward)-7.78
Price/Book1.16
Return on Equity-55.9%
Return on Invested Capital-72.6%
Debt/Equity42.73
Gross Margin67.0%
Operating Margin-1.6%
Revenue Growth-47.9%
Free Cash Flow$36M

Chegg, Inc. operates in the Education & Training Services industry, part of the Consumer Defensive sector (United States).

Frequently Asked Questions

What is Chegg, Inc.’s (CHGG) StockRank?
MoatMap’s StockRank for Chegg, Inc. (CHGG) is 68/100, with a Buy signal. It is a composite of Quality (35), Value (63), and Momentum (54) factor ranks across MoatMap’s 19,000+ stock universe.
Does Chegg, Inc. have an economic moat?
Chegg, Inc. (CHGG) has a Quality factor score of 35/100. The Quality factor combines ROIC, Piotroski F-Score, and leverage — the financial fingerprints of a durable competitive advantage. A Quality score above 70 typically indicates a company with the characteristics of a moated business.
Is Chegg, Inc. a buy, hold, or sell?
MoatMap’s current signal for Chegg, Inc. (CHGG) is Buy, based on a StockRank of 68/100. Signals are derived mechanically from the StockRank composite and should be one input among many — combine with your own thesis on management, competitive position, and valuation.
What sector is Chegg, Inc. in?
Chegg, Inc. (CHGG) operates in the Consumer Defensive sector, specifically the Education & Training Services industry (United States).