Chegg (NYSE:CHGG) Given “Hold” Rating at Needham & Company LLC

Needham & Company LLC reissued their hold rating on shares of Chegg (NYSE:CHGG) in a report published on Tuesday morning,Benzinga reports.

A number of other equities research analysts also recently weighed in on the company. Weiss Ratings restated a “sell (e+)” rating on shares of Chegg in a research report on Monday, December 29th. Zacks Research lowered Chegg from a “strong-buy” rating to a “hold” rating in a research report on Monday, January 12th. Two analysts have rated the stock with a Hold rating and three have assigned a Sell rating to the company. According to data from MarketBeat, the company currently has a consensus rating of “Strong Sell” and an average price target of $1.00.

Chegg Price Performance

Shares of CHGG opened at $0.68 on Tuesday. Chegg has a 1-year low of $0.44 and a 1-year high of $1.90. The company has a market capitalization of $74.07 million, a P/E ratio of -0.71 and a beta of 1.98. The firm’s 50 day simple moving average is $0.87 and its 200 day simple moving average is $1.14.

Chegg (NYSE:CHGG) last released its quarterly earnings results on Monday, February 9th. The technology company reported ($0.01) EPS for the quarter, topping analysts’ consensus estimates of ($0.19) by $0.18. The business had revenue of $72.66 million during the quarter, compared to analysts’ expectations of $71.00 million. Chegg had a negative net margin of 27.44% and a negative return on equity of 17.08%. On average, equities analysts anticipate that Chegg will post 0.15 earnings per share for the current year.

Institutional Investors Weigh In On Chegg

Institutional investors have recently bought and sold shares of the stock. Geode Capital Management LLC grew its position in Chegg by 3.4% during the 4th quarter. Geode Capital Management LLC now owns 1,147,834 shares of the technology company’s stock worth $1,068,000 after acquiring an additional 38,274 shares during the last quarter. Concurrent Investment Advisors LLC purchased a new stake in shares of Chegg during the fourth quarter valued at approximately $105,000. Jacobs Levy Equity Management Inc. boosted its stake in shares of Chegg by 227.2% during the third quarter. Jacobs Levy Equity Management Inc. now owns 930,177 shares of the technology company’s stock valued at $1,405,000 after purchasing an additional 645,874 shares during the period. Voleon Capital Management LP bought a new position in shares of Chegg in the third quarter worth approximately $268,000. Finally, Qube Research & Technologies Ltd purchased a new position in shares of Chegg in the third quarter worth $32,000. 95.18% of the stock is currently owned by hedge funds and other institutional investors.

More Chegg News

Here are the key news stories impacting Chegg this week:

• Positive Sentiment: Q4 adjusted results beat expectations: Chegg reported a narrower-than-expected adjusted loss and revenue slightly above estimates, showing some operational improvement vs. the large prior-year losses. Chegg Q4 Earnings & Revenues Surpass Estimates, Stock Down
• Positive Sentiment: Unusual options activity: Call buying spiked (roughly 7,287 calls, ~300% above typical volume), which can signal speculative bullish interest or hedging ahead of catalysts.
• Neutral Sentiment: Analyst stance unchanged: Needham reaffirmed its “hold” rating, suggesting analysts are waiting for clearer evidence of a sustainable turnaround. Benzinga
• Neutral Sentiment: Corporate hires: Chegg appointed Karine Allouche to lead language learning and skills integration in Europe (Busuu), a modest operational move to support the skilling strategy. Chegg Appoints Karine Allouche as General Manager, Language Learning, Worldwide and Skills Integration, Europe
• Neutral Sentiment: Full Q4 release and call materials are available for deeper review (slides/transcript) if you want details on margins, product segmentation and management commentary. Chegg Reports 2025 Fourth Quarter and Full-Year Financial Results Chegg Q4 2025 Earnings Call Transcript
• Negative Sentiment: Large YoY decline in top-line and margins: Revenue fell roughly 49% year-over-year and gross profit contracted materially, pressuring profitability and investor confidence; diluted EPS metrics and cash-flow measures were weaker on some reports. Chegg Inc. (CHGG) Releases Q4 2025 Earnings: Revenue Falls Sharply but EPS Miss
• Negative Sentiment: Weak near-term outlook: Management guided Q1 revenue to about $60–$62M versus a ~$71M consensus, a clear shortfall that likely drove the post-release selloff and raises questions about near-term cash runway and recovery timing. Chegg Reports 2025 Fourth Quarter and Full-Year Financial Results
• Negative Sentiment: Shares reacted negatively after hours and into the next session as investors focused on the steep revenue decline and weak guidance rather than the modest beats in adjusted metrics. Chegg Stock Drops After Q4 Report Shows Major YoY Revenue Decline

About Chegg

Chegg, Inc (NYSE: CHGG) is a leading education technology company headquartered in Santa Clara, California. Originally founded in 2005, Chegg has evolved from a textbook rental service into a comprehensive digital learning platform. Its suite of subscription-based offerings addresses a wide range of academic needs, catering primarily to high school and college students seeking homework help, study resources, and career guidance.

The company’s core services include Chegg Study, which provides step-by-step solutions and expert Q&A support; Chegg Writing, offering plagiarism checks and guided writing assistance; and Chegg Math Solver, a tool for solving mathematical problems with detailed explanations.