
Chegg (CHGG) Stock Forecast & Price Target
Chegg (CHGG) Analyst Ratings
Bulls say
Chegg Inc is poised for significant cost savings, forecasting non-GAAP savings of $45 million to $55 million in FY25 and $100 million to $110 million in FY26, in addition to $120 million expected in 2025 from previously announced restructuring initiatives. The company's proactive structural adjustments reflect a strategic response to evolving market dynamics, particularly in light of challenges posed by generative AI technologies. These measures position Chegg favorably for enhanced operational efficiency and potential profitability as it adapts to the changing educational landscape.
Bears say
Chegg Inc. reported a significant decline in total revenue, with a year-over-year drop of 30.4%, primarily driven by a 30.2% decrease in Subscription Services revenue and a 31.9% reduction in Skills and Other offerings. The company's non-GAAP operating margin was negative at (9.7%), falling short of expectations, which signals concerns regarding profitability as gross margins declined unexpectedly. Additionally, Chegg's revenue guidance for 2Q25 is below consensus estimates, forecasting $100 million to $102 million, further indicating challenges ahead in maintaining financial momentum.
This aggregate rating is based on analysts' research of Chegg and is not a guaranteed prediction by Public.com or investment advice.
Chegg (CHGG) Analyst Forecast & Price Prediction
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