CHGG
Chegg, Inc. Consumer Defensive - Education & Training Services Investor Relations →
Chegg, Inc. (CHGG) closed at $0.79 as of 2026-02-02, trading 91.3% below its 200-week moving average of $9.07. This places CHGG in the extreme value zone. The stock moved further from the line this week, up from -91.7% last week. The 14-week RSI sits at 36, indicating neutral momentum.
Over the past 590 weeks of data, CHGG has crossed below its 200-week moving average 7 times. On average, these episodes lasted 39 weeks. Historically, investors who bought CHGG at the start of these episodes saw an average one-year return of +28.5%.
With a market cap of $86 million, CHGG is a small-cap stock. The company generates a free cash flow yield of 52.2%, which is notably high. Return on equity stands at -46.4%. The stock trades at 0.6x book value.
The company has been aggressively buying back shares, reducing its share count by 23.4% over the past three years. This stock also meets the Yartseva multibagger criteria as a small-cap with strong free cash flow yield and reasonable book value.
Over the past 11.4 years, a hypothetical investment of $100 in CHGG would have grown to $12, compared to $415 for the S&P 500. CHGG has returned -17.0% annualized vs 13.3% for the index, underperforming the broader market over this period.
Free cash flow has been declining at a -34.5% compound annual rate. A deteriorating cash flow trend warrants extra scrutiny — the stock may be cheap for a reason.
Growth of $100: CHGG vs S&P 500
Monthly data normalized to $100 at start. Vertical dashed lines mark 200-week MA touches.
What Happens After CHGG Crosses Below the Line?
Across 7 historical episodes, buying CHGG when it crossed below its 200-week moving average produced an average return of +16.4% after 12 months (median +4.0%), compared to +4.4% for the S&P 500 over the same periods. 57% of those episodes were profitable after one year. After 24 months, the average return was +67.7% vs +19.7% for the index.
Each line shows $100 invested at the moment CHGG crossed below its 200-week MA. Bold blue = stock average. Gray dashed = S&P 500 average over same periods.
Historical Touches
CHGG has crossed below its 200-week MA 7 times with an average 1-year return of +28.5% after recovery.
| Crossed Below | Recovered | Weeks | Max Depth | 1-Year Return | Return Since Touch |
|---|---|---|---|---|---|
| Oct 2014 | Nov 2014 | 3 | 8.9% | +17.7% | -87.1% |
| Dec 2014 | Dec 2014 | 3 | 5.0% | +10.5% | -87.7% |
| Jan 2015 | Feb 2015 | 6 | 4.6% | -10.4% | -88.2% |
| Oct 2015 | Nov 2015 | 3 | 5.5% | -3.9% | -88.5% |
| Nov 2015 | Aug 2016 | 36 | 40.6% | +8.6% | -88.8% |
| Oct 2016 | Oct 2016 | 1 | 0.9% | +148.6% | -88.1% |
| Nov 2021 | Ongoing | 223+ | 97.6% | Ongoing | -97.4% |
| Average | 39 | — | +28.5% | — |
Not financial advice. This is an educational tool. Past performance does not guarantee future results. Do your own research before making investment decisions.
Data as of Friday close, 2026-02-02