Investors Buy Large Volume of Chegg Call Options (NYSE:CHGG)

Chegg, Inc. (NYSE:CHGG) saw some unusual options trading activity on Tuesday. Stock traders acquired 11,744 call options on the stock. This represents an increase of approximately 362% compared to the average daily volume of 2,541 call options.

Wall Street Analyst Weigh In

CHGG has been the subject of several research analyst reports. Zacks Research upgraded shares of Chegg from a “hold” rating to a “strong-buy” rating in a report on Tuesday, May 19th. Weiss Ratings reiterated a “sell (e+)” rating on shares of Chegg in a report on Friday, March 27th. One investment analyst has rated the stock with a Strong Buy rating, one has issued a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, Chegg currently has an average rating of “Hold”.

Institutional Inflows and Outflows

Several large investors have recently added to or reduced their stakes in CHGG. AQR Capital Management LLC boosted its holdings in Chegg by 95.9% during the first quarter. AQR Capital Management LLC now owns 3,011,879 shares of the technology company’s stock worth $1,925,000 after purchasing an additional 1,474,640 shares during the last quarter. Empowered Funds LLC boosted its holdings in Chegg by 8.5% during the first quarter. Empowered Funds LLC now owns 424,563 shares of the technology company’s stock worth $271,000 after purchasing an additional 33,269 shares during the last quarter. Strs Ohio acquired a new position in Chegg during the first quarter worth $56,000. Arrowstreet Capital Limited Partnership boosted its holdings in Chegg by 158.9% during the second quarter. Arrowstreet Capital Limited Partnership now owns 3,756,917 shares of the technology company’s stock worth $4,546,000 after purchasing an additional 2,305,872 shares during the last quarter. Finally, Jump Financial LLC acquired a new position in Chegg during the second quarter worth $31,000. Institutional investors and hedge funds own 95.18% of the company’s stock.

Chegg Stock Up 5.8%

CHGG traded up $0.06 during trading hours on Tuesday, hitting $1.16. 996,442 shares of the company’s stock were exchanged, compared to its average volume of 1,608,591. Chegg has a 1-year low of $0.45 and a 1-year high of $1.90. The stock’s 50-day moving average is $1.12 and its two-hundred day moving average is $0.89. The stock has a market cap of $130.32 million, a price-to-earnings ratio of -1.47 and a beta of 2.16.

Chegg (NYSE:CHGG) last announced its earnings results on Wednesday, May 6th. The technology company reported $0.03 EPS for the quarter, topping the consensus estimate of ($0.03) by $0.06. Chegg had a negative net margin of 26.89% and a negative return on equity of 6.73%. The business had revenue of $63.26 million during the quarter, compared to analysts’ expectations of $60.95 million. On average, equities research analysts anticipate that Chegg will post -0.22 EPS for the current year.

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.