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Chegg (CHGG) Reports Q2 Earnings: What Key Metrics Have to Say

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Chegg (CHGG - Free Report) reported $163.15 million in revenue for the quarter ended June 2024, representing a year-over-year decline of 10.8%. EPS of $0.24 for the same period compares to $0.28 a year ago.

The reported revenue compares to the Zacks Consensus Estimate of $159.6 million, representing a surprise of +2.22%. The company delivered an EPS surprise of +14.29%, with the consensus EPS estimate being $0.21.

While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

Here is how Chegg performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Chegg Services subscribers

    : 4.4 million versus the three-analyst average estimate of 4.41 million.
  • Revenue- Skills and Other

    : $16.33 million versus the five-analyst average estimate of $15.05 million. The reported number represents a year-over-year change of -3.9%.
  • Revenue- Subscription Services

    : $146.81 million versus $144.16 million estimated by five analysts on average. Compared to the year-ago quarter, this number represents a -11.5% change.
View all Key Company Metrics for Chegg here>>>

Shares of Chegg have returned +8.3% over the past month versus the Zacks S&P 500 composite's -2.9% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.



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