Is Chegg, Inc. (NYSE: CHGG) worth a closer look at $ 38.31?

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<p class = "canvas-atom-canvas-text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "Chegg, Inc. (NYSE: CHGG), a consumer services company headquartered in the United States, has seen its stock price rise significantly over the past 20 months on the NYSE. As a mid-cap stock with high analyst coverage, you can assume that recent changes in the company's outlook have already been priced into the stock. But what if the stock is still a bargain? Let’s take a closer look at Chegg’s assessment and outlook to see if there’s still room for improvement. "Data-reactid =" 27 "> Chegg, Inc. (NYSE: CHGG), headquartered in United. In the United States, the share price on the NYSE has increased by more than 20% in recent months as a mid-cap share with high analyst coverage can you assume that recent changes in the company's outlook are already priced into the stock, but if the stock is still a bargain, let's take a closer look at Chegg's valuation and outlook to see if it always is there is still a bargain opportunity.

<p class = "canvas-atom canvas-text Mb (1,0em) Mb (0) – sm Mt (0,8em) – sm" type = "text" content = " Check out our latest analysis for Chegg "data-reactid =" 28 "> Check out our latest analysis for Chegg

Is Chegg still cheap?

Chegg currently appears to be overvalued by 22% based on my discounted cash flow valuation. The stock currently has a market price of $ 38.31 compared to my intrinsic value of $ 31.51. This means that the opportunity to buy Chegg at a good price no longer exists! But will there be another way to buy cheaply in the future? Given that Chegg's stock is relatively volatile (i.e. your price movements are larger compared to the rest of the market), this could mean that the price will drop and give us another chance to buy in the future. This is based on the high beta, which is a good indicator of the volatility of the share price.

What kind of growth will Chegg generate?

NYSE: CHGG Past and Future Results, January 4, 2020

Future prospects are an important consideration when you want to buy a stock, especially if you are an investor looking to grow your portfolio. Although value investors would argue that intrinsic value is most important in relation to price, a more convincing investment thesis would be high growth potential at an affordable price. Chegg's earnings growth is expected for teenagers next year, suggesting a solid future. This should lead to robust cash flows and a higher share value.

What this means for you:

<p class = "canvas-atom canvas-text Mb (1,0em) Mb (0) – sm Mt (0,8em) – sm" type = "text" content = "Are you a shareholder? CHGG's optimistic future growth appears to have been factored into the current stock price, with stocks trading above market value. At this current price, shareholders may be asking another question – should I sell? If you think CHGG should trade below its current price, it can be profitable to sell it high and buy it again when its price drops towards its real value. Before you make this decision, check if the basics have changed. "Data reactid =" 46 ">Are you a shareholder? CHGG's optimistic future growth appears to have been factored into the current stock price, with stocks trading above market value. At this current price, shareholders may be asking another question – should I sell? If you think CHGG should trade below its current price, it can be profitable to sell it high and buy it again when its price drops towards its real value. Before you make this decision, you should take a look at whether the basics have changed.

<p class = "canvas-atom canvas-text Mb (1,0em) Mb (0) – sm Mt (0,8em) – sm" type = "text" content = "Are you a potential investor? If you've been keeping an eye on CHGG for some time, this may not be the best time to go into the stock. The price has surpassed its true value, which means there is no benefit in mispricing. However, the optimistic outlook for CHGG is promising, which is why it is worth taking a closer look at other factors in order to take advantage of the next drop in prices. "Data reactid =" 47 ">Are you a potential investor? If you've been keeping an eye on CHGG for some time, this may not be the best time to go into the stock. The price has surpassed its true value, which means there is no benefit in mispricing. However, the optimistic outlook for CHGG is promising. It is therefore worth taking a closer look at other factors in order to take advantage of the next drop in prices.

<p class = "canvas-atom canvas-text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "The price is just the tip of the iceberg. Dig before you Choosing Chegg takes a closer look at the basics – everything you need to know about Chegg The latest infographic research report, If you are no longer interested in Chegg, you can use our free platform to see my list of over 50 other stocks with high growth potential, "data-reactid =" 48 "> The price is just the tip of the iceberg. Before you choose Chegg, you should go into the basics. You can find everything you need to know about Chegg here. If you are no longer interested in Chegg, you can view my list of over 50 other stocks with high growth potential on our free platform.

<p class = "canvas-atom canvas-text Mb (1,0em) Mb (0) – sm Mt (0,8em) – sm" type = "text" content = "If you discover an error that justifies a correction, please contact the editorial team at editorial-team@simplywallst.com, This article from Simply Wall St is general in nature. It is not a recommendation to buy or sell shares and does not take into account your goals or your financial situation. Simply Wall St has no position in the stocks mentioned.

We strive to provide you with long-term, focused research analysis based on fundamental data. Note that our analysis may not take into account the latest price-sensitive company announcements or quality material. Thank you for reading."data-reactid =" 49 ">If you discover an error that justifies a correction, please contact the editorial team at editorial-team@simplywallst.com. This article from Simply Wall St is general in nature. It is not a recommendation to buy or sell shares and does not take into account your goals or your financial situation. Simply Wall St has no position in the stocks mentioned.

We strive to provide you with long-term, focused research analysis based on fundamental data. Note that our analysis may not take into account the latest price-sensitive company announcements or quality material. Thank you for reading.