Chegg (CHGG) reported $136.59 million in revenue for the quarter ended September 2024, representing a year-over-year decline of 13.5%. EPS of $0.09 for the same period compares to $0.18 a year ago.
The reported revenue compares to the Zacks Consensus Estimate of $133.78 million, representing a surprise of +2.10%. The company delivered an EPS surprise of +28.57%, with the consensus EPS estimate being $0.07.
While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.
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: 3.83 million versus 4.06 million estimated by three analysts on average.
- Revenue- Skills and Other: $16.79 million versus the five-analyst average estimate of $16.56 million. The reported number represents a year-over-year change of -6.4%.
- Revenue- Subscription Services: $119.80 million compared to the $117.18 million average estimate based on five analysts. The reported number represents a change of -14.4% year over year.
Shares of Chegg have returned +24% over the past month versus the Zacks S&P 500 composite's +3.3% 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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