Why Chegg Shares Are Trading Higher Today

Chegg Inc CHGG is trading higher Tuesday morning after the company announced better-than-expected fourth-quarter financial results and issued guidance above estimates. 

Chegg reported quarterly revenue of $207.5 million, which beat the $195.2 million estimate. The company reported quarterly earnings of 38 cents per share, which beat the estimate for 31 cents per share. 

"Students depend on Chegg as an important part of their learning journey and the momentum we experienced in the fourth quarter of 2021 is continuing into 2022," said Dan Rosensweig, president and CEO of Chegg. 

Chegg expects first-quarter revenue to be between $200 million and $205 million versus the $198.1 million estimate. The company expects adjusted EBITDA to be in the range of $56 million to $58 million.

Following Chegg's financial results, Piper Sandler analyst Arvind Ramnani maintained Chegg with an Overweight rating and raised the price target from $43 to $44.

See Also: 21 Stocks Moving in Tuesday's Pre-Market Session

CHGG Price Action: Chegg has traded as low as $23.23 and as high as $115.21 over a 52-week period.

The stock was up 8.03% at $29.46 Tuesday morning.

Photo: Dhinal Chheda from Flickr.