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Chegg (CHGG) Cyclically Adjusted Price-to-FCF : 6.00 (As of May. 17, 2024)


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What is Chegg Cyclically Adjusted Price-to-FCF?

As of today (2024-05-17), Chegg's current share price is $4.38. Chegg's Cyclically Adjusted FCF per Share for the quarter that ended in Mar. 2024 was $0.73. Chegg's Cyclically Adjusted Price-to-FCF for today is 6.00.

The historical rank and industry rank for Chegg's Cyclically Adjusted Price-to-FCF or its related term are showing as below:

CHGG' s Cyclically Adjusted Price-to-FCF Range Over the Past 10 Years
Min: 6.31   Med: 27.67   Max: 114.37
Current: 6.31

During the past years, Chegg's highest Cyclically Adjusted Price-to-FCF was 114.37. The lowest was 6.31. And the median was 27.67.

CHGG's Cyclically Adjusted Price-to-FCF is ranked better than
81.16% of 69 companies
in the Education industry
Industry Median: 13.86 vs CHGG: 6.31

The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted Price-to-FCF. The Cyclically Adjusted FCF per Share is the average of the inflation adjusted free cash flow per share of a company over the past 10 years.

Chegg's adjusted free cash flow per share data for the three months ended in Mar. 2024 was $0.247. Add all the adjusted free cash flow per share for the past 10 years together and divide 10 will get our Cyclically Adjusted FCF per Share, which is $0.73 for the trailing ten years ended in Mar. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


Chegg Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for Chegg's Cyclically Adjusted Price-to-FCF can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Chegg Cyclically Adjusted Price-to-FCF Chart

Chegg Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Cyclically Adjusted Price-to-FCF
Get a 7-Day Free Trial Premium Member Only Premium Member Only - - 49.67 36.07 15.15

Chegg Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Cyclically Adjusted Price-to-FCF Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 23.19 11.65 12.73 15.15 10.36

Competitive Comparison of Chegg's Cyclically Adjusted Price-to-FCF

For the Education & Training Services subindustry, Chegg's Cyclically Adjusted Price-to-FCF, along with its competitors' market caps and Cyclically Adjusted Price-to-FCF data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Chegg's Cyclically Adjusted Price-to-FCF Distribution in the Education Industry

For the Education industry and Consumer Defensive sector, Chegg's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

* The bar in red indicates where Chegg's Cyclically Adjusted Price-to-FCF falls into.



Chegg Cyclically Adjusted Price-to-FCF Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted Price-to-FCF takes the Free Cash Flow per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/FCF calculation. Because it considers this 10-year average, it's often referred to as the CAPFCF Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted Price-to-FCF.

Chegg's Cyclically Adjusted Price-to-FCF for today is calculated as

Cyclically Adjusted Price-to-FCF=Share Price/ Cyclically Adjusted FCF per Share
=4.38/0.73
=6.00

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Chegg's Cyclically Adjusted FCF per Share for the quarter that ended in Mar. 2024 is calculated as:

For example, Chegg's adjusted Free Cash Flow per Share data for the three months ended in Mar. 2024 was:

Adj_FreeCashFlowPerShare=Free Cash Flow per Share/CPI of Mar. 2024 (Change)*Current CPI (Mar. 2024)
=0.247/131.7762*131.7762
=0.247

Current CPI (Mar. 2024) = 131.7762.

Chegg Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201406 -0.093 100.560 -0.122
201409 0.527 100.428 0.692
201412 -0.010 99.070 -0.013
201503 0.061 99.621 0.081
201506 -0.258 100.684 -0.338
201509 0.336 100.392 0.441
201512 -0.234 99.792 -0.309
201603 -0.270 100.470 -0.354
201606 0.030 101.688 0.039
201609 0.376 101.861 0.486
201612 -0.146 101.863 -0.189
201703 -0.039 102.862 -0.050
201706 0.080 103.349 0.102
201709 0.057 104.136 0.072
201712 0.143 104.011 0.181
201803 0.015 105.290 0.019
201806 0.104 106.317 0.129
201809 0.116 106.507 0.144
201812 0.150 105.998 0.186
201903 0.033 107.251 0.041
201906 0.172 108.070 0.210
201909 0.256 108.329 0.311
201912 0.132 108.420 0.160
202003 0.351 108.902 0.425
202006 0.270 108.767 0.327
202009 0.254 109.815 0.305
202012 0.341 109.897 0.409
202103 0.406 111.754 0.479
202106 0.257 114.631 0.295
202109 0.294 115.734 0.335
202112 0.267 117.630 0.299
202203 0.379 121.301 0.412
202206 0.240 125.017 0.253
202209 0.108 125.227 0.114
202212 0.344 125.222 0.362
202303 0.450 127.348 0.466
202306 0.346 128.729 0.354
202309 0.081 129.860 0.082
202312 0.348 129.419 0.354
202403 0.247 131.776 0.247

Add all the adjusted free cash flow per share together and divide 10 will get our Cyclically Adjusted FCF per Share.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.


Chegg  (NYSE:CHGG) Cyclically Adjusted Price-to-FCF Explanation

Compared with the regular Price-to-Free-Cash-Flow, which works poorly for cyclical businesses, the Cyclically Adjusted Price-to-FCF smoothed out the fluctuations of free cash flow during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted Price-to-FCF should give similar results to regular Price-to-Free-Cash-Flow.


Chegg Cyclically Adjusted Price-to-FCF Related Terms

Thank you for viewing the detailed overview of Chegg's Cyclically Adjusted Price-to-FCF provided by GuruFocus.com. Please click on the following links to see related term pages.


Chegg (CHGG) Business Description

Industry
Traded in Other Exchanges
Address
3990 Freedom Circle, Santa Clara, CA, USA, 95054
Chegg Inc is an American educational services company. The Chegg platform provides products and services to support learners with their academic course materials, as well as their career and personal skills development. The company's service and product offerings fall into two categories: Subscription Services, which encompasses Chegg Study Pack, Chegg Study, Chegg Writing, Chegg Math, and Busuu offerings that can be accessed internationally through the company's websites and on mobile devices, and Skills and Other, which encompasses skills, advertising services, print textbooks and eTextbooks offerings.
Executives
Nathan J. Schultz officer: Chief Content Officer C/O CHEGG, INC., 3990 FREEDOM CIRCLE, SANTA CLARA CA 95054
Andrew J Brown officer: Chief Financial Officer C/O PALMONE, INC., 400 N. MCCARTHY BLVD., MILPITAS CA 95035
Esther Lem officer: Chief Marketing Officer C/O CHEGG, INC., 3990 FREEDOM CIRCLE, SANTA CLARA CA 95054
Paul Leblanc director 3990 FREEDOM CIRCLE, SANTA CLARA CA 95054
Marcela Martin director C/O SQUARESPACE, INC., 225 VARICK STREET, 12TH FLOOR, NEW YORK NY 10014
David Longo officer: Chief Accounting Officer 3990 FREEDOM DR, SANTA CLARA CA 95054
Ted Schlein director, 10 percent owner 2750 DANS HILL ROAD, MENLO PARK CA 94025
Daniel Rosensweig director, officer: President, CEO & Chairman C/O YAHOO INC, 701 FIRST AVE, SUNNYVALE CA 94089
John Paul Fillmore officer: CHIEF BUSINESS OFFICER 3990 FREEDOM CIRCLE, SANTA CLARA CA 95054
Sarah Bond director C/O ZUORA, INC., 101 REDWOOD SHORES PARKWAY, REDWOOD CITY CA 94065
Robin Tomasello officer: VP, CORPORATE CONTROLLER C/O SENTINELONE, INC., 444 CASTRO ST., SUITE 400, MOUNTAIN VIEW CA 94041
John E. York director C/O CHEGG, INC., 3990 FREEDOM CIRCLE, SANTA CLARA CA 95054
Richard Sarnoff director C/O AUDIBLE INC, 65 WILLOWBROOK BLVD, WAYNE NJ 07470
Marne L. Levine director C/O CHEGG, INC., 3990 FREEDOM CIRCLE, SANTA CLARA CA 95054
Michael A. Osier officer: Chief Information Officer C/O CHEGG, INC., 3990 FREEDOM CIRCLE, SANTA CLARA CA 95054