Chegg, an education technology company, has announced a restructuring plan involving deep job cuts, leading to a surge of 19-20% in its shares. The plan aims to achieve $40-50 million in non-GAAP expense savings by reducing headcount by 23% and closing two locations. Management targets a 30% Adjusted EBITDA margin and $100 million of Free Cash Flow in 2025, with the market cap currently at $285 million.
Santa Clara-based Chegg will lay off 441 employees as part of an effort to reduce operating costs at the company. https://t.co/M9hmXA6KcI
Morgan Stanley analyzes Chegg's $CHGG future after restructuring https://t.co/J1E7GBU0Tt https://t.co/etGlGv76Ds
Chegg Stock Pops on Restructuring News. Analysts Are Still Wary. https://t.co/pbN7tJleY3
$CHGG | Chegg Announces Restructuring Plan: What's Going On With The Stock? The restructuring plan will include a 23% headcount reduction and a refocus on students with a comprehensive course load. 1/2
$CHGG | Chegg Announces Restructuring Plan: What's Going On With The Stock? The company expects to realize savings of $40 million to $50 million in 2025 from 441 employee departures and the closure of two locations. 2/2
$CHGG up 17% pre-market because it's laying off 23% of its workforce after hitting new 10 year lows for the stock.... not bullish... ChatGPT casualty...
$CHGG (+17.2% pre) Chegg Announces Restructuring Plan and New Vision for Growth - BW https://t.co/HcorKtHgcm
Chegg $CHGG +20% on restructuring news. $40M - $50M in non-GAAP expense savings. Management committed to 30% Adjusted EBITDA margin and $100M of Free Cash Flow in 2025. Market cap: $285M https://t.co/s3Jdat3K4l
Chegg announces deep job cuts in restructuring plan, sending shares surging 19% https://t.co/zryQbfNn0Z
Chegg is laying off 20% of its workforce. https://t.co/jYLubauXG0
Chegg is eliminating around a quarter of its workforce, or 500 employees #MacroEdge