Chegg (LTS:0A4Z) PB Ratio: 0.70 (As of Sep. 22, 2026) — 80% Below Median

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Director of Data and Quant Analytics at GuruFocus
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Founder & CEO of GuruFocus
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LTS:0A4Z Chegg Inc LTS:0A4Z
30 GF Score
Price $0.75
GF Value $0.67
Valuation Modestly Overvalued
! 5 Warning Signs
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What is Chegg PB Ratio?

Chegg LTS:0A4Z -1.94% 30 PB Ratio is 0.70 as of Sep. 22, 2026, which is 80% below its 10-year median of 3.45. GuruFocus rates LTS:0A4Z with a GF Score™ of 30/100 and a GF Value™ of $0.67 (Modestly Overvalued). The stock has 5 warning signs investors should review. Among 254 Education companies, Chegg ranks better than 72.05% on this metric.

The PB Ratio, or Price-to-Book ratio, or Price/Book, is a financial ratio used to compare a company's market price to its Book Value per Share. As of today (2026-09-22), Chegg's share price is $0.7485. Chegg's Book Value per Share for the quarter that ended in Jun. 2026 was $1.07. Hence, Chegg's PB Ratio of today is 0.70.

The historical rank and industry rank for Chegg's PB Ratio or its related term are showing as below:

LTS:0A4Z' s PB Ratio Range Over the Past 10 Years
Min: 0.27   Med: 3.45   Max: 24.08
Current: 0.7

During the past 13 years, Chegg's highest PB Ratio was 24.08. The lowest was 0.27. And the median was 3.45.

LTS:0A4Z's PB Ratio is ranked better than
72.05% of 254 companies
in the Education industry
Industry Median: 1.395 vs LTS:0A4Z: 0.70

During the past 12 months, Chegg's average Book Value Per Share Growth Rate was -27.00% per year. During the past 3 years, the average Book Value Per Share Growth Rate was -50.40% per year. During the past 5 years, the average Book Value Per Share Growth Rate was -28.60% per year. During the past 10 years, the average Book Value Per Share Growth Rate was -0.20% per year.

During the past 13 years, the highest 3-Year average Book Value Per Share Growth Rate of Chegg was 31.50% per year. The lowest was -50.40% per year. And the median was 10.20% per year.

Back to Basics: PB Ratio


Chegg  (LTS:0A4Z) PB Ratio Explanation

Unlike valuation ratios relative to the earning power such as PE Ratio, PE Ratio without NRI, PS Ratio, Price-to-Operating-Cash-Flow , or Price-to-Free-Cash-Flow, the PB Ratio measures the valuation of the stock relative to the underlying asset of the company.

The PB Ratio works the best for the businesses that earn most of their profit from their assets, e.g. banks and insurance companies.


Be Aware

Some businesses have very light assets, such as software companies or insurance agencies. The PB Ratio does not work well for these companies. Some companies even have negative equity, so the PB Ratio cannot be applied to them.


Chegg PB Ratio Related Terms


Chegg PB Ratio Historical Data

* Premium members only.

The historical data trend for Chegg's PB Ratio 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.

Chegg PB Ratio Chart

Chegg Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
PB Ratio
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Chegg Quarterly Data
Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
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LTS:0A4Z vs COE, SKIL, LGCY: PB Ratio Comparison

For the Education & Training Services subindustry, Chegg's PB Ratio, along with its competitors' market caps and PB Ratio 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 PB Ratio vs Education Industry

For the Education industry and Consumer Defensive sector, Chegg's PB Ratio distribution charts can be found below:

* The bar in red indicates where Chegg's PB Ratio falls into.


LTS:0A4Z
30GF Score
Chegg Inc LTS:0A4Z
PB Ratio is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Chegg PB Ratio Calculation

The PB Ratio, or Price-to-Book ratio, or Price/Book, is a financial ratio used to compare a company's market price to its Book Value per Share. It is a ratio widely used to value stocks.

Chegg's PB Ratio for today is calculated as follows:

PB Ratio=Share Price/Book Value per Share (Q: Jun. 2026)
=0.7485/1.069
=0.70

* 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.

It can also be calculated from the numbers for the whole company:

A closely related ratio is called Price-to-Tangible-Book. The difference between Price-to-Tangible-Book and PB Ratio is that book value other than intangibles are used in the calculation.

Frequently Asked Questions Learn more about PB Ratio →
What does a PB Ratio of 0.70 mean?
Chegg (LTS:0A4Z) has a PB Ratio of 0.70 as of Sep. 22, 2026. Price-to-Book ratio is the ratio of share price to a company's book value per share. View historical data on Chegg and its competitors. This is 80% below median its historical median of 3.45. Over the past decade, Chegg's PB Ratio has ranged from 0.27 to 24.08. According to the industry distribution chart, Chegg ranks #71 out of 254 companies in the Education industry, placing it in the top 28%.
Is Chegg's PB Ratio too high?
Chegg's current PB Ratio of 0.70 is 80% below median its 10-year median of 3.45. Over the past 10 years, this metric has ranged from a low of 0.27 to a high of 24.08. The Education industry median PB Ratio is 1.40. Chegg's value of 0.70 is 49.8% below this industry median. Based on the distribution chart, Chegg ranks #71 out of 254 companies in the Education industry, which is above the industry midpoint. Overall, Chegg has a GF Score™ of 30/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Chegg's PB Ratio compare to COE and SKIL?
According to the Education industry distribution chart, Chegg ranks #71 out of 254 companies for PB Ratio. This puts Chegg in the upper half of its industry. The industry median PB Ratio is 1.40. Chegg's value of 0.70 is 49.8% below this benchmark. Historically, Chegg's own PB Ratio has ranged from 0.27 to 24.08 over the past decade. While the company's 10-year median is 3.45 vs. the industry median of 1.40, Chegg has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good PB Ratio for an Education company?
The median PB Ratio among Education companies is 1.40, based on 254 companies in the industry. Companies in the top quartile (top 25%) have a PB Ratio significantly above this median, while those in the bottom quartile fall well below. However, PB Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Chegg's current PB Ratio of 0.70 is 49.8% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high PB Ratio mean?
A high PB Ratio can signal that a stock is expensive relative to its fundamentals. Price-to-Book ratio is the ratio of share price to a company's book value per share. View historical data on Chegg and its competitors. For the Education industry, the median PB Ratio is 1.40 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Chegg's current PB Ratio is 0.70, which is 80% below median its own 10-year median of 3.45. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Chegg stock overvalued right now?
Based on GuruFocus' analysis, Chegg (LTS:0A4Z) is currently considered Modestly Overvalued. The stock's GF Value™ is $0.67, compared to a current price of $0.75 — trading 11.7% above its estimated fair value. The current PB Ratio is 0.70, which is 80% below median its 10-year median of 3.45 and 49.8% below the Education industry median of 1.40. Chegg's overall GF Score™ is 30/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is PB Ratio calculated?
PB Ratio is calculated from a company's financial statements. For Chegg (LTS:0A4Z), the current PB Ratio is 0.70 as of Sep. 22, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Chegg (LTS:0A4Z) Overvalued in 2026?

Based on GuruFocus' analysis, Chegg stock appears to be overvalued. The current stock price of $0.75 is trading 11.7% above its estimated GF Value™ of $0.67. GuruFocus considers Chegg to be Modestly Overvalued.

Key valuation signals for LTS:0A4Z:

  • PB Ratio: 0.70 (80% below median its 10-year median of 3.45)
  • GF Value™: $0.67 vs. price of $0.75 (11.7% above fair value)
  • GF Score™: 30/100 with 5 warning signs
  • Industry Position: 49.8% below the Education median (#71 of 254)

No single metric tells the full story. See the LTS:0A4Z stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Chegg Business Description

Address 2261 Market Street, Suite 46218, Santa Clara, CA, USA, 95054
Chegg Inc. is a U.S. education technology company that provides online academic support and skills-training services, primarily through subscription offerings. Its Academic Services segment, the largest revenue source, includes Chegg Study, which offers step-by-step textbook solutions, expert Q&A, and study tools, along with writing and citation services such as EasyBib and math help through Mathway. The Chegg Skills segment provides online courses and programs in technology, business, and professional development, often aimed at working adults and employers. Customers are mainly high school and college students, as well as institutions and companies seeking workforce training. Chegg generates most revenue from recurring subscriptions, with the United States accounting for the majority of sales and international markets making up the remainder. The company has shifted toward a broader learning platform while facing competition from free and AI-based study tools.
30GF Score

Get the complete analysis for LTS:0A4Z

PB Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$0.75
Price
$0.67
GF Value