Chegg jumps after Morgan Stanley upgrades rating to 'equal-weight'
16/07/2024 11:55
** Shares of ed-tech company Chegg CHGG.N rise 7.3% to
$3.40 premarket
** Morgan Stanley upgrades stock's rating to "equal-weight"
from previous rating of "underweight"
** Cuts price target to $3.25 from $6.50, with new PT
representing 2.5% upside to CHGG's last close
** Co's earlier restructuring announcement and cost
reduction plans represented CEO and CFO's strategic review of
the business and vision for path ahead - MS
** "Given demand and execution challenges, that path to a
return to growth requires optimism not supported by anything we
are seeing yet," says MS
** Of the 15 brokerages covering the stock, 11 rate it
"hold" and 4 "sell" or lower; their median PT is $7 - LSEG
** Up to last close, stock had fallen ~72% YTD
(Reporting by Arsheeya Bajwa in Bengaluru)
((ArsheeyaSingh.Bajwa@thomsonreuters.com; +91 8510015800;))