CHGG Stock Soars Following Galloway Capital’s Letter To Chegg CEO — What Did It Say?

Galloway Capital stated that based on its analysis, Chegg’s current share price reflects a “substantial disconnect” from intrinsic value.
A laptop keyboard and Chegg logo displayed on a phone screen are seen in this illustration photo taken in Krakow, Poland on May 4, 2023.
A laptop keyboard and Chegg logo displayed on a phone screen are seen in this illustration photo taken in Krakow, Poland on May 4, 2023. (Photo by Jakub Porzycki/NurPhoto via Getty Images)
Profile Image
Rounak Jain·Stocktwits
Published Apr 08, 2026   |   12:12 PM EDT
Share
·
Add us onAdd us on Google

Chegg Inc. (CHGG) shares soared nearly 16% in Wednesday morning’s trade after the company disclosed a letter from one of its significant shareholders, Galloway Capital Partners.

According to the letter addressed to Chegg CEO Dan Rosensweig, Galloway Capital stated that CHGG’s current price reflects a “substantial disconnect” from intrinsic value.

“At present levels, the market appears to be incorrectly pricing the business as though it is in financial distress. The Company maintains a strong balance sheet, is expected to exit the year with net cash and no debt, and, in our view, has no credible risk of financial distress,” Galloway Capital stated in its letter.

Retail sentiment on Stocktwits around Chegg trended in the ‘bullish’ territory at the time of writing.

Get updates to this developing story directly on Stocktwits.

Also See: Is Microsoft Down? Downdetector Reports Issues With Microsoft 365, Teams, Outlook, Azure And Other Services

For updates and corrections, email newsroom[at]stocktwits[dot]com.

Follow on Google News
Read about our editorial guidelines and ethics policy