Chegg Gets Second NYSE Delisting Notice in Seven Months
Distressed
Company Background
Chegg is a Santa Clara-based learning and workforce skilling company, trading on the NYSE under the ticker CHGG with a market capitalization of approximately $108.9 million. The company offers tools for workplace readiness, professional upskilling, and language learning, and continues to provide AI-driven academic support to students.
The past nine months have been among the most turbulent in Chegg's recent history. In October 2025, a strategic review process concluded with no transaction, simultaneous with the departure of CEO Nathan Schultz and the return of founder Dan Rosensweig to the role of President and Chief Executive Officer. At the same time, the company announced a restructuring plan eliminating approximately 388 positions — about 45% of its global workforce — and estimated $15 million to $19 million in related charges.
In April 2026, the company replaced its auditor: the Audit Committee dismissed Deloitte & Touche LLP on April 13, 2026 and appointed Grant Thornton LLP in its place the same day, following a competitive review process. There were no disagreements between Chegg and Deloitte. The company has also been actively retiring its 0% Convertible Senior Notes due 2026 through a series of privately negotiated repurchases, leaving $33.9 million in principal outstanding as of its February 2026 transaction.
What Was Disclosed
The NYSE notified Chegg on July 24, 2026 that its average closing share price had fallen below $1.00 over the consecutive 30 trading-day period ending July 23, 2026, placing the company out of compliance with Section 802.01C of the NYSE Listed Company Manual. Chegg now has a six-month cure window — expiring approximately January 2027 — during which its common stock will continue to trade on the NYSE, provided the company satisfies the exchange's other continued listing standards.