Chegg Receives Continued Listing Standard Notice from NYSE, Faces Potential Delisting Risk
Santa Clara, Calif., July 24, 2026 – Chegg, Inc. (“Chegg” or the “Company”), a global leader in learning and workforce skilling, announced that it has received a continued listing standard notice from the New York Stock Exchange (NYSE), signaling that the Company’s average closing share price has fallen below \$1.00 over a consecutive 30 trading-day period ending July 23, 2026. This development follows a previous notice in December 2025, which Chegg successfully resolved by the end of May 2026. However, the latest notice indicates renewed pressure on the Company’s share price and its ongoing compliance with NYSE listing requirements.
Key Points for Investors:
- Non-Compliance Notification: The NYSE has notified Chegg that its average closing share price for a 30-day period was below the critical \$1.00 threshold, putting the Company at risk of being delisted.
- Previous Occurrence: This is the second such notice within a year; Chegg previously regained compliance with the minimum share price requirement by the end of May 2026.
- Cure Period: Chegg now has a six-month period following the notice to cure the deficiency. The Company can regain compliance if, on the last trading day of any calendar month during this period, its closing share price is at least \$1.00 and it maintains an average closing price of at least \$1.00 over the preceding 30 trading days.
- Potential Actions: Management intends to notify the NYSE of its plan to regain compliance and is considering options such as a reverse stock split, pending board approval, if necessary.
- No Immediate Delisting: The Company’s shares will continue to be listed and traded on the NYSE during the cure period, provided it stays compliant with all other NYSE listing standards.
- Risk of Suspension and Delisting: Failure to regain compliance within the specified timeframe could subject Chegg’s common stock to suspension and delisting procedures by the NYSE.
Implications for Shareholders and Potential Share Price Impact:
- Increased Volatility and Uncertainty: The notice itself is a material event that could impact shareholder confidence and the Company’s share price, given the risk of delisting from a major exchange.
- Possible Reverse Stock Split: If the Company pursues a reverse stock split to boost its share price above the \$1.00 threshold, this could affect the number of shares held by investors and potentially increase volatility in the stock.
- Market Sentiment: The Company acknowledges that reactions from employees, vendors, customers, and investors to the NYSE’s notice could influence its business and share price going forward.
- Continued Monitoring: Chegg’s management has stated its commitment to monitoring the share price and evaluating all available options to resolve the deficiency and maintain compliance.
About Chegg
Chegg is a learning platform that supports businesses in workforce skilling and provides lifelong learners and students with tools and confidence to succeed. The company operates in the rapidly growing \$40 billion skilling market, offering solutions for workplace readiness, professional upskilling, and language learning, in addition to AI-driven personalized support for students. Chegg trades on the NYSE under the symbol CHGG.
Forward-Looking Statements
This press release contains forward-looking statements, including those regarding Chegg’s ability to regain NYSE compliance, maintain its listing, and resolve any share price deficiencies. These statements are subject to various risks and uncertainties, such as reactions from stakeholders, the potential for delisting, and other factors described in Chegg’s SEC filings. Actual results may differ materially from those projected.
Disclaimer: This article is for informational purposes only and does not constitute investment advice. Investors should review all relevant filings and consult with their financial advisors before making investment decisions. The information herein may be subject to change and contains forward-looking statements that involve risks and uncertainties.
