Chegg (CHGG) Competitors

Chegg (NYSE:CHGG) and European Wax Center (NASDAQ:EWCZ) are both small-cap computer and technology companies, but which is the better investment? We will compare the two companies based on the strength of their risk, dividends, earnings, profitability, community ranking, valuation, analyst recommendations, media sentiment and institutional ownership.

Which has more risk & volatility, CHGG or EWCZ?

Chegg has a beta of 1.81, meaning that its share price is 81% more volatile than the S&P 500. Comparatively, European Wax Center has a beta of 1.15, meaning that its share price is 15% more volatile than the S&P 500.

Do institutionals and insiders hold more shares of CHGG or EWCZ?

95.2% of Chegg shares are owned by institutional investors. Comparatively, 82.1% of European Wax Center shares are owned by institutional investors. 3.4% of Chegg shares are owned by insiders. Comparatively, 6.1% of European Wax Center shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Does the MarketBeat Community prefer CHGG or EWCZ?

Chegg received 754 more outperform votes than European Wax Center when rated by MarketBeat users. Likewise, 66.58% of users gave Chegg an outperform vote while only 50.62% of users gave European Wax Center an outperform vote.

Company	Underperform	Outperform
Chegg	Outperform Votes 795 66.58%	Underperform Votes 399 33.42%
European Wax Center	Outperform Votes 41 50.62%	Underperform Votes 40 49.38%

Which has better valuation & earnings, CHGG or EWCZ?

Chegg has higher revenue and earnings than European Wax Center. Chegg is trading at a lower price-to-earnings ratio than European Wax Center, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Chegg	$617.57M	0.08	$18.18M	-$8.13	-0.06
European Wax Center	$216.92M	0.85	$8.93M	$0.22	15.23

Do analysts recommend CHGG or EWCZ?

Chegg presently has a consensus target price of $2.08, suggesting a potential upside of 323.44%. European Wax Center has a consensus target price of $6.94, suggesting a potential upside of 107.09%. Given Chegg's higher possible upside, analysts clearly believe Chegg is more favorable than European Wax Center.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Chegg	4 Sell rating(s)	4 Hold rating(s)	0 Buy rating(s)	0 Strong Buy rating(s)	1.50
European Wax Center	1 Sell rating(s)	4 Hold rating(s)	2 Buy rating(s)	0 Strong Buy rating(s)	2.14

Is CHGG or EWCZ more profitable?

European Wax Center has a net margin of 4.96% compared to Chegg's net margin of -124.05%. European Wax Center's return on equity of 16.51% beat Chegg's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Chegg	-124.05%	2.36%	1.04%
European Wax Center	4.96%	16.51%	2.56%

Does the media favor CHGG or EWCZ?

In the previous week, Chegg had 5 more articles in the media than European Wax Center. MarketBeat recorded 12 mentions for Chegg and 7 mentions for European Wax Center. European Wax Center's average media sentiment score of 0.54 beat Chegg's score of 0.31 indicating that European Wax Center is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Chegg	1 Very Positive mention(s)	3 Positive mention(s)	5 Neutral mention(s)	2 Negative mention(s)	0 Very Negative mention(s)	Neutral
European Wax Center	2 Very Positive mention(s)	0 Positive mention(s)	1 Neutral mention(s)	2 Negative mention(s)	0 Very Negative mention(s)	Positive

Summary

European Wax Center beats Chegg on 10 of the 18 factors compared between the two stocks.