Just a few years ago, education technology company Chegg (CHGG) was among the stock market's pandemic darlings - along with stay-at-home names like Peloton (PTON), Zoom (ZM), and Netflix (NFLX) - as many schools shifted to an online learning model. However, the easing of COVID-related restrictions eventually wiped out all the pandemic-related gains from shares of this integrated student learning platform.
Adding to the stock's woes, the rapid mainstream adoption of generative artificial intelligence (AI) tools like ChatGPT have recently emerged as a serious threat to Chegg's business model.
