Chegg price target lowered to $8.50 from $9 at Morgan Stanley

Morgan Stanley lowered the firm’s price target on Chegg to $8.50 from $9 and keeps an Underweight rating on the shares. While Chegg is “undoubtedly making progress” rolling out a better AI-powered solution and adding value to its subscribers, continued subscriber declines, both in results and implied in guidance, beg the question “is ‘better’ enough to navigate (an) evolving competitive landscape,” the analyst tells investors in a post-earnings note.