CHGG
Chegg Inc.
Is CHGG Halal?
Student learning platform — education is permissible.
What You Should Know
Chegg provides textbook rentals and tutoring services. Core educational business is permissible. Chegg's 2025 Form 10-K reports $278.014 million of assets, $53.765 million convertible debt, $85.212 million cash plus fixed-income investments and $376.908 million revenue. The learning and skilling core is generally permissible, while AI academic support, content licensing and missing gross interest-income disclosure require review.
⚠️ Concerns
- •Minor interest income
- •Academic integrity debates around homework help
- •AI tutoring can enable academic dishonesty
- •Debt/assets is 19.34% and liquidity/assets is 30.65%
- •Gross interest income is not separately disclosed
Current quantitative Sharia screen
Based on 10-K figures for the period ended 2025-12-31; calculated 2026-07-14.
53.765 / 278.014
85.212 / 278.014
46.75 / 278.014
- Financial
- Incomplete
- Overall
- Incomplete
Debt/assets is 19.34%, liquidity/assets is 30.65% and receivables plus cash/assets is 16.82%; the FTSE income test cannot be completed because gross interest income is not separately disclosed.
- Financial
- Pass
- Overall
- Incomplete
Debt/assets is 19.34%, liquidity/assets is 30.65% and receivables plus cash/assets is 16.82%, below the examined MSCI limits; business activity remains incomplete.
- Financial
- Pass
- Overall
- Incomplete
Debt/assets is 19.34% and conventional liquidity/assets is 30.65%, below the examined Malaysia SAC limits; this is not an official classification.
- Financial
- Not calculated
- Overall
- Incomplete
A licensed average-market-cap series is not stored; asset-based ratios pass or remain incomplete pending the income input.
Business-activity disclosure
Chegg provides learning, skilling, AI-powered academic support and language-learning services. Education and skills services are generally permissible, but AI answer-generation, academic-integrity risks, content licensing and customer use require qualitative review.
Limitation: The filing does not isolate prohibited content or a scholar-approved prohibited-revenue numerator, and it does not provide a complete gross interest-income numerator.
Purification
Chegg does not separately disclose a complete gross interest-income amount for 2025; ZakatInvest does not infer purification from net other income.
Inputs, assumptions and primary sources
- Amounts are USD millions from Chegg's December 31, 2025 Form 10-K.
- Short-term and long-term corporate debt securities total $54.066 million and are included as identifiable interest-bearing securities.
- Current convertible senior notes, net are $53.765 million; no long-term notes remain at year-end and operating lease liabilities are excluded. Accounts receivable is $15.604 million and revenue is $376.908 million.
- The filing describes interest income within other income but does not isolate a complete gross amount for 2025, so purification and the FTSE income test remain incomplete.
This is a reproducible financial screen, not a fatwa. A failed total-assets screen can coexist with a pass under a market-cap methodology. ZakatInvest keeps the qualitative assessment separate so numerical thresholds do not erase material context.
Similar Stocks
Want to screen more assets?
Use our interactive Halal Checker to screen any stock, ETF, or crypto instantly.
Go to Halal Checker →