Chegg Inc. is experiencing a substantial business downturn influenced by the emergence of AI tools like ChatGPT.

The company has reported decreases in revenue, profits, and gross margins.

This financial downturn has resulted in a 26% fall in Chegg's stock price.

Analysts have responded by downgrading Chegg, and it is excluded from TipRanks' Top Stocks Portfolio.

Despite the setbacks, Chegg remains positive about the future, planning to incorporate AI into its business model for growth.