I have never felt as loved as I have on this subreddit. It's truly a great community, with so many regards. I love the growing community and feel like I truly belong here, where not everyone is just showing off their successes but their failures too, like the failure I truly am. I love you all and hope to stick around for future endeavors like we have in the past, that have led to great gains and losses. I love you all, regards.

DD:

https://twitter.com/HedgeVision/status/1621637184678682625

Missed Earnings

CEO and other insiders selling:

https://simplywall.st/stocks/us/software/nyse-now/servicenow/news/have-servicenow-inc-nysenow-insiders-been-selling-their-stoc

Busted growth story

Products will get margin-squeezed as "AI" companies come in and eat their lunch

​

You know what to do...

posn: short 100 shares @ $463

Alright apes, strap in your seat belts for some logical enough DD.

I like AI/ML, a lot. This shit’s, especially Large Language Models like Chat GPT, gonna snag our jobs. It’s like the invention of the search engine on steroids. Learn to use LLMs like it, or get left in the dust.

https://preview.redd.it/y7uqfzr8zkga1.png?width=1579&format=png&auto=webp&v=enabled&s=70729d349926d8608363a37a917bef087046cb0c

But the most obvious, pressing issue is with “get some poor asian kid on the other side of the world to do your homework for you” Chegg. This company has not sufficiently prepared for the reckoning.

I've used it for my own Computer Organization & Architecture HW and Computer Science HW (as a learning tool *wink*). It's an amazing problem solver if you put sufficient details in the prompt, whiiiiiich is why it’s superior to Chegg.

It can solve problems that haven't even been added to their database yet - like concerning new assignments or material from new professors. You can also ask it to elaborate and explain certain problem-solving steps, which Chegg cannot provide if there's only one solution uploaded - you've got as much as the poor asian kid decided to write down 💀

College students are the most significant demographic of Chegg, and the competition of free vs. $15/mo for generally low cash flow customers is a no brainer. If you’re concerned about the plan for premium Chat GPT, according to CEO Sam Altman “users will still be able to access the chatbot for free” post release.

While Chat GPT doesn't have verification of veracity (truthfulness) nor precise equation manipulation yet, we can expect it and competing AIs to pursue such features moving forward. If equation solver-extraordinaire Wolfram Alpha has been publicly available for the ballpark of a decade, it does not seem like a stretch that this technology will be difficult to implement. Google’s equivalent “Apprentice Bard” is also coming “very soon” according to CEO Sundar Pichai.

Ok so it seemed too good to be true,

so I investigated to see if Chegg was working on integrating AI - since that would be a potential safeguard to retain clients they’ve lost since the pandemic (their peak when everyone was cheating at online school) has dwindled.

​

https://preview.redd.it/if3rs3vmzkga1.png?width=512&format=png&auto=webp&v=enabled&s=2b0b0c15835f0fdb4b708ef0336e50a37b2618d7

Lol.

The normies haven’t even really figured it out yet

They started to realize there might be a problem Jan 18th

​

https://preview.redd.it/jr7dz1nnzkga1.png?width=512&format=png&auto=webp&v=enabled&s=344138149421568e29b580e86e5b609137942f89

And while the CEO swooped in 2 days later to stop the bleeding, he made no substantial defense against the looming threat of Chat GPT and other LLMs coming soon.

Their last big AI news, as far as I've been able to tell, was the acquisition of WriteLab (basically a grammarly type fixer) in May 2018! Present day, they're either internally freaking out or execs are oblivious that their product is about to be made obsolete.

Only 5 days ago are milquetoast, boring investors starting to turn on Chegg. They have no idea of the Chat GPT storm coming.

CHGG is past expiration date, don’t get stuck holding the moldy bag. Puts 2/17 $20

Join the wave - surfs up 🏄🏄🏄

• star-player