Shares of online education provider Chegg were down 5.4% in the extended trading session on Monday even as the company reported better-than-anticipated third-quarter results and raised its full-year guidance.Chegg’s (CHGG) revenue grew 64% year-over-year to $154 million driven by a spike in the number of subscribers as online education is being increasingly preferred amid the COVID-19 pandemic. Analysts expected revenue of $143.7 million. The number of subscribers for Chegg Services increased 69% to 3.7 million. The company’s adjusted EPS declined to $0.17 from $0.18 in 3Q19 but exceeded analysts’ forecast of $0.10.The company generates its revenue through Chegg Services (includes tools like Chegg Study, Chegg Writing and Chegg Tutors) and Required Materials (comprises print textbooks and eTextbooks.) In 3Q, revenue from Chegg Services rose 72% to $118.9 million and accounted for 77% of the overall revenue.Coming to guidance, the company predicts 4Q revenue between $188 and $190 million and adjusted EBITDA between $82 and $84 million. Following the strong performance in 3Q, Chegg now expects full-year 2020 revenue between $626 and $628 million compared to the prior forecast of $605 million to $615 million. It also anticipates 2020 adjusted EBITDA between $201 and $203 million, up from the previous outlook of $190 million to $195 million.Looking further forward, Chegg also provided initial guidance for 2021, and expects revenue of about $775 million, with Chegg Services revenue of $655 million. (See CHGG stock analysis on TipRanks)In reaction to the results, Northland Securities analyst Michael Grondahl reiterated a Buy rating for Chegg with a price target of $95, saying “Going forward, international growth, continued restriction of password sharing efforts, Bundle/Chegg Study Pack at $19.95 a month, online learning, can support this hyper growth for at least 6 more months.”The Street too is bullish about Chegg with a Strong Buy consensus based on 10 Buys versus 2 Holds. With shares advancing by an impressive 129% so far this year, the $96 average analyst price target implies further upside potential of 10.7% over the coming months.Related News: F5 Networks’ 1Q Outlook Beats The Street; Shares Gain 4.3% Otis Lifts 2020 Outlook; Analyst Sees 19% Upside Seagate’s 1Q Sales Miss; Analyst Raises PT More recent articles from Smarter Analyst: * Moelis Hikes Quarterly Dividend By 50%; Shares Rise In Pre-Market * OneMain Raises Dividend By 36% After EPS Beat Street Estimates * K12 Pops 10% As Online Education Demand Boosts Earnings * Facebook Kicks Off Cloud Gaming Launch With Free-To-Play Games