Semrush downgraded to Equal Weight from Overweight at Morgan Stanley

Morgan Stanley analyst Elizabeth Porter downgraded Semrush (SEMR) to Equal Weight from Overweight with a price target of $9, down from $13. Momentum in enterprise and early AI solutions are not enough to offset increasing pressure at low-end customers, the analyst tells investors. While valuation is “undemanding,” the lack of a product cycle catalyst gives the firm “limited conviction in upside catalysts to displace bear narratives,” the analyst tells investors.