Similarweb (SMWB) AI Stock Analysis

• Market Cap: $608.80M
• Dividend Yield: N/A
• Average Volume (3M): 279.81K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.88
• Revenue Growth: 14.25%
• EPS Growth: -211.21%
• Country: US
• Employees: 1,085
• Sector: Technology
• Sector Strength: 88
• Industry: Internet Content & Information
• EPS (TTM): 0.05
• Shares Outstanding: 82,829,430
• 10 Day Avg. Volume: 364,628
• 30 Day Avg. Volume: 279,812
• PEG Ratio: 1.61
• Price to Book (P/B): 42.28
• Price to Sales (P/S): 4.65
• P/FCF Ratio: 42.38
• Enterprise Value/Market Cap: 1.25
• Enterprise Value/Revenue: 2.76
• Enterprise Value/Gross Profit: 3.50
• Enterprise Value/Ebitda: -53.65
• 1Y Price Target: $13.80
• Price Target Upside: 90.61% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 6
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 50 Neutral
• Price Target: $8.00 ▲(10.50% Upside)

Similarweb's overall stock score reflects a mix of financial challenges and positive future prospects. The most significant factor is the company's financial performance, which is hindered by high leverage and profitability issues. Technical analysis indicates bearish momentum, while valuation metrics suggest caution due to current losses. The earnings call provides a more optimistic outlook with revenue growth and strategic initiatives, but challenges remain.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective product strategies, enhancing long-term business prospects.

Multiyear Contracts

Increasing multiyear contracts improve revenue predictability and customer retention, supporting sustained financial stability.

New CFO Appointment

A new CFO with extensive experience can drive strategic financial management, aiding in achieving long-term financial goals.

Negative Factors

Profitability Challenges

Persistent profitability issues can hinder investment in growth initiatives and impact long-term financial health.

High Debt Levels

Significant leverage increases financial risk, potentially limiting operational flexibility and increasing vulnerability to economic shifts.

Decline in Net Revenue Retention

A decline in net revenue retention suggests challenges in maintaining customer engagement and could impact future revenue growth.

Similarweb Business Overview & Revenue Model

Company Description

Similarweb (SMWB) is a leading digital intelligence platform that provides insights into website traffic and performance metrics across various industries. The company operates primarily within the technology sector, specializing in web analytics and competitive intelligence. Its core products include a suite of tools that enable businesses to analyze their online presence, understand user engagement, and benchmark against competitors, helping clients optimize their digital strategies and improve their market positioning.

How the Company Makes Money

Similarweb generates revenue primarily through subscription-based services. The company offers tiered pricing plans that provide varying levels of access to its analytics tools, with higher tiers offering more advanced features and data granularity. Key revenue streams include enterprise subscriptions, where businesses pay for comprehensive access to market intelligence and analytics for multiple users, and individual plans for smaller companies or specific projects. Additionally, Similarweb may generate income through partnerships with other technology firms, providing integrated solutions or co-branded services that enhance their offerings. Furthermore, the company may engage in performance-based advertising or affiliate marketing to supplement its revenue, although the majority of its earnings stem from subscription fees.

Similarweb Financial Statement Overview

Summary

Similarweb demonstrates strong gross profit margins but faces challenges with profitability and leverage. The high debt-to-equity ratio and negative return on equity highlight financial risks. Cash flow management shows some resilience, but declining free cash flow growth is a concern. Overall, the company needs to improve profitability and manage leverage to enhance financial health.

Income Statement

Similarweb's revenue growth has been modest with a TTM growth rate of 2.64%. However, the company is struggling with profitability, as indicated by negative net profit and EBIT margins. The gross profit margin remains strong at 78.46%, suggesting efficient cost management at the gross level, but operational and net profitability need significant improvement.

Balance Sheet

The company's balance sheet shows a high debt-to-equity ratio of 1.74 in the TTM, indicating significant leverage. Return on equity is negative, reflecting losses and potential risks in equity value. The equity ratio is low, suggesting a reliance on debt financing, which could pose risks if not managed properly.

Cash Flow

Cash flow analysis reveals a decline in free cash flow growth by 31.34% in the TTM. However, the company maintains a relatively healthy free cash flow to net income ratio of 0.90, indicating that cash flow generation is relatively strong compared to net income losses. Operating cash flow to net income ratio is low, highlighting challenges in converting earnings into cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	275.43M	249.91M	218.02M	193.23M	137.67M	93.49M
Gross Profit	217.26M	195.10M	170.93M	139.96M	105.92M	72.07M
EBITDA	-14.18M	864.00K	-18.55M	-77.27M	-63.61M	-17.71M
Net Income	-30.86M	-11.46M	-29.37M	-83.66M	-68.98M	-22.00M
Balance Sheet
Total Assets	248.27M	242.91M	239.01M	246.04M	227.00M	103.63M
Cash, Cash Equivalents and Short-Term Investments	65.46M	63.87M	71.73M	77.81M	128.88M	53.94M
Total Debt	42.05M	39.73M	67.42M	74.17M	0.00	26.85M
Total Liabilities	223.26M	215.40M	223.47M	224.09M	142.09M	112.88M
Stockholders Equity	25.01M	27.51M	15.55M	21.95M	84.91M	-9.25M
Cash Flow
Free Cash Flow	12.66M	27.44M	-5.42M	-77.24M	-30.74M	-4.89M
Operating Cash Flow	14.61M	30.17M	-3.04M	-46.06M	-27.63M	-3.76M
Investing Cash Flow	-18.26M	-18.70M	-2.59M	-33.01M	7.36M	-30.76M
Financing Cash Flow	7.37M	-18.84M	1.19M	29.12M	125.25M	51.23M

Similarweb Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 7.24
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SMWB, the sentiment is Negative. The current price of 7.24 is below the 20-day moving average (MA) of 8.32, below the 50-day MA of 8.91, and below the 200-day MA of 8.75, indicating a bearish trend. The MACD of -0.41 indicates Positive momentum. The RSI at 27.60 is Positive, neither overbought nor oversold. The STOCH value of 12.71 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SMWB.

Similarweb Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SSTK	74 Outperform	$769.79M	12.03	10.76%	6.02%	13.06%	66.19%
TBLA	67 Neutral	$1.16B	53.85	2.63%	―	10.96%	―
FVRR	63 Neutral	$803.28M	34.83	6.18%	―	12.68%	133.00%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
NXDR	51 Neutral	$650.90M	―	-14.07%	―	6.65%	50.32%
SMWB	50 Neutral	$608.80M	―	-120.56%	―	14.25%	-211.21%
GETY	45 Neutral	$619.63M	―	-13.79%	―	3.10%	-264.21%

Similarweb Corporate Events

Similarweb Reports Q3 2025 Results with Revenue Growth and New CFO Appointment

On November 11, 2025, Similarweb Ltd. announced its financial results for the third quarter ended September 30, 2025, highlighting an 11% revenue growth and a 15% increase in customer base. The company reported its eighth consecutive quarter of positive free cash flow and emphasized strong commercial interest in its Generative AI data and solutions as key growth drivers. Despite a GAAP net loss of $4.3 million, the company achieved a non-GAAP net income of $4.4 million. Additionally, Similarweb announced the appointment of Ran Vered as the new CFO starting December, succeeding Jason Schwartz after a decade of service.

Similarweb Appoints Ran Vered as New CFO

On October 27, 2025, Similarweb Ltd. announced the appointment of Ran Vered as Chief Financial Officer, effective December 21, 2025. Vered, with over two decades of finance experience, previously served as CFO at Lusha and has held senior roles at other technology firms. His appointment is expected to enhance Similarweb’s executive team as the company focuses on expanding AI-driven data monetization and achieving its long-term financial goals.

Similarweb Announces CFO Departure Amid Strong Financial Performance

On September 2, 2025, Similarweb Ltd. announced the planned departure of its Chief Financial Officer, Jason Schwartz, after a decade of service. The company has begun the search for a new CFO, with Schwartz remaining in his role until a successor is appointed to ensure a smooth transition. This change comes as Similarweb recently reported better-than-expected second quarter financial results, highlighting strong demand for its digital data services and a focus on strategic priorities such as AI innovation and enterprise expansion. The company remains confident in meeting its financial targets and sustaining its growth momentum.

Similarweb Appoints Tamar Rapaport-Dagim to Board Following Shareholder Meeting

On August 28, 2025, Similarweb held its annual general shareholders meeting where all proposals were approved, including the election of Tamar Rapaport-Dagim as a Class I director. Rapaport-Dagim, currently the CFO and COO of Amdocs, brings extensive experience in finance and operations, which is expected to provide strategic guidance for Similarweb’s future endeavors.