Similarweb SMWB

NYSE SMWB

$8.35 +0.09 (+1.09%)

As of: Nov 9, 2026 · 11:00 AM EST

Similarweb (SMWB) stock price is $8.35, up 1.09% on the day, as of Nov 9, 2026. It has a market cap of $701.44Mn, and is classified in the Analytics and BI industry (Technology sector).

Key Stats

Market Cap701.44 Mn

P/E-32.21

FCF (Yr)13.15 Mn

ROA (Yr)-12.83

EV to EBIT-38.36

Net Income (Yr)-32.94 Mn

Enterprise Value424.39 Mn

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About

Similarweb Ltd. is a leading provider of digital data and analytics that powers critical business decisions. The company collects billions of raw web and mobile data points from sources such as direct publisher feeds, contributory networks, public web crawling, and strategic partnerships, and transforms them into its proprietary Similarweb Digital Data using machine learning and artificial intelligence. This data is delivered to customers through software as a service, data as a service, application programming interfaces, and advisory services. Similarweb Digital Data provides insights into website traffic, app engagement, digital advertising, ecommerce activity, and consumer behavior across industries and geographies. The data is refreshed on a near real time basis, ensuring that users receive the most current signals for decision making.

Similarweb Ltd. generates revenue primarily from its suite of software as a service products, which include Web Intelligence, App Intelligence, Retail Intelligence, Sales Intelligence, and Stock Intelligence. Additional revenue streams come from data as a service offerings that provide raw, configurable data feeds, from integration services that embed its data into customer systems, and from advisory engagements that deliver customized analysis. The company also monetizes a freemium model where free access to basic analytics drives upgrades to paid subscriptions. In recent years, annual recurring revenue has risen steadily, reaching $282.6 million for the year ended December 31, 2025, reflecting a 13% increase over the prior period. Revenue from multi year contracts represented approximately 60% of ARR at the end of 2025, up from 49% a year earlier, indicating stronger customer commitment to long term agreements.

Similarweb Ltd. occupies a strong position in the digital data and analytics market, competing with established firms such as Nielsen, Comscore, SEMrush, and Sensor Tower. Its competitive advantages stem from a deep, continuously refreshed data repository, proprietary machine learning models, and the ability to deliver timely, comprehensive insights across web and mobile channels. The company further differentiates itself through ease of use, broad industry coverage, and a growing set of artificial intelligence enabled products. These strengths allow Similarweb to serve as a preferred data source for enterprises seeking to inform strategy, optimize marketing, enhance sales and support investment decisions. The company sustains its edge through ongoing investment in research and development, holding five registered patents and continuously enhancing its data collection and modeling capabilities.

Similarweb Ltd. serves a diverse customer base that includes agencies, consumer goods firms, financial services providers, media companies, pharmaceutical businesses, retailers, technology enterprises, and travel organizations. As of December 31, 2025, the company had 6,128 paying customers worldwide, with 454 of those generating annual recurring revenue of $100,000 or more and accounting for approximately 63% of total ARR. No single customer represented more than 10% of revenue, and roughly 45% of revenue came from customers outside the United States. The broad industry mix and low concentration risk underscore the scalability of Similarweb’s data platform across multiple sectors and regions. Many customers begin with a single product and expand their spend over time, driving net revenue expansion and deeper integration of Similarweb’s data into their workflows.

Investment Thesis

▲ Bull case

Similarweb is capitalizing on its strategic shift toward enterprise customers through improved retention and upsell dynamics, as evidenced by a 9% increase in average account value for the $25,000+ ARR cohort and 64% of ARR now on multiyear contracts, up from 52% a year ago. This structural change is driving more predictable and durable revenue streams, with the company focusing resources on high-value clients that yield better ROI per sales effort. The stabilization of net revenue retention at 98% overall and 103% for large customers indicates that expansion within the existing base is gaining traction, reducing reliance on new logo acquisition for growth. By discontinuing reporting of total customer count and shifting focus to enterprise cohorts, management is aligning metrics with long-term value creation, which the market may be underestimating as a precursor to sustained margin expansion and predictable cash flow generation. The shift away from noisy, low-value self-serve churn allows investors to see the true health of the core business, where gross retention is improving and sales productivity has risen for three consecutive quarters. This operational discipline, combined with a lengthening sales cycle that favors larger deals, positions Similarweb to benefit from enterprise budget cycles and deeper integrations that are harder to displace.
The company’s AI monetization strategy is advancing faster than recognized, with Similarweb AI Studio driving adoption through a consumption-based model that lowers barriers to use and increases engagement across data sets. Or Offer explicitly noted that margin structure is the same or better in consumption models due to the absence of UI, reducing customer success overhead and increasing stickiness through workflow integration. This contrasts with legacy seat-based models and suggests a scalable path to higher gross margins as AI-native products scale. The launch of Ad Intelligence, which now includes LLM advertisement tracking, places Similarweb at the forefront of measuring emerging ad formats before competitors, creating a first-mover advantage in a rapidly growing niche. Additionally, the expansion of the Manus partnership and MCP integration with ChatGPT and Claude embeds Similarweb’s data directly into AI agent workflows, enabling real-time insights that could become essential infrastructure for AI-driven decision-making. These distribution plays are not merely incremental features but represent a fundamental expansion of TAM by positioning Similarweb as a data layer within the AI stack, a role that could yield long-term, high-margin licensing revenue as AI adoption accelerates.
Similarweb’s financial resilience provides a strong foundation for future growth, with $65 million in cash, no debt, and access to a $75 million credit line, giving it flexibility to pursue strategic investments or shareholder returns without financial constraint. The company has generated positive normalized free cash flow for ten consecutive quarters, including $6.6 million in Q1 FY26, demonstrating durable profitability even amid macroeconomic and geopolitical headwinds. This cash generation ability reduces reliance on external funding and allows management to focus on long-term value creation, such as R&D expansion in Prague to diversify the cost base away from Israel, where nearly half the workforce is based. The raised full-year non-GAAP operating profit guidance to $70–$90 million reflects growing confidence in operational leverage, especially as AI-related revenues scale and consumption-based models improve efficiency. With RPO up 18% year-over-year to $298 million and 70% expected to convert to revenue within twelve months, the company has substantial visibility into near-term top-line performance. This combination of a fortress balance sheet, improving profitability metrics, and a growing backlog of contracted revenue suggests the market may be overlooking the downside protection and optionality embedded in Similarweb’s current financial profile.

Similarweb is capitalizing on its strategic shift toward enterprise customers through improved retention and upsell dynamics, as evidenced by a 9% increase in average account value for the $25,000+ ARR cohort and 64% of ARR now on multiyear contracts, up from 52% a year ago. This structural change is driving more predictable and durable revenue streams, with the company focusing resources on high-value clients that yield better ROI per sales effort. The stabilization of net revenue retention at 98% overall and 103% for large customers indicates that expansion within the existing base is gaining traction, reducing reliance on new logo acquisition for growth. By discontinuing reporting of total customer count and shifting focus to enterprise cohorts, management is aligning metrics with long-term value creation, which the market may be underestimating as a precursor to sustained margin expansion and predictable cash flow generation. The shift away from noisy, low-value self-serve churn allows investors to see the true health of the core business, where gross retention is improving and sales productivity has risen for three consecutive quarters. This operational discipline, combined with a lengthening sales cycle that favors larger deals, positions Similarweb to benefit from enterprise budget cycles and deeper integrations that are harder to displace.
The company’s AI monetization strategy is advancing faster than recognized, with Similarweb AI Studio driving adoption through a consumption-based model that lowers barriers to use and increases engagement across data sets. Or Offer explicitly noted that margin structure is the same or better in consumption models due to the absence of UI, reducing customer success overhead and increasing stickiness through workflow integration. This contrasts with legacy seat-based models and suggests a scalable path to higher gross margins as AI-native products scale. The launch of Ad Intelligence, which now includes LLM advertisement tracking, places Similarweb at the forefront of measuring emerging ad formats before competitors, creating a first-mover advantage in a rapidly growing niche. Additionally, the expansion of the Manus partnership and MCP integration with ChatGPT and Claude embeds Similarweb’s data directly into AI agent workflows, enabling real-time insights that could become essential infrastructure for AI-driven decision-making. These distribution plays are not merely incremental features but represent a fundamental expansion of TAM by positioning Similarweb as a data layer within the AI stack, a role that could yield long-term, high-margin licensing revenue as AI adoption accelerates.
Similarweb’s financial resilience provides a strong foundation for future growth, with $65 million in cash, no debt, and access to a $75 million credit line, giving it flexibility to pursue strategic investments or shareholder returns without financial constraint. The company has generated positive normalized free cash flow for ten consecutive quarters, including $6.6 million in Q1 FY26, demonstrating durable profitability even amid macroeconomic and geopolitical headwinds. This cash generation ability reduces reliance on external funding and allows management to focus on long-term value creation, such as R&D expansion in Prague to diversify the cost base away from Israel, where nearly half the workforce is based. The raised full-year non-GAAP operating profit guidance to $70–$90 million reflects growing confidence in operational leverage, especially as AI-related revenues scale and consumption-based models improve efficiency. With RPO up 18% year-over-year to $298 million and 70% expected to convert to revenue within twelve months, the company has substantial visibility into near-term top-line performance. This combination of a fortress balance sheet, improving profitability metrics, and a growing backlog of contracted revenue suggests the market may be overlooking the downside protection and optionality embedded in Similarweb’s current financial profile.

▼ Bear case

Similarweb’s reliance on large language model (LLM) contracts introduces significant execution risk, as evidenced by the delayed signing of one large LLM deal from Q4 2025 into Q1 FY26, highlighting potential volatility in closing enterprise AI partnerships. Or Offer acknowledged that second-half 2026 revenue growth acceleration depends on a strong pipeline, including multiple LLM and OEM deals, yet provided no concrete timelines or conversion rates for these opportunities during the Q&A. The company’s confidence in back-half ramp appears contingent on closing additional large deals, which are inherently lumpy and subject to extended procurement cycles, especially with nascent AI vendors whose budgets may be fluid or experimental. This dependence on a few large, uncertain contracts creates revenue recognition volatility that could disrupt guided growth trajectories if delays persist. Furthermore, while Similarweb promotes its AI Studio and MCP integrations as growth drivers, the monetization model remains early-stage, with no clear disclosure on adoption rates, usage frequency, or average revenue per user for these consumption-based products, making it difficult to assess whether engagement translates to meaningful financial impact. The market may be overestimating the scalability and speed of AI-driven revenue contribution, particularly given the long sales cycles typical in enterprise AI infrastructure sales.
The company’s cost structure remains vulnerable to geopolitical and currency fluctuations due to approximately half of its workforce being based in Israel, a fact CFO Ran Vered acknowledged as an ongoing headwind to profitability from shekel strengthening against the dollar. Although Similarweb is expanding its R&D center in Prague to diversify the cost base, this transition is gradual and may not sufficiently offset labor cost pressures in the near term, especially if wage inflation accelerates in Central Europe or if hiring in Prague fails to match the skill density of the Israeli team. The lack of specific timelines or cost-saving targets for the Prague expansion leaves investors without clear visibility into when or how much margin improvement will materialize from this initiative. Additionally, Similarweb’s decision to discontinue reporting total customer count, while framed as a shift toward enterprise focus, could obscure weakening demand in the self-serve segment, which may serve as an early warning signal for broader market saturation or product relevance issues. If the self-serve channel is deteriorating faster than disclosed, it could indicate weakening brand traction or pricing power that eventually impacts enterprise renewal rates, especially as lower-tier customers often serve as a funnel for future upsell.
Similarweb operates in an increasingly competitive landscape where rivals are also shifting to consumption-based and platform-fee models, potentially eroding its differentiation in AI data distribution. During the earnings call, an analyst noted a competitor’s announcement of shifting to a platform fee plus consumption structure, suggesting industry-wide convergence on monetization strategies that could compress Similarweb’s pricing power. While the company claims first-mover status in LLM ad intelligence, the durability of this advantage is uncertain given the rapid pace of innovation in AI advertising measurement and the potential for larger tech platforms (e.g., Google, Meta) to develop proprietary solutions that reduce reliance on third-party data vendors. Furthermore, the consumption model’s margin benefits—cited as being “the same or even better” due to no UI—remain theoretical without granular breakdowns of gross margin by revenue segment, leaving open the possibility that increased cloud infrastructure costs, data licensing fees, or higher support complexity for AI-native products could offset anticipated efficiency gains. If Similarweb fails to sustain its technological edge or if AI platforms begin to internalize data ingestion capabilities, its role as a critical intermediary could diminish, undermining the long-term TAM expansion thesis built around MCP integrations and AI ecosystem partnerships.

Similarweb’s reliance on large language model (LLM) contracts introduces significant execution risk, as evidenced by the delayed signing of one large LLM deal from Q4 2025 into Q1 FY26, highlighting potential volatility in closing enterprise AI partnerships. Or Offer acknowledged that second-half 2026 revenue growth acceleration depends on a strong pipeline, including multiple LLM and OEM deals, yet provided no concrete timelines or conversion rates for these opportunities during the Q&A. The company’s confidence in back-half ramp appears contingent on closing additional large deals, which are inherently lumpy and subject to extended procurement cycles, especially with nascent AI vendors whose budgets may be fluid or experimental. This dependence on a few large, uncertain contracts creates revenue recognition volatility that could disrupt guided growth trajectories if delays persist. Furthermore, while Similarweb promotes its AI Studio and MCP integrations as growth drivers, the monetization model remains early-stage, with no clear disclosure on adoption rates, usage frequency, or average revenue per user for these consumption-based products, making it difficult to assess whether engagement translates to meaningful financial impact. The market may be overestimating the scalability and speed of AI-driven revenue contribution, particularly given the long sales cycles typical in enterprise AI infrastructure sales.
The company’s cost structure remains vulnerable to geopolitical and currency fluctuations due to approximately half of its workforce being based in Israel, a fact CFO Ran Vered acknowledged as an ongoing headwind to profitability from shekel strengthening against the dollar. Although Similarweb is expanding its R&D center in Prague to diversify the cost base, this transition is gradual and may not sufficiently offset labor cost pressures in the near term, especially if wage inflation accelerates in Central Europe or if hiring in Prague fails to match the skill density of the Israeli team. The lack of specific timelines or cost-saving targets for the Prague expansion leaves investors without clear visibility into when or how much margin improvement will materialize from this initiative. Additionally, Similarweb’s decision to discontinue reporting total customer count, while framed as a shift toward enterprise focus, could obscure weakening demand in the self-serve segment, which may serve as an early warning signal for broader market saturation or product relevance issues. If the self-serve channel is deteriorating faster than disclosed, it could indicate weakening brand traction or pricing power that eventually impacts enterprise renewal rates, especially as lower-tier customers often serve as a funnel for future upsell.
Similarweb operates in an increasingly competitive landscape where rivals are also shifting to consumption-based and platform-fee models, potentially eroding its differentiation in AI data distribution. During the earnings call, an analyst noted a competitor’s announcement of shifting to a platform fee plus consumption structure, suggesting industry-wide convergence on monetization strategies that could compress Similarweb’s pricing power. While the company claims first-mover status in LLM ad intelligence, the durability of this advantage is uncertain given the rapid pace of innovation in AI advertising measurement and the potential for larger tech platforms (e.g., Google, Meta) to develop proprietary solutions that reduce reliance on third-party data vendors. Furthermore, the consumption model’s margin benefits—cited as being “the same or even better” due to no UI—remain theoretical without granular breakdowns of gross margin by revenue segment, leaving open the possibility that increased cloud infrastructure costs, data licensing fees, or higher support complexity for AI-native products could offset anticipated efficiency gains. If Similarweb fails to sustain its technological edge or if AI platforms begin to internalize data ingestion capabilities, its role as a critical intermediary could diminish, undermining the long-term TAM expansion thesis built around MCP integrations and AI ecosystem partnerships.

Geographical Breakdown of Revenue (2025)

History

Peer percentiles

How Similarweb ranks

Ranked against the 113 companies in Business Applications58 metrics · as of Nov 6, 2026

Valuation

12 metrics · Lower multiples rank higher; a negative multiple ranks last

P/ENegative earnings −32.8xMedian 24.7x 42^nd
P/FCF 47.4xMedian 15.3x 41^st
P/Operating cash flow 51.6xMedian 13.7x 37^th
P/S 2.47xMedian 2.81x 55^th
P/B 32.1xMedian 2.69x 6^th
P/Tangible book 32.1xMedian 3.57x 10^th
EV/EBITDANegative EBITDA −286xMedian 16.5x 34^th
EV/EBITNegative EBIT −59.4xMedian 22.5x 42^nd
EV/Revenue 2.22xMedian 2.92x 58^th
EV/FCF 42.6xMedian 16.7x 39^th
EV/Operating cash flow 46.4xMedian 13.8x 36^th
PEG (3Y EPS CAGR)Negative earnings −1.09Median 0.77 Not meaningful —

Growth

14 metrics · Year-on-year growth and three-year compound annual growth

Revenue growth (1Y) 10.2%Median 9.6% 51^st
Revenue CAGR (3Y) 12.5%Median 8.9% 68^th
Gross profit growth (1Y) 12.1%Median 11.4% 54^th
Gross profit CAGR (3Y) 14.6%Median 10.4% 65^th
Operating income growth (1Y) 50.2%Median 16.9% 71^st
Operating income CAGR (3Y) 42.5%Median 22.3% 79^th
Net income growth (1Y) 25.1%Median 13.4% 60^th
Net income CAGR (3Y) 27.5%Median 23.0% 63^rd
EPS growth (1Y) 28.7%Median 22.3% 53^rd
EPS CAGR (3Y) 30.2%Median 25.6% 62^nd
Operating cash flow growth (1Y) −30.9%Median 18.2% 19^th
Operating cash flow CAGR (3Y) 33.8%Median 21.8% 69^th
Free cash flow growth (1Y) −29.0%Median 18.6% 19^th
Free cash flow CAGR (3Y) 32.7%Median 24.0% 69^th

Profitability

14 metrics · Margins, returns on capital and the quality of earnings

Gross margin 79.8%Median 69.3% 79^th
EBITDA margin −0.8%Median 7.0% 37^th
Operating margin −3.7%Median −1.3% 46^th
Pretax margin −5.9%Median −0.6% 42^nd
Net margin −7.4%Median −0.9% 42^nd
FCF margin 5.2%Median 12.0% 37^th
Operating cash flow margin 4.8%Median 15.1% 34^th
Return on equity −108%Median 0.4% 7^th
Return on assets −8.8%Median −1.0% 40^th
Return on invested capital —Median 5.6% No data —
Return on capital employed −19.5%Median 2.1% 23^rd
Asset turnover 1.10xMedian 0.63x 85^th
Cash conversion (OCF / net income)Net income is not positive −0.65xMedian 2.00x Not meaningful —
Stock comp / revenue 6.2%Median 8.1% 61^st

Financial Health

11 metrics · Leverage, liquidity and solvency; less debt ranks higher

Debt / assets —Median 21.7% No data —
Debt / equity —Median 0.45x No data —
Net debt / EBITDA —Median 1.49x No data —
Debt / FCF —Median 2.56x No data —
Liabilities / assets 91.9%Median 59.8% 22^nd
Equity / assets 8.1%Median 40.7% 22^nd
Interest coverage —Median 1.13x No data —
Current ratio 0.76xMedian 1.17x 27^th
Quick ratio 0.63xMedian 0.87x 36^th
Cash ratio 0.35xMedian 0.43x 43^rd
Altman Z-score 0.37Median 1.84 36^th

Peer group

Peer Comparison

Companies in the Analytics and BI

View all peers

S.No.	Ticker	Company	Market Cap	P/E	P/S	Total Debt (Qtr)
1	PLTR	Palantir Technologies Inc.	408.12 Bn	111.23	56.00	-
2	ORCL	Oracle Corp	355.12 Bn	18.87	4.95	125.34 Bn
3	SAP	Sap Se	277.13 Bn	29.07	6.06	9.68 Bn
4	CRM	Salesforce, Inc.	176.39 Bn	18.26	4.01	39.29 Bn
5	ADP	Automatic Data Processing Inc	121.01 Bn	26.74	5.44	4.97 Bn
6	NOW	ServiceNow, Inc.	108.09 Bn	74.80	7.00	7.52 Bn
7	INTU	Intuit Inc.	93.02 Bn	20.37	4.34	7.67 Bn
8	SMWB	Similarweb Ltd.	0.70 Bn	-32.21	2.37	-