| Valuation method | Value, $ | Upside, % |
|---|---|---|
| Artificial intelligence (AI) | 224.33 | 4206 |
| Intrinsic value (DCF) | 15.10 | 190 |
| Graham-Dodd Method | n/a | |
| Graham Formula | n/a |
Similarweb Ltd. (NYSE: SMWB) is a leading provider of digital intelligence solutions, empowering businesses to analyze and benchmark their online performance against competitors. Headquartered in Tel Aviv, Israel, Similarweb offers a comprehensive platform that serves retail, CPG, travel, fintech, B2B software, and logistics industries, as well as agencies and institutional investors. The company’s AI-driven analytics enable users to track market trends, optimize digital marketing strategies, and uncover consumer behavior insights. With solutions spanning digital research, marketing, shopper intelligence, sales intelligence, and investor intelligence, Similarweb helps enterprises make data-driven decisions in an increasingly digital-first economy. Operating globally across the U.S., Europe, and APAC, Similarweb is positioned at the forefront of competitive intelligence, aiding businesses in enhancing online visibility, customer acquisition, and revenue growth. As digital transformation accelerates, Similarweb’s real-time web and app analytics provide a critical edge for companies navigating dynamic e-commerce and digital advertising landscapes.
Similarweb presents a high-growth opportunity in the digital intelligence space, supported by increasing demand for competitive benchmarking and web analytics. The company’s revenue growth and improving operating cash flow ($30.2M in FY 2023) suggest scaling efficiency, though profitability remains elusive (net loss of -$11.5M). Its diversified client base across industries mitigates sector-specific risks, while its SaaS model ensures recurring revenue. However, competition from established players like Google Analytics and emerging AI-driven analytics firms poses a challenge. The stock’s beta of 1.13 indicates moderate volatility relative to the market. Investors should weigh its growth potential against its current unprofitability and the capital-intensive nature of tech-driven analytics expansion.
Similarweb’s competitive advantage lies in its holistic digital intelligence platform, which aggregates web, app, and consumer journey data into actionable insights—a niche not fully addressed by generic analytics tools. Unlike Google Analytics (focused on owned-website metrics), Similarweb specializes in competitive benchmarking, offering granular visibility into rivals’ traffic sources, marketing strategies, and audience behavior. Its proprietary data collection methods and AI-driven predictive analytics differentiate it from legacy players. However, the company faces stiff competition from enterprise-grade platforms like Adobe Analytics and SEMrush, which offer overlapping functionalities. Similarweb’s vertical-specific solutions (e.g., shopper intelligence for e-commerce) provide targeted value, but its relatively smaller scale compared to giants like SimilarWeb could limit R&D investment pace. Its freemium model and API integrations enhance adoption, but retention depends on delivering ROI in an increasingly crowded martech landscape. The company’s Israeli R&D hub offers cost-efficient innovation, but global expansion requires sustained sales investments.