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    A Fresh Look at Similarweb (SMWB) Valuation Following Q3 Earnings Beat and 2025 Growth Forecast

    Simply Wall St·11/16/2025 14:32:53
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    Similarweb (NYSE:SMWB) drew attention this week after unveiling third-quarter earnings. The company posted adjusted earnings that exceeded expectations, although revenue came in a bit under what analysts had anticipated.

    See our latest analysis for Similarweb.

    Even with revenue growth and new guidance forecasting double-digit gains next year, Similarweb’s 1-year total shareholder return is down 36.1%. Weak share price momentum in recent months reflects cautious sentiment after the latest results. The stock’s three-year total return remains notably positive, which hints at underlying growth potential despite current volatility.

    If this mix of earnings surprises and shifting sentiment has you watching the tech space, it could be a great moment to explore See the full list for free.

    With the stock now trading about 34% below its estimated intrinsic value and analysts projecting double-digit revenue growth, investors may wonder if Similarweb represents an overlooked bargain or if the market has already accounted for future upside.

    Most Popular Narrative: 42.4% Undervalued

    With the fair value from the most followed narrative at $12.75 and the stock closing at $7.35, bulls see plenty of room for upside. This positions Similarweb as one of the most attractively discounted names among digital analytics peers heading into 2025.

    Strong enterprise adoption of advanced AI-driven analytics and multiyear contracts is boosting recurring revenue, earnings visibility, and long-term profitability. Expansion into new analytics markets and continuous product innovation are increasing market opportunity and customer retention through differentiated, high-value offerings.

    Read the complete narrative.

    What high-stakes assumptions are behind that bold upside? The consensus narrative banks on market-defining growth, breakthrough AI-fueled profitability, and margin expansion that few rivals can match. Want to see which specific projections justify that valuation? Full story and crucial numbers inside.

    Result: Fair Value of $12.75 (UNDERVALUED)

    Have a read of the narrative in full and understand what's behind the forecasts.

    However, shifting privacy rules and the risk of relying on a handful of large AI contracts could quickly derail earnings momentum if market conditions change.

    Find out about the key risks to this Similarweb narrative.

    Build Your Own Similarweb Narrative

    If you want to dig deeper and draw your own conclusions from the numbers, try building a custom narrative around your insights in just a few minutes: Do it your way

    A good starting point is our analysis highlighting 3 key rewards investors are optimistic about regarding Similarweb.

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    This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.