Critical Survey: SEMrush (SEMR) versus Its Competitors

SEMrush (NYSE:SEMR) is one of 45 publicly-traded companies in the “Services – Computer Programming And Data Processing” industry, but how does it contrast to its peers? We will compare SEMrush to similar businesses based on the strength of its dividends, institutional ownership, profitability, analyst recommendations, earnings, risk and valuation.

Risk & Volatility

SEMrush has a beta of 1.55, indicating that its stock price is 55% more volatile than the S&P 500. Comparatively, SEMrush’s peers have a beta of 0.84, indicating that their average stock price is 16% less volatile than the S&P 500.

Institutional and Insider Ownership

32.9% of SEMrush shares are held by institutional investors. Comparatively, 55.0% of shares of all “Services – Computer Programming And Data Processing” companies are held by institutional investors. 55.6% of SEMrush shares are held by company insiders. Comparatively, 17.9% of shares of all “Services – Computer Programming And Data Processing” companies are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Profitability

This table compares SEMrush and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
SEMrush	-1.05%	-1.60%	-1.07%
SEMrush Competitors	-51.08%	-912.69%	-63.05%

Analyst Ratings

This is a summary of current ratings and target prices for SEMrush and its peers, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
SEMrush	1	5	0	0	1.83
SEMrush Competitors	93	195	216	11	2.28

As a group, “Services – Computer Programming And Data Processing” companies have a potential upside of 78.91%. Given SEMrush’s peers stronger consensus rating and higher possible upside, analysts clearly believe SEMrush has less favorable growth aspects than its peers.

Valuation & Earnings

This table compares SEMrush and its peers top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
SEMrush	$376.82 million	$8.24 million	-596.00
SEMrush Competitors	$244.51 million	-$57.43 million	-8.56

SEMrush has higher revenue and earnings than its peers. SEMrush is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Summary

SEMrush beats its peers on 7 of the 13 factors compared.

About SEMrush

Semrush Holdings, Inc. develops an online visibility management software-as-a-service platform worldwide. The company enables companies to identify and reach the right audience for their content through the right channels. Its platform enables the company’s customers to understand trends and act upon insights to enhance the online visibility, and drive traffic to their websites and social media pages, as well as online listings, distribute targeted content to their customers, and measure the digital marketing campaigns. The company was founded in 2008 and is headquartered in Boston, Massachusetts.