EES - Similarweb Is Cheaper Than It's Ever Been

• Similarweb continues to deliver growth and create long-term engagements for high revenue visibility.
• Gross margin hit until new acquisitions create some leverage, but these have served to create cross-selling opportunities and increase retention.
• Stock has traded down and continues to be at an unjustified discount to SEMRush.
• Risks are macroeconomic in that spending may decline on these sorts of products, but we believe Similarweb is essential enough to weather these issues.
• Moreover, dilution risks are pretty minimal given the cash guidance, and the company has an inherent cash generative subscription-based business model that we like.

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