Group 1 - The company Similarweb (SMWB) reported a decent set of results, but there is a rising intensity in R&D due to significant changes in the environment since the last coverage [2] - The company continues to offer its core SEO-oriented data suite, indicating a focus on maintaining its primary product offerings [2] Group 2 - The Value Lab is an investment group that focuses on long-only value ideas, aiming for a portfolio yield of about 4% and has performed well over the last five years [1] - The Valkyrie Trading Society is another team of analysts that shares high conviction and obscure developed market ideas, targeting downside-limited investments likely to generate non-correlated and outsized returns [2]

Upgrades - TD Cowen upgraded Medpace (MEDP) to Hold from Sell with a price target of $419, down from $462, indicating that shares now reflect fair value [2] - Citizens upgraded Rush Street Interactive (RSI) to Outperform from Market Perform with a price target of $24, highlighting the company's durable business model in the online gaming space [2] - Baird upgraded Itron (ITRI) to Outperform from Neutral with a price target of $128, up from $118, following a positive Q4 report [3] - Rosenblatt upgraded Cadence Design (CDNS) to Buy from Neutral with a price target of $360, up from $335, citing solid Q4 results [3] - Mizuho upgraded Palantir (PLTR) to Outperform from Neutral with an unchanged price target of $195, noting significant revenue growth and margin expansion [3] Downgrades - Citizens downgraded Workday (WDAY) to Market Perform from Outperform without a price target, due to the return of founder Aneel Bhusri as CEO and the need for time and investments for AI innovation [4] - Williams Trading downgraded Crocs (CROX) to Sell from Hold with a price target of $84, up from $75, citing eroding demand in the U.S. [4] - Citizens downgraded Similarweb (SMWB) to Market Perform from Outperform without a price target, following a significant revenue miss in Q4 and disappointing guidance [4] - Truist downgraded Genuine Parts (GPC) to Hold from Buy with a price target of $127, down from $162, noting ongoing disappointments in the auto business despite positive business separation [4] - BTIG downgraded Masimo (MASI) to Neutral from Buy after Danaher (DHR) announced an acquisition agreement for $180/share in cash [4]

Financial Data and Key Metrics Changes - Revenue for Q4 2025 grew 11% year-over-year to $72.8 million, which was below guidance due to delays in closing two large LLM data training contracts [5][26] - Non-GAAP operating profit for Q4 was $3.4 million, reflecting a 5% margin, compared to $2.6 million and a 4% margin in Q4 2024 [27] - Free cash flow for the year was approximately $13 million, marking the ninth consecutive quarter of positive free cash flow [7] Business Line Data and Key Metrics Changes - AI-related revenue reached 11% of total sales in Q4, up from 8% at the end of Q2 2025, driven by innovative AI solutions [8][9] - 60% of Annual Recurring Revenue (ARR) is now multi-year contracts, up from 49% a year ago, indicating stronger customer relationships [10] - Customers generating over $100,000 annually now represent 63% of ARR, reinforcing the company's position in mission-critical enterprise use cases [10] Market Data and Key Metrics Changes - The company is experiencing strong demand for its AI offerings, with AI revenue growing 3x year-over-year [9] - The market for AI solutions is dynamic, with significant opportunities arising from the integration of AI into workflows [11] Company Strategy and Development Direction - The company is transitioning from a build phase to a scaling phase, focusing on embedding AI into workflows and leveraging trusted digital data as a strategic asset [11] - The strategy is built on three pillars: strengthening the data moat, deepening enterprise relationships, and scaling AI-first integrated solutions [12] - The company aims to capture long-term AI spending and expand its partnerships with leading LLM companies [23] Management's Comments on Operating Environment and Future Outlook - Management acknowledges challenges in 2025 but expresses optimism for 2026, focusing on disciplined execution and acceleration of growth [24][31] - The company is committed to improving net revenue retention (NRR), which stabilized at 98%, with a focus on expanding existing customer relationships [23][44] - Management is encouraged by the strong demand in the pipeline for larger AI deals, which are expected to drive future revenue growth [31][47] Other Important Information - The company ended the year with $72 million in cash and cash equivalents and no debt, providing financial flexibility [28] - The capital allocation priorities include investing in R&D and pursuing M&A opportunities that meet financial return criteria [29][30] Q&A Session Summary Question: Impact of large LLM contracts on NRR - Management clarified that there is no correlation between the core business and LLM contracts, as they serve different use cases [34] Question: Guidance philosophy regarding large deals - The CFO explained that the guidance range was widened due to uncertainty around the timing of large deals, which could significantly impact revenue [36] Question: Core business growth challenges - Management indicated that the core business is still growing, despite the impact of delayed large deals, and emphasized the importance of expanding existing customer relationships [42][44] Question: Breakdown of AI revenue components - AI revenue includes various offerings, such as Gen AI models and partnerships, not solely dependent on LLM data [62] Question: Sales cycle elongation reasons - Management attributed elongated sales cycles to rapid hiring and a shift towards outbound sales strategies, which were less effective than expected [80]

Financial Data and Key Metrics Changes - Revenue for Q4 2025 grew 11% year-over-year to $72.8 million, which was below guidance due to delays in closing two large LLM data training contracts [5][26] - Non-GAAP operating profit for the quarter was $3.4 million, reflecting a 5% margin compared to $2.6 million and a 4% margin in Q4 2024 [27] - The company generated approximately $13 million in free cash flow for the year, marking the ninth consecutive quarter of positive free cash flow [7][28] Business Line Data and Key Metrics Changes - AI-related revenue reached 11% of total sales in Q4, up from 8% at the end of Q2 2025, driven by innovative AI solutions [8][9] - 60% of Annual Recurring Revenue (ARR) is now multi-year contracts, up from 49% a year ago, indicating stronger customer relationships [10][15] - The number of customers generating over $100,000 annually increased to 63% of ARR, reinforcing the company's position in mission-critical enterprise use cases [10][15] Market Data and Key Metrics Changes - The company is seeing strong demand for its AI offerings, with AI revenue growing significantly and contributing to overall sales [8][9] - The market for digital data is evolving, with increased competition and a shift in customer budgets towards AI and digital intelligence solutions [84][86] Company Strategy and Development Direction - The company aims to transition from building to scaling its AI-driven solutions, focusing on strengthening its data moat and deepening enterprise relationships [11][12] - The strategy is built on three pillars: enhancing data quality, expanding enterprise relationships, and scaling AI-first integrated solutions [11][12] - The launch of AI Studio is seen as a significant step in democratizing access to data and insights, making it easier for users to interact with the company's offerings [21][72] Management's Comments on Operating Environment and Future Outlook - Management acknowledged challenges in 2025 but expressed optimism for 2026, focusing on disciplined execution and capturing long-term AI spending [23][30] - The company is committed to generating profitable growth and maintaining a strong balance sheet to weather market volatility [28][30] - Management highlighted the importance of converting one-time AI evaluation deals into recurring revenues and improving net revenue retention (NRR) [23][44] Other Important Information - The company ended the year with $72 million in cash and cash equivalents and no debt, along with a $75 million line of credit [28] - The company plans to invest around 20% of revenues in R&D to enhance its digital data capabilities [29] Q&A Session Summary Question: Impact of large LLM contracts on NRR - Management clarified that there is no correlation between the core business and LLM contracts, indicating that both operate in different use cases [34] Question: Guidance philosophy regarding large deals - The CFO mentioned a cautious approach to guidance due to the uncertainty of timing for large deals, which could significantly impact revenue [36][37] Question: Challenges in core business growth - Management stated that the core business is still growing, despite the impact of delayed large deals, and emphasized the need to improve expansion efforts to enhance NRR [42][44] Question: Breakdown of AI revenue components - AI revenue includes various offerings such as Gen AI models and partnerships, with one or two smaller LLM deals closing in the quarter [62] Question: Sales cycle elongation reasons - Management attributed elongated sales cycles to rapid hiring and a shift towards outbound sales strategies, which were less effective than expected [80]

Financial Data and Key Metrics Changes - Revenue for Q4 2025 grew 11% year-over-year to $72.8 million, which was below guidance due to delays in closing two large LLM data training contracts [4][25] - Non-GAAP operating profit for the quarter was $3.4 million, reflecting a 5% margin compared to $2.6 million and a 4% margin in Q4 2024 [26] - The company generated approximately $13 million in free cash flow for the year, marking the ninth consecutive quarter of positive free cash flow [5][25] Business Line Data and Key Metrics Changes - AI-related revenue reached 11% of total sales in Q4, up from 8% at the end of Q2 2025, driven by innovative AI solutions [6][21] - Net revenue retention for all clients was 98%, while it was 103% for clients generating over $100,000 annually [5][22] - 60% of annual recurring revenue (ARR) is now multi-year contracts, up from 49% a year ago, indicating stronger customer relationships [8][14] Market Data and Key Metrics Changes - The company is seeing strong demand for its AI offerings, with AI revenue growing 3x year-over-year [21][90] - The market for AI solutions is competitive, with significant attention and budget allocation from customers towards AI and digital intelligence solutions [81][84] Company Strategy and Development Direction - The company aims to strengthen its data moat, deepen enterprise relationships, and scale AI-first integrated solutions [10][12] - 2026 is positioned as a transformation year, focusing on scaling operations and embedding AI into workflows [10][21] - The company is committed to operational excellence to drive durable, profitable, and cash-generative growth [13][22] Management's Comments on Operating Environment and Future Outlook - Management acknowledged challenges in 2025 but expressed optimism for 2026, focusing on disciplined execution and capturing long-term AI spending [22][30] - The company is refining its go-to-market strategy and enhancing talent to improve net revenue retention and overall growth [22][66] - Management believes that AI will serve as a significant monetization tailwind going forward [8][21] Other Important Information - The company ended the year with $72 million in cash and cash equivalents and no debt, providing financial flexibility [27] - The partnership with Manus is expected to unlock new distribution channels and broaden the user base [16][72] Q&A Session Summary Question: Impact of large LLM contracts on NRR - Management clarified that there is no correlation between the core business and LLM contracts, as they serve different use cases [32][33] Question: Guidance philosophy regarding large deals - The CFO mentioned a cautious approach to guidance due to the uncertainty of closing large deals, which could significantly impact revenue [34][35] Question: Core business growth challenges - Management stated that the core business is still growing, despite the impact of delayed large deals, and emphasized the importance of focusing on expansion [41][42] Question: Breakdown of AI revenue components - AI revenue includes various offerings, such as Gen AI models and partnerships, not solely dependent on LLM data [61][62] Question: Sales cycle elongation reasons - Management indicated that the rapid addition of sales personnel disrupted the sales cycle, leading to elongated timelines for closing deals [78][79]

INVESTOR PRESENTATION Q4 2025 INVESTOR PRESENTATION INVESTOR PRESENTATION Q4 2025 Q4 2025 1 NOTES REGARDING THIS PRESENTATION This presentation contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, or the Securities Act, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements include statements relating to the expected performance of our business, future financial results, strategy, long-term growth and overa ...

At 7:00 a.m. ET on Wednesday, premarket trading is seeing notable activity in several stocks, with early price movements signaling potential opportunities before the opening bell.For active traders, premarket trading offers a head start in spotting potential breakouts, reversals, or sharp price swings. These early moves often indicate where momentum may carry into the regular session, making premarket analysis a key part of the trading day.In the Green - Premarket GainersThe following stocks are trading hi ...

分组1 - Similarweb reported quarterly earnings of $0.03 per share, exceeding the Zacks Consensus Estimate of $0.01 per share, compared to a loss of $0.03 per share a year ago, representing an earnings surprise of +347.76% [1] - The company posted revenues of $72.76 million for the quarter ended December 2025, which missed the Zacks Consensus Estimate by 3.89%, but increased from $65.59 million year-over-year [2] - Similarweb shares have declined approximately 46.9% since the beginning of the year, contrasting with the S&P 500's slight decline of 0.1% [3] 分组2 - The current consensus EPS estimate for the upcoming quarter is $0.04 on revenues of $77.27 million, and for the current fiscal year, it is $0.15 on revenues of $320.03 million [7] - The Zacks Industry Rank indicates that the Internet - Content sector is currently in the top 20% of over 250 Zacks industries, suggesting that companies in the top 50% outperform those in the bottom 50% by more than 2 to 1 [8]

Core Viewpoint - Similarweb Ltd. announced its financial results for the fourth quarter and full year ended December 31, 2025, highlighting its role as a leading digital data and analytics company that supports critical business decisions [1] Financial Results - The company published a letter to shareholders discussing the financial results, which can be accessed through its investor relations page [1]

TEL AVIV, ISRAEL -- February 17, 2026 -- Similarweb Ltd. (NYSE: SMWB) ("Similarweb" or the "Company"), a leading digital data and analytics company powering critical business decisions, today announced financial results for its fourth quarter and full year ended December 31, 2025. The Company published a letter to shareholders from management discussing these results, which can be accessed at the link: https://ir.similarweb.com/financials/quarterly-results, located on the Company's investor relations websit ...