Similarweb Ltd. (SMWB) vs VTEX (VTEX)

Similarweb Ltd. and VTEX are both Software Application companies. Similarweb Ltd. and VTEX are of similar size ($659.6M and $605.4M). Similarweb Ltd. has negative trailing earnings, so its P/E is not meaningful; VTEX trades at 21.2×. Similarweb Ltd. grew revenue faster over the last twelve months: 10.2% against 9.63%. VTEX has the higher net margin (12.0% vs −7.37%) and the higher return on invested capital (44.9% vs 0.00%). Across the 19 metrics below, VTEX leads on 14 and Similarweb Ltd. on 5.

Valuation

Metric SMWB VTEX Software Application median
P/E n/m 21.24 24.79
P/S 2.25 2.39 2.67
P/B 29.26 2.70 3.01
Price to free cash flow 64.53 13.82 16.59
EV/EBITDA n/m 12.34 14.40
EV/Sales 2.07 1.68 2.62
Earnings yield (3.30%) 4.71% 0.00%
Free cash flow yield 1.55% 7.23% 1.91%

Profitability

Metric SMWB VTEX Software Application median
Gross margin 79.83% 79.26% 67.03%
Operating margin (3.74%) 12.23% 0.00%
Net margin (7.37%) 11.98% 0.00%
Free cash flow margin 3.49% 17.32% 4.32%
Return on equity (94.02%) 12.76% 0.00%
Return on assets (8.26%) 8.57% 0.00%
Return on invested capital 0.00% 44.94% 0.00%

Growth

Metric SMWB VTEX Software Application median
Revenue growth (TTM) 10.16% 9.63% 12.40%
EPS growth (last fiscal year) (178.57%) 33.82% —
Revenue growth, 5-year CAGR 24.76% 19.51% 13.72%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric SMWB VTEX Software Application median
Debt to equity 0.00 0.02 0.02
Current ratio 0.76 2.91 1.55
Net debt to EBITDA 5.41 (8.93) 0.06

Dividend

Metric SMWB VTEX Software Application median
Dividend yield — — 1.25%
Payout ratio 0.00 0.00 0.00

Size

Metric SMWB VTEX Software Application median
Market cap 659.63m 605.43m 396.11m

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