Semrush price target raised to $21 from $19 at KeyBanc

KeyBanc analyst Jackson Ader raised the firm’s price target on Semrush to $21 from $19 and keeps an Overweight rating on the shares. The firm notes the company’s Analyst Day gives it incremental confidence in one of the key drivers of its Overweight thesis, namely the move into enterprise customers. Semrush is seeing enterprise customers spending an average of $40K-$60K on the platform and, at the moment, 291 customers are spending north of $50K with SEMrush. However, there are over 8,000 enterprise customers that are existing paying customers. So, that means there are at least 7,709 customers that, again, already pay Semrush money to use its software that could see their ARR per customer expanding from an average of $7,500 to $50K, and that leaves the sophisticated mid-market customers and 21K agencies that are also on the platform that could see their ARR reach that $50K level, KeyBanc argues.