GURUFOCUS.COM » STOCK LIST » Technology » Software » SEMrush Holdings Inc (NYSE:SEMR) » Definitions » ROE %

SEMrush Holdings (SEMrush Holdings) ROE % : 3.84% (As of Mar. 2024)


View and export this data going back to 2021. Start your Free Trial

What is SEMrush Holdings ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. SEMrush Holdings's annualized net income for the quarter that ended in Mar. 2024 was $8.6 Mil. SEMrush Holdings's average Total Stockholders Equity over the quarter that ended in Mar. 2024 was $222.6 Mil. Therefore, SEMrush Holdings's annualized ROE % for the quarter that ended in Mar. 2024 was 3.84%.

The historical rank and industry rank for SEMrush Holdings's ROE % or its related term are showing as below:

SEMR' s ROE % Range Over the Past 10 Years
Min: -15.91   Med: -3   Max: 6.23
Current: 6.23

During the past 5 years, SEMrush Holdings's highest ROE % was 6.23%. The lowest was -15.91%. And the median was -3.00%.

SEMR's ROE % is ranked better than
56.51% of 2642 companies
in the Software industry
Industry Median: 3.36 vs SEMR: 6.23

SEMrush Holdings ROE % Historical Data

The historical data trend for SEMrush Holdings's ROE % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

SEMrush Holdings ROE % Chart

SEMrush Holdings Annual Data
Trend Dec19 Dec20 Dec21 Dec22 Dec23
ROE %
- - -3.00 -15.91 0.45

SEMrush Holdings Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
ROE % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -20.05 -0.57 8.42 12.97 3.84

Competitive Comparison of SEMrush Holdings's ROE %

For the Software - Application subindustry, SEMrush Holdings's ROE %, along with its competitors' market caps and ROE % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


SEMrush Holdings's ROE % Distribution in the Software Industry

For the Software industry and Technology sector, SEMrush Holdings's ROE % distribution charts can be found below:

* The bar in red indicates where SEMrush Holdings's ROE % falls into.



SEMrush Holdings ROE % Calculation

SEMrush Holdings's annualized ROE % for the fiscal year that ended in Dec. 2023 is calculated as

ROE %=Net Income (A: Dec. 2023 )/( (Total Stockholders Equity (A: Dec. 2022 )+Total Stockholders Equity (A: Dec. 2023 ))/ count )
=0.95/( (199.904+219.149)/ 2 )
=0.95/209.5265
=0.45 %

SEMrush Holdings's annualized ROE % for the quarter that ended in Mar. 2024 is calculated as

ROE %=Net Income (Q: Mar. 2024 )/( (Total Stockholders Equity (Q: Dec. 2023 )+Total Stockholders Equity (Q: Mar. 2024 ))/ count )
=8.552/( (219.149+226.017)/ 2 )
=8.552/222.583
=3.84 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In the calculation of annual ROE %, the net income of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data, the net income data used here is four times the quarterly (Mar. 2024) net income data. ROE % is displayed in the 30-year financial page.


SEMrush Holdings  (NYSE:SEMR) ROE % Explanation

ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.

The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:

ROE %(Q: Mar. 2024 )
=Net Income/Total Stockholders Equity
=8.552/222.583
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(8.552 / 343.248)*(343.248 / 336.61)*(336.61 / 222.583)
=Net Margin %*Asset Turnover*Equity Multiplier
=2.49 %*1.0197*1.5123
=ROA %*Equity Multiplier
=2.54 %*1.5123
=3.84 %

With this breakdown, it is clear that if a company grows its Net Profit Margin, its Asset Turnover, or its Leverage, it can grow its ROE %.

The factors that affect a company's ROE % can also be illustrated with the five-step DuPont Analysis:

ROE %(Q: Mar. 2024 )
=Net Income/Total Stockholders Equity
=8.552/222.583
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (8.552 / 20.428) * (20.428 / 5.872) * (5.872 / 343.248) * (343.248 / 336.61) * (336.61 / 222.583)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.4186 * 3.4789 * 1.71 % * 1.0197 * 1.5123
=3.84 %

Note: The net income data used here is four times the quarterly (Mar. 2024) net income data. The Revenue data used here is four times the quarterly (Mar. 2024) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Be Aware

Net Income is used.

Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.


SEMrush Holdings ROE % Related Terms

Thank you for viewing the detailed overview of SEMrush Holdings's ROE % provided by GuruFocus.com. Please click on the following links to see related term pages.


SEMrush Holdings (SEMrush Holdings) Business Description

Traded in Other Exchanges
Address
800 Boylston Street, Suite 2475, Boston, MA, USA, 02199
SEMrush Holdings Inc is engaged in the provision of an online visibility management software-as-a-service platform. Its platform enables subscribers to improve their online visibility and drive traffic, including on their websites and social media pages, and distribute highly relevant content to their customers on a targeted basis across various channels to drive high-quality traffic and measure the effectiveness of their digital marketing campaigns. Geographically, it generates revenues from the US, the UK, and other regions.
Executives
Eugenie Levin officer: Chief Strategy and CDO C/O SEMRUSH HOLDINGS, INC, 800 BOYLSTON STREET, SUITE 2475, BOSTON MA 02199
Andrew Warden officer: Chief Marketing Officer C/O SEMRUSH HOLDINGS, INC., 800 BOYLSTON STREET, SUITE 2475, BOSTON MA 02199
Dmitry Melnikov director, 10 percent owner, officer: Chief Operating Officer C/O SEMRUSH HOLDINGS, INC., 800 BOYLSTON STREET, SUITE 2475, BOSTON MA 02199
Oleg Shchegolev director, 10 percent owner, officer: Chief Executive Officer C/O SEMRUSH HOLDINGS, INC., 800 BOYLSTON STREET, SUITE 2475, BOSTON MA 02199
Vitalii Obishchenko officer: Chief Product Officer C/O SEMRUSH HOLDINGS, INC., 800 BOYLSTON STREET, SUITE 2475, BOSTON MA 02199
Mark Vranesh director C/O ZYNGA INC., 699 EIGHTH STREET, SAN FRANCISCO CA 94103
David W Mason officer: General Counsel 210 BROADWAY, CAMBRIDGE MA 02139
William Raymond Wagner director C/O VOCUS, INC., 4296 FORBES BOULEVARD, LANHAM MD 20706
Steven Aldrich director C/O GODADDY INC., 14455 N. HAYDEN RD. #219, SCOTTSDALE AZ 85260
Anna Baird director C/O SEATGEEK, INC., 902 BROADWAY,10TH FLOOR, NEW YORK NY 10010
Brian Mulroy officer: Chief Financial Officer C/O SEMRUSH HOLDINGS, INC., 800 BOYLSTON STREET, SUITE 2475, BOSTON MA 02199
Evgeny Fetisov officer: Chief Financial Officer C/O SEMRUSH HOLDINGS, INC., 800 BOYLSTON STREET, SUITE 2475, BOSTON MA 02199
Semr Holdings Ltd. 10 percent owner 2-4 ARCH. MAKARIOS III AVENUE, 9TH FLOOR CAPITAL CENTER, NICOSIA PC G4 1065
Delbert M Humenik officer: Chief Revenue Officer 911 PANORAMA TRAIL SOUTH, ROCHESTER NY 14625
Greycroft Growth Ii, L.p. 10 percent owner 292 MADISON AVENUE, 20TH FLOOR, NEW YORK NY 10017