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Adobe’s Semrush Acquisition: AI Growth Push Raises Valuation Questions

Adobe’s Semrush Acquisition: AI Growth Push Raises Valuation Questions

Bitget-RWA2025/11/19 13:38
By:Bitget-RWA

- Adobe nears $1.9B Semrush acquisition, doubling its share price in pre-market trading amid valuation debates. - The deal aims to expand Adobe's AI-driven marketing tools, addressing AI's impact on its creative software business. - Analysts highlight Adobe's 24.9% 2025 stock decline but argue it's undervalued based on DCF analysis and PE ratio comparisons. - Semrush's AI SEO tools and Adobe's recent revenue forecast raise hopes for integration success despite past Figma acquisition challenges.

Adobe (ADBE) shares are drawing attention as the company approaches a $1.9 billion purchase of

, a platform specializing in marketing analytics, . Under the proposed agreement, would acquire Semrush for $12 per share— of $6.76—which has driven Semrush’s stock up more than 67% in pre-market activity. Should the deal go through, it would be Adobe’s first significant acquisition since it dropped its $20 billion bid for Figma in 2023.

This development comes as Adobe’s stock has fallen 24.9% so far in 2025, sparking debate about its current valuation. Analysts at Simply Wall St believe the stock is "substantially undervalued" based on their discounted cash flow (DCF) calculations, which put Adobe’s fair value at $580.34 per share—

. Additionally, the company’s price-to-earnings (PE) ratio stands at 19.9x, well below the 38.2x "fair ratio" estimated by the same analysts, who factor in Adobe’s growth outlook and industry status .

Acquiring Semrush fits with Adobe’s broader push to strengthen its suite of cloud-based marketing solutions.

Adobe’s Semrush Acquisition: AI Growth Push Raises Valuation Questions image 0
Semrush’s technology, which and run AI-powered marketing campaigns, would enhance Adobe’s current analytics products. The acquisition may also help ease investor concerns about the influence of AI on Adobe’s main creative software business, as a potential driver of future growth.

Yet, Adobe’s shares have faced headwinds amid widespread volatility in the tech sector. Even after

in September 2025, doubts remain about Adobe’s ability to smoothly integrate Semrush. The failed Figma deal, in both Europe and the UK, highlights the difficulties of executing major acquisitions in a fiercely competitive environment.

For Semrush, the acquisition would offer a highly profitable exit for its investors,

. Since going public in 2021, Semrush has been advancing AI-powered products such as its latest "AI SEO" toolkit, the growing influence of generative AI technologies.

Following the news, Adobe’s shares in pre-market trading edged up by 0.16%

, while Semrush’s stock approached its highest level in nine months . Investors are watching closely to see if the transaction is completed as planned and how it might alter Adobe’s standing in the rapidly evolving AI-driven marketing sector.

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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