The Owls stalwart has extended his contract until 2017.
The Portuguese midfielder is one of the Owls' longest serving players, having arrived at Hillsborough almost five years ago to the day.
He wasted little time securing a place in Wednesdayites' hearts, going on to be crowned player of the year in his first season in South Yorkshire, which culminated in the club's promotion back to the Championship.
Sheffield Wednesday fans wear Jose Semedo masks at Nottingham Forest
Gradual improvement followed for Wednesday, who are now managed by Semedo's compatriot Carlos Carvalhal, and while his on field impact has understandably waned during their ascent to the upper echelons of tier two, his behind the scenes influence has not.
Despite likely interest elsewhere, the 31-year-old's future was barely in doubt as soon as Wednesday's offer materialised.
Semedo tussles with then Sheffield United midfielder Nick Montgomery
"Special times. Can't wait for the challenge ahead," Semedo tweeted after his Hillsborough stay was confirmed.
The feeling is, by and large, mutual, with many supporters taking to Twitter to celebrate their hero's return.
There was, however, some skepticism, with Semedo starting a mere seven Championship matches last season...
Also delighted that Jose Semedo is staying for another year. Has a huge role to play at this club. #swfc— Tom Taylor-Batty (@TomTB1995) 4 July 2016
Glad Semedo is staying. Surely more of a coaching role & to help bring on the youngens. Especially Joao, Matias etc #swfc— Suzanne Stones (@Suze26) 4 July 2016
The motivation semedo provides to rest of squad and passion he drills into them earnt him a contract #swfc— Jord (@jordswfc) 4 July 2016
@swfc love the guy but it was time for him to move on, strange decision that— Mike Lundstram (@Mikelunds) 4 July 2016
Dont think we should have offered semedo another year, unless hes working towards some sort of coaching badge to join backroom staff #SWFC— Sam Roberts (0v0) (@saint_sam90) 4 July 2016
So we've given Semedo a new one year deal, why? He's not gunna get us anywhere near the prem #swfc— Matt Troughton (@Troughton_) 4 July 2016
Suspect Semedo staying on for another season is hugely popular with the players... Let's face it, he's not going to play. #swfc— John Hiley (@JohnHiley) 4 July 2016