In this session we will explore how to properly use and interpret market multiples when performing valuations. We will cover the sources of market multiples and what observed multiples tell you about how the market is assessing the cash flow, growth, and risk attributes of the corresponding businesses. The session will conclude by illustrating how to adjust and apply observed market multiples in your valuations.
Identify sources of market multiples.
Understand conceptual differences between different types of multiples.
Adjust observed market multiples for application to valuation subject.