Multiples valuation: Difference between revisions

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The most widely used financial measure for this purpose for a mature business is accounting earnings.
The most widely used financial measure for this purpose for a mature business is accounting earnings.
For other types of businesses, relevant measures might include - for example - turnover, or numbers of subscribers.
For other types of businesses, relevant measures might include - for example - turnover, or numbers of subscribers.


== See also ==
== See also ==
* [[Earnings]]
* [[Earnings]]
* [[Price to earnings ratio]]
* [[Price to earnings ratio]]

Revision as of 08:18, 22 August 2013

A method of business valuation which is based on a relevant measure and the ratio of value to that measure for a comparable business (or a comparable group of businesses).

The most widely used financial measure for this purpose for a mature business is accounting earnings.

For other types of businesses, relevant measures might include - for example - turnover, or numbers of subscribers.


See also