The Anatomy of a Multiple

Why relative valuation?

"If you think Iím crazy, you should see the guy who lives across the hall"

Jerry Seinfeld talking about Kramer in a Seinfeld episode

"A little inaccuracy sometimes saves tons of explanation"

H.H. Munro

What is relative valuation?

Standardizing Value

The Four Steps to Understanding Multiples

Definitional Tests

Descriptive Tests

Analytical Tests

Application Tests