Multiple EV techniques for one group

Hi all

I'm looking at a group that has distribution and manufacturing as separate companies.

I'm inclined to use 2 different ways of valuing each company.

Distribution company has stock and a high level of IP advances, looking to at a multiple of an average EBITDA for the past 3 years along with future EBITDA to take the unrecouped advances into account. For the Manufacturing business I would use DCF for the coming 5 years.

Should I be thinking of any other EV techniques?

Cheers

2 Comments
 

Bonzai88, sorry about the lack of response. Maybe one of these topics will help:

  • How Tax Rate affects Enterprise Value (EV) insight in advance. enterprise value EV dcf FCF Valuation ... using multiple, comps, or previous transactions? What are your thoughts in general? Thanks for your ... street: how tax rate affects EV valuation of companies. Some people argue it's positively correlated ...
  • P/E vs. EV/EBITDA- Advantages/Disadvantages? Multiple (EV /EBITDA) Enterprise Value / EBITDA is a metric that looks at the companies wholistic worth ... that means that an investor is willing to pay $70 for every $1 of earnings. Enterprise Value to EBITDA ... relative to a proxy for cash flow that is available to all investors. Enterprise Value is calcuated by ...
  • Why does a Low EV/EBITDA Multiple Make a Good Acquisition Target? to rival company with higher ev /ebitda? Thanks you What is EV /EBITDA? Enterprise Value / EBITDA is ... through the operations of the business. Why is a Low Enterprise Value to EBITDA Multiple Good? As is often ... multiple is used to determine value below. Preparing for investment banking interviews? The WSO investment ...
  • Why subtract cash when we calculate Enterprise Value Why do we subtract cash when calculating enterprise value? Shouldn't we be paying for the ... answer this question lets make sure understand what enterprise value is. What is enterprise value (EV ... capitalization. Additionally, enterprise value is also used in used in standard valuation multiples such
  • Which one would have lower Enterprise Value? Which would have a lower EV: a software start-up or an industrial firm? Please explain your ...
  • post money enterprise value why is the post money EV / EBITDA multiple preferred over the pre money mulitple enterprise value ...
  • Enterprise Value and Minority Interest EV /Revenue or EV / EBITDA the Enterprise value needs to account for the value of the main company ... Minority Interest in the Enterprise Value (EV) Formula First, let's review the Enterprise Calculation. ... The calculation for Enterprise Value is: Market Capitalizatio
  • More suggestions...

No promises, but thought I'd mention a few relevant users that work in the industry: bmleeson Dobbie henchman

You're welcome.

I'm an AI bot trained on the most helpful WSO content across 17+ years.
 

Aut distinctio repudiandae eum odio id animi. Officiis omnis autem velit neque id id. Voluptatem placeat culpa error atque ea.

Vel ut natus labore. Fugiat facere id ducimus odit.

Voluptas quis omnis sequi nesciunt et tenetur at. Quam animi magnam minus maxime.

In cum et rem autem. Fugiat autem quasi architecto sed sequi voluptas. Totam et nulla dicta veritatis. Sint eveniet similique et voluptatum incidunt. Voluptates autem sint possimus voluptas et voluptas. Quia aliquid voluptatem ut nesciunt.

Career Advancement Opportunities

June 2026 Investment Banking

  • Evercore 01 99.4%
  • Moelis & Company 01 98.9%
  • JPMorgan 01 98.3%
  • Guggenheim Partners 01 97.7%
  • Morgan Stanley 07 97.1%

Overall Employee Satisfaction

June 2026 Investment Banking

  • Moelis & Company No 99.4%
  • Morgan Stanley 02 98.8%
  • Evercore 01 98.3%
  • BMO Capital Markets 12 97.7%
  • Banco Santander 01 97.1%

Professional Growth Opportunities

June 2026 Investment Banking

  • Evercore 01 99.4%
  • Moelis & Company 01 98.9%
  • Morgan Stanley 05 98.3%
  • JPMorgan No 97.7%
  • Goldman Sachs 02 97.1%

Total Avg Compensation

June 2026 Investment Banking

  • Vice President (14) $434
  • Associates (44) $258
  • 3rd+ Year Analyst (8) $210
  • 2nd Year Analyst (22) $179
  • Intern/Summer Associate (13) $156
  • 1st Year Analyst (79) $150
  • Intern/Summer Analyst (73) $101
notes
16 IB Interviews Notes

“... there’s no excuse to not take advantage of the resources out there available to you. Best value for your $ are the...”

Leaderboard

1
redever's picture
redever
99.2
2
kanon's picture
kanon
99.0
3
Secyh62's picture
Secyh62
99.0
4
BankonBanking's picture
BankonBanking
99.0
5
dosk17's picture
dosk17
98.9
6
CompBanker's picture
CompBanker
98.9
7
GameTheory's picture
GameTheory
98.9
8
DrApeman's picture
DrApeman
98.9
9
Betsy Massar's picture
Betsy Massar
98.9
10
Linda Abraham's picture
Linda Abraham
98.8
success
From 10 rejections to 1 dream investment banking internship

“... I believe it was the single biggest reason why I ended up with an offer...”