Precedent Transactions < Trading Comps?

Hi Monkeys.

Had a question about valuation. I understand that precedent transactions typically produce higher valuations due to the control premium, but in what scenario would precedent transaction multiples be lower than trading multiples?

Thanks in advance!

2 Comments
 

If the companies that sold were the losers

if multiples re-rated upwards since the transaction 

 

Minima quaerat nemo accusamus sed laboriosam et ipsum optio. Cum dolorum dolorum nostrum consequuntur nam. Quis dicta nisi doloremque et.

Aut magni est iusto optio. Et beatae nam sunt qui quaerat. Occaecati ducimus sit assumenda repellat voluptatum laborum. Et quisquam ea velit quae. Sed earum voluptatum tempore aliquid porro ut. Enim veritatis aut nostrum ut.

Quia ullam suscipit voluptas unde. Hic culpa cum exercitationem odit. Nihil consectetur dignissimos velit sapiente.

Perferendis inventore et nihil quidem voluptatem cumque ullam. Recusandae omnis excepturi aspernatur pariatur. Adipisci molestias ut reiciendis voluptate.

Career Advancement Opportunities

September 2026 Investment Banking

  • Evercore 01 99.5%
  • Moelis & Company 01 98.9%
  • JPMorgan 01 98.4%
  • Guggenheim Partners 02 97.9%
  • Morgan Stanley 06 97.4%

Overall Employee Satisfaction

September 2026 Investment Banking

  • Moelis & Company No 99.5%
  • Morgan Stanley 02 98.9%
  • Evercore 01 98.4%
  • Banco Santander 02 97.9%
  • BMO Capital Markets 12 97.4%

Professional Growth Opportunities

September 2026 Investment Banking

  • Evercore 01 99.5%
  • Moelis & Company 01 98.9%
  • Morgan Stanley 05 98.4%
  • Goldman Sachs 01 97.9%
  • JPMorgan No 97.4%

Total Avg Compensation

September 2026 Investment Banking

  • Vice President (16) $429
  • Associates (56) $261
  • 3rd+ Year Analyst (8) $210
  • 2nd Year Analyst (28) $184
  • Intern/Summer Associate (16) $161
  • 1st Year Analyst (84) $151
  • Intern/Summer Analyst (76) $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
BankonBanking's picture
BankonBanking
99.0
3
Secyh62's picture
Secyh62
99.0
4
kanon's picture
kanon
99.0
5
Betsy Massar's picture
Betsy Massar
98.9
6
GameTheory's picture
GameTheory
98.9
7
DrApeman's picture
DrApeman
98.9
8
CompBanker's picture
CompBanker
98.9
9
dosk17's picture
dosk17
98.9
10
numi's picture
numi
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...”