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 

 

Ad nesciunt quas ut et. Vitae est nemo adipisci sit omnis et dolorem. Dolor cum velit veniam facilis nam. Voluptates earum exercitationem illo atque corrupti quia. Est quia atque dolor fugit incidunt id nihil. A eveniet ut qui quia autem.

Quaerat sint numquam itaque quidem molestias dolore aut. Nesciunt aliquam voluptatem adipisci aliquid quibusdam et in. Est culpa veritatis est nihil aliquam quis hic distinctio. Quos ipsam in fugiat ut exercitationem. Et eos commodi corrupti est. Tempora tempore laborum qui rerum.

Est sit ut quos ea blanditiis. Amet ab ex aut officia et iure voluptas.

Career Advancement Opportunities

August 2026 Investment Banking

  • Evercore 01 99.4%
  • Moelis & Company 01 98.9%
  • JPMorgan 01 98.3%
  • Morgan Stanley 08 97.8%
  • Goldman Sachs 02 97.2%

Overall Employee Satisfaction

August 2026 Investment Banking

  • Moelis & Company No 99.4%
  • Evercore No 98.9%
  • Morgan Stanley 01 98.3%
  • Banco Santander 02 97.8%
  • BMO Capital Markets 12 97.2%

Professional Growth Opportunities

August 2026 Investment Banking

  • Evercore 01 99.4%
  • Moelis & Company 01 98.9%
  • Morgan Stanley 06 98.3%
  • Goldman Sachs 01 97.8%
  • JPMorgan 01 97.2%

Total Avg Compensation

August 2026 Investment Banking

  • Vice President (16) $429
  • Associates (48) $259
  • 3rd+ Year Analyst (8) $210
  • 2nd Year Analyst (25) $178
  • Intern/Summer Associate (14) $159
  • 1st Year Analyst (83) $151
  • Intern/Summer Analyst (75) $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
GameTheory's picture
GameTheory
98.9
6
Betsy Massar's picture
Betsy Massar
98.9
7
CompBanker's picture
CompBanker
98.9
8
DrApeman's picture
DrApeman
98.9
9
dosk17's picture
dosk17
98.9
10
bolo up's picture
bolo up
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...”