Multiples

Hello, I asked chatgpt to give me the full list of multiples that are used in finance, and wanted to what ya'all think

Comprehensive list of financial multiples along with a brief explanation of their use and formula:

  1. Price-to-Earnings Ratio (P/E Ratio): Use: It compares a company's stock price to its earnings per share, providing insight into the market's valuation of the company's earnings. Formula: P/E Ratio = Market Price per Share / Earnings per Share
  2. Price-to-Sales Ratio (P/S Ratio): Use: It compares a company's stock price to its revenue per share, indicating how the market values the company's sales. Formula: P/S Ratio = Market Price per Share / Revenue per Share
  3. Price-to-Book Ratio (P/B Ratio): Use: It compares a company's stock price to its book value per share, providing information on how the market values the company's assets. Formula: P/B Ratio = Market Price per Share / Book Value per Share
  4. Dividend Yield: Use: It measures the annual dividend payout as a percentage of the stock price, indicating the return generated by dividends. Formula: Dividend Yield = (Annual Dividend per Share / Market Price per Share) * 100
  5. Return on Equity (ROE): Use: It measures a company's profitability relative to shareholders' equity, indicating how efficiently the company utilizes equity to generate profits. Formula: ROE = (Net Income / Shareholders' Equity) * 100
  6. Debt-to-Equity Ratio: Use: It compares a company's total debt to its shareholders' equity, providing insights into the company's leverage and financial risk. Formula: Debt-to-Equity Ratio = Total Debt / Shareholders' Equity
  7. Earnings per Share (EPS): Use: It represents the portion of a company's profit allocated to each outstanding share of common stock, indicating profitability on a per-share basis. Formula: EPS = Net Income / Number of Outstanding Shares
  8. Price-to-Cash Flow Ratio (P/CF): Use: It compares a company's stock price to its cash flow per share, providing information on the market's valuation of the company's cash flow generation. Formula: P/CF Ratio = Market Price per Share / Cash Flow per Share
  9. Enterprise Value-to-EBITDA (EV/EBITDA): Use: It compares a company's enterprise value to its earnings before interest, taxes, depreciation, and amortization (EBITDA), helping assess its value relative to its earnings and debt. Formula: EV/EBITDA = Enterprise Value / EBITDA
  10. Price-to-Free Cash Flow (P/FCF): Use: It compares a company's stock price to its free cash flow per share, providing insight into the market's valuation of the company's cash flow generation. Formula: P/FCF Ratio = Market Price per Share / Free Cash Flow per Share
  11. Price/Earnings to Growth Ratio (PEG Ratio): Use: It considers the P/E ratio in relation to the company's expected earnings growth rate, helping evaluate the stock's value relative to its growth prospects. Formula: PEG Ratio = P/E Ratio / Earnings Growth Rate
1 Comments
 

Consectetur at autem dolores necessitatibus. Fugiat eligendi enim libero dicta tenetur ipsa.

Tempora omnis dolore eius nostrum. Eum error in molestias impedit veritatis. Commodi omnis doloremque voluptatem non voluptas adipisci quos. Dolorum ipsum suscipit ad saepe.

Dolores quo officia beatae beatae molestias quo adipisci reprehenderit. Quo est quasi fuga consequatur qui. Et perspiciatis rerum omnis. Ipsa placeat iste incidunt nihil consectetur dignissimos unde.

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

Career Advancement Opportunities

June 2026 Private Equity

  • The Riverside Company 99.6%
  • Blackstone Group 99.3%
  • KKR (Kohlberg Kravis Roberts) 98.9%
  • Warburg Pincus 98.5%
  • Vista Equity Partners 98.1%

Overall Employee Satisfaction

June 2026 Private Equity

  • Blackstone Group 99.6%
  • KKR (Kohlberg Kravis Roberts) 99.2%
  • The Riverside Company 98.9%
  • Ardian 98.5%
  • Starwood Capital Group 98.1%

Professional Growth Opportunities

June 2026 Private Equity

  • Bain Capital 99.6%
  • The Riverside Company 99.3%
  • Blackstone Group 98.9%
  • Starwood Capital Group 98.5%
  • Vista Equity Partners 98.1%

Total Avg Compensation

June 2026 Private Equity

  • Principal (9) $653
  • Director/MD (24) $547
  • Vice President (98) $365
  • 3rd+ Year Associate (104) $281
  • 2nd Year Associate (235) $272
  • 1st Year Associate (411) $229
  • 3rd+ Year Analyst (33) $157
  • 2nd Year Analyst (97) $134
  • 1st Year Analyst (272) $124
  • Intern/Summer Associate (38) $81
  • Intern/Summer Analyst (355) $62
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
BankonBanking's picture
BankonBanking
99.0
4
Secyh62's picture
Secyh62
99.0
5
Betsy Massar's picture
Betsy Massar
98.9
6
dosk17's picture
dosk17
98.9
7
DrApeman's picture
DrApeman
98.9
8
GameTheory's picture
GameTheory
98.9
9
CompBanker's picture
CompBanker
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...”