Hi all,
Been asked a similar question from several interviews and I don't think I've ever hit the nail on the head for this technical question.
If two companies have similar financials and business models, why would they have different valuation multiples? Would appreciate any insight on this! Thanks.
| +166 | The "Not So Obvious" things that get you a return offer? | 20 | 47m | |
| +103 | Is my life over after not getting GS? | 25 | 26m | |
| +65 | Best IB group on the Street | 27 | 3h | |
| +56 | BIG FOUR ARE PARADISE | 15 | 3h | |
| +46 | Thoughts and tips on how to speak like an investment banker. | 25 | 2h | |
| +45 | Tell me one good reason why Jefferies isn’t going to be a top bank in the next 5 years | 22 | 6h | |
| +36 | UBS Outlook | 28 | 1d | |
| +35 | Georgetown Placement for 2024 and 2025 | 21 | 6d | |
| +34 | How to deal with egotistical team? | 6 | 3d | |
| +33 | Highest Paid Bankers in Toronto? | 51 | 2h |
Career Resources
Get instant access to lessons taught by experienced private equity pros and bulge bracket investment bankers including financial statement modeling, DCF, M&A, LBO, Comps and Excel Modeling.
market share might be a good point to bring up. had a similar question in two interviews and this is the answer i gave but i'm sure it's not the only correct answer
Reputation in their respective sectors, leadership in management, and key catalysts coming up are ones I can think of
I said it was based on investor expectations going forward - relatively speaking one may have just had an earnings miss, or maybe investors just generally expect positively for one's products to be better in the future. Some interviewers were cool with this, others were iffy about it. But I appreciate the answers so far. Wonder if there's more?
Quia occaecati voluptas numquam sunt necessitatibus. Nostrum sequi sit qui tempora magni numquam. Fuga qui eum adipisci sunt. Accusantium tenetur at et architecto. Excepturi rerum ducimus sit sit.
Harum suscipit quasi est a quibusdam quos. Ad sequi a dolor ut dolores minima. Quo deserunt numquam ipsum odio voluptatem in. Accusantium velit eos voluptas. Rem consequatur aut tempore laudantium a necessitatibus est quae.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...