Catalyst Health - Comparative Multiple Analysis

Catalyst Health (Comparative Multiple Analysis)

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Notes on the Comparative Multiple Analysis of Catalyst Health

WikiWealth compares Catalyst Health's revenue, EBITDA, and EBIT multiples to their peers in order to determine the appropriate fair valuation. Click in the top right corner to experiment with Catalyst Health's comparative analysis.

Notes from the analysis:

1. WikiWealth uses quantitative measures to determine the multiple range for Catalyst Health.
2. Free cash flow to the firm (FCF) multiple is free cash flow to equity holders plus interest owed to Catalyst Health's debt holders.
3. Multiples incorporate benefits due to economies of scale; WikiWealth compares absolute enterprise value multiples to competitor's multiples.
4. WikiWealth excludes outliers when calculating individual company multiples.

Helpful Information for Catalyst Health's Analysis


How does this work? The Comparative Investment Analysis determines the value of Catalyst Health by comparing Catalyst Health financial ratios, prices, growth rates, margins, etc. to those of relevant peer groups.

Value Investing Importance? This method is widely used by investment professionals to determine the correct price of investments, especially initial public offerings (IPOs). It is one element of WikiWealth's three Wall Street approaches used to determine the correct fair value of Catalyst Health.

See the Catalyst Health cash flow (DCF) analysis for a completely different approach that's popular on Wall Street for determining the value of an investment in Catalyst Health.

Also, see the Catalyst Health's buffett intrinsic valuation analysis for WikiWealth's attempt to replicate the investing formula's used by Warren Buffett and Catalyst Health's valuation conclusion for a quick summary.