Outsell’s Next Generation Model Demonstrates Factors that Move the Needle on Company Valuations

BURLINGAME, Calif. - May 8, 2015 - PRLog -- Outsell, Inc (http://www.outsellinc.com/)., the world’s only research and advisory firm focused on media, information, and technology, today released Decoding Industry Valuations: Outsell’s Enhanced Valuation Model (mailto:http://www.outsellinc.com/store/products/1307). This pioneering modeling analysis demonstrates the strong power of a small set of financial and operating metrics that predict industry valuations. Outsell’s enhanced analysis of valuations indicates which levers to exploit to drive enterprise value and assists industry executives and leaders in evaluating investment, portfolio, and organizational decisions.

This model builds on Outsell’s 2012 analysis and introduces an enhanced, next-generation suite of customized valuation models developed for specific types of companies of different sizes, business types, profitability, and growth rates. The report provides structured statistical analysis of real-world use cases to produce a set of models that reveal and quantify the factors and patterns that correlate with valuation outcomes.

Major enhancements over the 2012 analysis include:

§  Expanded applicability to include financial information and solutions, marketing, and software companies;

§  A 5x increase in total number of valuations analyzed;

§  The addition of EBITDA and EBITDA margins as valuation drivers;

§  The introduction of interaction variables that capture combinations of Valuation Impact Factors.

“Anyone who has been in the trenches of a real-life acquisition – spanning due diligence, financial modeling, working with Boards of Directors and funders, preparing LOIs, or having been involved in bidding wars or all-nighter negotiations – knows that the final price of any individual acquisition results from many factors,” says Outsell’s Chuck Richard, VP & Lead Analyst for business-to-business trade publishing, data-driven workflow solutions, and events. “This study fills a gap in the market, as the most widely available data on valuations found in business media are only tables of average revenue multiples and EBITDA multiples by type of business. Those summaries are descriptive, while Outsell’s model is predictive.”

For media inquiries, please contact Derek Beckwith, Warner Communications, at derek@warnerpr.com, or call +1 978-922-0818.

For more information about this report, please contact Srini Gomatam at info@outsellinc.com, or call
+1 650-342-6060.

About Outsell, Inc.

Outsell, Inc. (http://www.outsellinc.com/)is the only research and advisory firm focused solely on media, information, and technology. We use a time-tested, quality-proven, top-secret blend of data, brains, community, and pizzazz to produce extraordinary value for our clients. Elite information industry executives from all over the world look to Outsell for trusted advice, bold insights, and confidential access to exclusive intelligence and decision support. Outsell has your back. You’ll stay more focused, save time, grow revenue in a fast-changing digital environment, and sleep better at night. Guaranteed.