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Last Twelve Months (LTM) Calculations

How Are Transaction Multiples Calculated in Valutico?

Valutico calculates transaction multiples using financial data that reflects a company’s most recent performance. This approach ensures that valuations are grounded in reality and reflect up-to-date financial health.
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What Time Frame Do Transaction Multiples Reflect?

For transactions, Valutico uses multiples based on the Last Twelve Months (LTM) of financial performance prior to the transaction date. This provides a more accurate snapshot of a company’s financials at the time of the deal, as opposed to relying on outdated or forecasted data.
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LTM vs Fiscal Year Data

Valutico applies Fiscal Year data when calculating multiples for public peer comparisons, both for reported financials and analyst estimates. This provides a standardized baseline for benchmarking purposes.
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However, when calculating transaction multiples, we rely on LTM data to better reflect recent performance and market conditions around the deal.

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