The Qualitative Assessment module within a valuation flow allows users to adjust valuation multiples by incorporating firm-specific, non-systemic risks. This module helps refine the valuation by suggesting risk-based adjustments that impact the Cost of Equity and Discounts to Trading Multiples.
Adjusting the Qualitative Assessment
Navigating to the Module
Within a valuation flow, go to the Qualitative Assessment module.
Modifying Risk Factors
Adjust the sliders or update the weights in response to the qualitative questions.
These adjustments help refine the valuation by factoring in company-specific risks
Applying Discounts and Premiums in the Peers Module
Navigating to the Peers Module
Once inside the valuation, go to the Peers module.
Finding the Discount / Premium Adjustment
The Discount/Premium to Median adjustment can be found as the last item in the Peers List table.
Here, users can manually modify the applied discount or premium to ensure a more tailored valuation.
Adjusting Discounts and Premiums in the Transactions Module
Navigating to the Transactions Module
Within the valuation flow, go to the Transactions module.
Applying Adjustments
Below the selection of comparable transactions, you can enter a discount or premium to adjust the valuation accordingly.
By making these adjustments across the Qualitative Assessment, Peers, and Transactions modules, users can fine-tune valuation results to ensure a more precise and company-specific assessment.