Glossary
With over 200 terms in both English and French, our M&A Dictionary is designed to help you better understand the key words and concepts related to the sale oe purchase of a business in Canada.
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Comparable Company Analysis
« Back to Glossary IndexCategory: Business Valuation
Comparable Company Analysis (CCA), also known as “Comps”, “Comparable Companies” or “Trading Multiples,” is a valuation method used in finance and investment to determine the value of a company by comparing it to other similar publicly traded companies. The basic idea is that companies operating in the same industry with similar characteristics should have similar valuations. Information that is typically collected and compared in this approach may include share price, market capitalization, net debt, enterprise value, revenue, EBITDA, earnings per share (EPS), analyst estimates and more.
« Back to Glossary IndexSynonyms:
Comps, Comparable Companies, Trading Multiples
Acronym:
CCA
French Translation: