18th Edition of our International Valuation Newsletter, Q3 2022
The last couple of months have been dominated by global and regional events that are having multiple and enormous impacts on our society, markets and economy; on our clients; and on each of us at a personal level. We’re seeing increased demand from clients for our services as they seek to make decisions amid forceful and rapidly changing inﬂuences. The question of value and price remains at the heart of discussions, while the level of uncertainty is even higher than in the years 2020 or 2021.
Over the last few years, the focus of our Quarterly Brief has included COVID 19 (twice), ESG and renewable energy. All these topics are still highly relevant today, for sure. In addition, we now face the tragic war in Ukraine, other looming geopolitical tension, continuously disrupted global supply chains and inﬂation levels not seen for decades in developed countries. With winter soon upon us in the northern hemisphere, we face skyrocketing energy prices due to an expected shortage of gas and electricity, while underdeveloped countries are threatened by food scarcity. The list of dramatic global effects is long, very long.
One thing we learned over the last two to three years is that all the shockwaves we have experienced have affected industries and sectors differently. There is no one-size-ﬁts-all answer to the question of a market-adequate valuation – because there are no stable markets these days.
Acknowledging that any aggregated view misses the speciﬁcs and nuances ultimately so important in determining a robust value for an individual company, we attempt to summarize certain key inﬂuencing factors to consider in a business valuation. In the main part of this edition of our newsletter, we also take a closer look at some interesting trends in capital market data. With some overlap – but for the sake of consistency – we then provide a summary of recent key capital market data in our well-known format in the ﬁnal section of this Quarterly Brief.
We wish you all the best in these unpredictable times and look forward to discussing your questions regarding valuation trends and practices.
Renewable energy valuation in the global energy transition
17th Edition, 2022
Goodwill impairment in light of COVID-19
16th Edition, 2021
15th Edition, 2021
Building an ESG lens into business valuations
14th Edition, Q1 2021