Despite the vaccination rollout starting in the first quarter of 2021, EBITDA multiples ticked slightly lower, to 3.8x, according to BVR’s DealStats Value Index (DVI) report for 2Q 2021.

The path of the coronavirus outbreak negatively affected EBITDA multiples, which sharply declined in the second quarter of 2020, to 3.7x, when the initial economic shutdowns were implemented, rose to 4.3x in the summer period when the coronavirus numbers improved, and fell yet again by the fourth quarter of 2020, to 3.9x, as cases spiked in the winter (see graph below). Because there has been relatively little movement over the past three quarters, a trend or clear direction has yet to emerge regarding the direction of EBITDA multiples in the near future as the questions remain, new variants of the coronavirus continue to emerge, and a new administration starts to implement its economic policies. DealStats will continue to monitor the trends in the EBITDA multiple.