After being down sharply in 2Q18, EBITDA multiples (median selling price/EBITDA) across all industries increased to 4.5x and 4.2x in the third and fourth quarters of 2018, respectively, according to the BVR’s DealStats Value Index (DVI). In addition, the trailing three-month average for multiples has increased in the third and fourth quarters after trending downward in the prior two quarters (see graph).

The DealStats Value Index (DVI) summarizes valuation multiples and profit margins for private companies that were sold over the past several quarters. The DVI is a quarterly newsletter and is complementary with a subscription to DealStats.