Valuation: Comps & Precedents
It's April 1, 2026. A comp has a December fiscal year-end, with consensus EBITDA of $200m for FY2026 and $240m for FY2027. Build its NTM EBITDA.
Model answer
NTM covers April 2026 through March 2027. Nine of those months (Apr-Dec 2026) fall in FY2026 and three months (Jan-Mar 2027) fall in FY2027. Time-weighting: NTM EBITDA = (9/12 x $200m) + (3/12 x…
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