The 5 year average cloud software multiple (pre covid, so 2015-2020) was 7.8x NTM revenue. The current median is 7.4x. So despite the MASSIVE correction (many companies down 50-80%), we’re only 5% below what I would consider a “normal” multiple.
The 5 year average cloud software multiple (pre covid, so 2015-2020) was 7.8x NTM revenue. The current median is 7.4x. So despite the MASSIVE correction (many companies down 50-80%), we’re only 5% below what I would consider a “normal” multiple.