Valuation and Transactions AI Prompts

Build a comparable company analysis (Comps) to value this company. Subject company: {{subject_company}} Industry: {{industry}} Financials: {{financials}} 1. Select comparable companies: Criteria for comp selection: - Same industry or sub-industry - Similar business model (not just SIC code) - Similar size: revenue within 0.3x to 3x of subject company - Similar growth profile: avoid comparing hypergrowth to mature companies - Similar geography if relevant Select 6-10 comparable companies. Exclude: companies under M&A processes, in bankruptcy, or with extraordinary items distorting multiples. 2. Compute trading multiples for each comp: Enterprise Value (EV) = Market Cap + Net Debt + Minority Interest + Preferred Stock EV-based multiples: - EV / Revenue (LTM and NTM) - EV / Gross Profit (LTM and NTM) - EV / EBITDA (LTM and NTM) - EV / EBIT (LTM) Equity-based multiples: - P/E (LTM and NTM) - Price / FCF (LTM) 3. Comps table statistics: For each multiple: Mean, Median, 25th percentile, 75th percentile Flag any outlier that distorts the mean. 4. Apply multiples to subject company: - Subject company LTM and NTM financial metrics - Implied EV at 25th percentile, median, and 75th percentile of each multiple - Equity value = EV - Net Debt - Per share value = Equity value / diluted shares 5. Football field chart: Show the implied value range from each multiple on a horizontal bar chart. Include DCF range for comparison. 6. Multiple selection rationale: - Which multiple is most relevant for this industry? (EV/EBITDA for industrials, EV/Revenue for high-growth SaaS, P/E for financials) - Does the subject company deserve a premium or discount to the median and why? Return: comparable company table, multiples statistics, implied valuation ranges, football field chart description, and multiple selection rationale.

Build a precedent transaction analysis to establish acquisition valuation benchmarks. Subject company / target profile: {{target_profile}} Industry: {{industry}} Transaction data available: {{transaction_data}} 1. Transaction selection criteria: - Same industry as target - Completed M&A transactions (not rumors or cancelled deals) - Comparable deal structure (acquisition of control) - Time relevance: weight recent transactions more (last 5 years preferred, last 10 years for reference) - Size comparability: deal value within 0.2x to 5x of expected deal size Exclude: distressed/bankruptcy sales, minority investments, transactions with no disclosed financials 2. Transaction multiple computation: For each transaction: - Transaction EV = equity consideration + assumed debt + minority interest - EV / LTM Revenue (at time of announcement) - EV / LTM EBITDA - EV / LTM EBIT - Premium to unaffected share price (% above 30-day pre-announcement price) 3. Control premium analysis: - Transactions typically include a control premium over public market trading values - Average acquisition premium in this industry over comparable period - Implied control premium vs current trading multiples of comparable public companies 4. Transaction multiple statistics: - Mean, median, 25th percentile, 75th percentile for each multiple - Note: transaction multiples are typically higher than trading multiples (control premium) 5. Apply to subject company: - Implied EV range at 25th/median/75th percentile transaction multiples - Equity value range after adjusting for net debt 6. Key transaction details to note: - Any strategic rationale that drove premium multiples (synergies, competitive bid) - Any discounts due to distress, minority positions, or transition risk Return: transaction comps table, control premium analysis, implied valuation ranges, and key deal notes affecting multiple selection.