FCF Valuation Monitor – February 2022 published

FCF Fox Corporate Finance GmbH is delighted to publish the new “FCF Valuation Monitor – February 2022”.

The FCF Valuation Monitor is a comprehensive valuation analysis for the German small / midcap market segment and is published by FCF on a quarterly basis. Due to the high volatility in global markets and recent political events, FCF publishes this update of the Valuation Monitor as of 01.03.2022.

Key insights of February 2022 are:

  • Since December 2021, market volatility increased due to rising investor uncertainty caused by macro-economic / political events, most recently and importantly the Russian invasion of Ukraine in February 2022
  • Over the past three months, all four major German indices show significant losses, ranging from -8.3% (MDAX) and -15.5% (TecDAX)
  • Although the indices showed significant sell-offs since beginning of the year, the 36-month development shows that all four indices are still in a positive territory with performances ranging between +19.9% (DAX) and +27.5% (SDAX)
  • In Comparison to the market shock in March 2020 in response to the global Covid-19 pandemic, all four indices are still trading above record lows of March 2020
  • Although most industries show a negative market development since December 2021, the market recovery since March 2021 partly absorbed recent losses, resulting in a mixed 12-months development with performances ranging from +19.6% (Industrial Materials) to – 32.8% (Internet Products / Services)
  • Across all sectors, sales and EBITDA CAGR expectations for 2020-2023 were raised to 13.9% (compared to 13.3% in December 2021) and 31.3% (compared to 30.8% in December 2021) per annum, respectively
  • Beside the expected positive economic development across all industries, the current market losses result in lower multiple valuations with a mean EV / EBITDA 2022e of 9.7x (compared to 10.6x in December 2021)

To access the full report, please click here.

By Arno Fuchs, Tristan Blümli, Yasmin Herrmann and Florian Hoch