Question: Please sort the following into pros for comparable company analysis and pros for precedent transaction analysis. Comparable company analysis Precedent transaction analysis Observable current value

Please sort the following into pros for comparable company analysis and pros for precedent transaction analysis.

  1. Comparable company analysis
  2. Precedent transaction analysis

Observable current value for a company (what investors are actually paying for business right now)

AB

Large number of potential companies to compare to

AB

Readily available

AB

Includes takeover premium / control premium

AB

Includes synergy value

AB

Shows the value investors paid for the entire company (not just 1 share)

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