What's the Multiple (of Earnings)?

What's the multiple is a common question. There's a lot more to it than just picking a number. In this episode we cover:

• Multiple versus price/earnings ratio
• Terminology for earnings
• Why multiples don't come out of the air
• Sanity checks
• Historic ranges

The multiple is really how you calculate return on investment, so pay attention.

John Martinka
Jessica Martinka

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