With AI disruption in the IT sector, a lot of value will be created, and a lot will erode. As AI continues to revolutionize business operations and customer experiences, the valuation of IT companies has become a focal point for investors and analysts.
I have created a Relative Valuation comp sheet to compare key players in the industry.
The comps are created on Google Sheets, allowing real-time data fetching from Google Finance to update metrics like price, market cap, and EPS.
Here is the link to the Google sheet: IT Comps sheet
How to Use it?
The comp sheet is divided into two sections: Large Cap IT companies and Mid and Small Cap IT companies.
Trading multiples such as P/E, EV/Revenue, and EV/EBITDA are calculated for each section. Based on the results, a range of ratios is calculated, including Minimum, Mean, Median, and Maximum.
To check or compute the valuation of any company, simply select the company from the dropdown menu as shown below.
The company’s financial metrics are automatically populated, and the Enterprise value, Equity value, and implied per-share value are calculated.
For any suggestions or queries, you can comment or email me at [email protected]
