CapIQ screen purpose

CapIQ screen purpose

• A. To identify comparable companies and precedent transactions
• B. To forecast weather
• C. To recruit new hires
• D. To file taxes

Answer: (A)

CapIQ screen is used to identify comparable companies and precedent transactions. In valuation and deal analysis, building a comps set and locating past deals helps you see what multiples similar businesses have commanded and how those transactions were structured. A screen in Capital IQ lets you filter by industry, geography, size, growth, profitability, and other metrics to quickly assemble a relevant list of peers and past deals. From that, you can pull valuation multiples (like EV/EBITDA, EV/Sales, P/E) and deal terms to benchmark your target and justify your assumptions. This approach is essential for estimating a reasonable value range and understanding market context. It isn’t used for weather forecasts, hiring, or tax filing.

CapIQ screen is used to identify comparable companies and precedent transactions. In valuation and deal analysis, building a comps set and locating past deals helps you see what multiples similar businesses have commanded and how those transactions were structured. A screen in Capital IQ lets you filter by industry, geography, size, growth, profitability, and other metrics to quickly assemble a relevant list of peers and past deals. From that, you can pull valuation multiples (like EV/EBITDA, EV/Sales, P/E) and deal terms to benchmark your target and justify your assumptions. This approach is essential for estimating a reasonable value range and understanding market context. It isn’t used for weather forecasts, hiring, or tax filing.