Are valuations on the rise due to inflation?

by a searcher from University of Notre Dame

3 years ago

I am curious what the community is seeing in terms of valuations.  With the unprecedented printing of money leading to 40-60% of the M1 and M2 money supply being created in the last 12 months, inflation concerns are warranted.  I wonder if the drive to put money somewhere to get a return is driving up valuations?  I haven't looked at too many deals, and they have been broker deals, but I am getting 5-7x for $1M+ EBIDTA manufacturing companies.  

Also, curious how people are looking at their debt when you are getting LIBOR + 2%.  How are people factoring in the chance of LIBOR skyrocketing?

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