Valuation of the IT services and software companies (GER)

The significant valuation adjustment was primarily influenced by a downturn in economic and growth prospects, as well as the initiated interest rate reversal. In 2023, it appears that this fundamental situation – with relatively constant M&A activity at a pre-COVID valuation level – has not changed much. The focus is increasingly shifting towards the short- to medium-term profitability of companies and the proof of concept.

Source: Capital IQ, Aquin research