Financial Terms Glossary

Forward Multiple


If a company is trading on what is called a 'forward multiple' its shares are valued at a multiple of its prospective earnings rather than the value of its underlying assets. (See also PE ratio.) For example, shares may be valued on a forward multiple of 8 times earnings if respectable growth is anticipated.


Companies can be valued in a number of ways. Forward multiple is a sexy way of saying that the total worth of a company is a multiplier of its projected annual profits. E.g. Company A makes $1 Million per annum. Its total value is $10 Million. It has a forward multiple of 10 ($10 Million divided by $1 Million) Easy... now go and impress your friends.

What we do

At Shark Finesse we have developed an enterprise-grade cloud application to help businesses standardise and simplify their value engagements across the entire customer journey.

Shark, a business value engagement platform used by 1000’s of customer-facing teams globally (e.g. pre-sales, sales, value teams, and customer success) is easy to use, intuitive and usable directly with the customer to negotiate the likely business returns from investing in a solution.

By adopting the Shark approach you will fundamentally transform conversations with new and existing customers, close more business, and differentiate from the competition.
Find out how

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RG24 8AG, UK