Sum of the parts calculator

Sum of the parts, worked through in your browser.

Interactive: sum of the partsMedium

Value three divisions on their own terms, then ask what the group does to them. The line that decides the argument is usually not a division at all: it is the central cost nobody reports as one.

Division 1 EBITDA ($m) Division 1 multiple (×) Division 2 EBITDA ($m) Division 2 multiple (×) Division 3 EBITDA ($m) Division 3 multiple (×) Central costs ($m/yr) Multiple on central costs (×) Net debt ($m) Shares outstanding (m)

Divisions, before central costs: —
Central costs capitalised: —
Enterprise value: —
Equity value: —
Per share: —
Blended multiple: —
Largest division's share: —
Reading: —

Which multiple belongs on which division is the whole of the disagreement, and this puts no view on it: the multiples are yours. Information and education only. Not advice, not a valuation, and not a quote for anything.

The idea behind it

This calculator belongs to Valuation & Deal Analysis, where the mechanism it computes is explained step by step, with the formula, what each input means and where the simple model stops being right. Everything is computed in your browser; nothing you type is sent anywhere.

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Not advice. This explains how something works; it is not a recommendation, and nothing here is tailored to you. You can lose everything you put in — with leveraged instruments, considerably more. StrikeAndYield is not a regulated firm and provides no financial services.

The same in full — six points, and why each one matters

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Nothing here is tailored to you. This is written for a general audience. It does not consider your objectives, financial situation, knowledge, time horizon or tolerance for loss.
The examples are simplified. Worked examples use round numbers and leave out costs, spreads, taxes, collateral, settlement and market conventions that materially change real outcomes.
The models are teaching models. Formulas shown are standard textbook formulations. Institutions add calibration, live market data and credit, funding and capital adjustments — nothing here will reproduce a dealer’s quote or produce a valuation you can rely on.
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