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That is a relatively high multiple in an industry in which buyers had been paying about 12 times cash flow.
Independent shareholders, who own 61% of the business, were "paying for nepotism" given the unusually high multiple paid for a business with revenues of £258m in 2009.
If Oracle did not already trade at such a high multiple, there would be pressure to spin off its e-commerce business as a tracking stock, he said.
Pearson paid $466 million, or about 1.6 times annual sales, for the small children's book publisher Dorling Kindersly -- a high multiple by traditional standards, according to industry executives.
Helped by a loss-sharing agreement with the F.D.I.C., Bank Uniteds shares are likely to trade at a relatively high multiple.
According to a Moody's report, [Advanstar'] 2012 revenues were $293m, so assuming some growth, it would seem a relatively high multiple on enterprise value/sales.
Similar(11)
A Canadian example of this type is the 214-metre- (703-foot) high multiple-arch Daniel Johnson Dam on the Manicouagan River in Quebec.
"In this high-multiple universe, most of these stocks are very vulnerable," he said.
But it too has seen growth estimates decline, which can be dangerous for a high-multiple stock.
"This is a high-multiple stock with high expectations.
Yet its small size and many high-multiple stocks make the country unattractive now, he says.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com