Module II· Multiples & Sector SpecificsIntermediate
Question

What historical multiple ranges do you see for specialty chemicals and industrials?

Answer

Historical EV/EBITDA ranges for industrials by sector:

  • Specialty chemicals: 9–13x — higher than commodity chemicals because of margin resilience and patent protection.
  • Commodity chemicals: 5–7x.
  • Industrial engineered components: 7–10x.
  • Mid-cap machinery: 8–11x.
  • Auto suppliers: 5–7x — low because of cyclical exposure and EV-transition risk.
  • Industrial electronics: 11–14x.
  • Packaging: 7–9x.

margin stability, end-market diversification, pricing power, ESG profile.

Deep diveShow more details

For mid-cap industrials, multiples have been under pressure since 2022 on the energy-price shock and weaker China exports — flag explicitly that 'spot multiples are 15% below the 5-year average.'