Why are sensitivity tables critical in every valuation?

Shows how EV or equity value responds to changes in assumptions.

WACC, terminal growth, exit multiple, margin assumptions.

Every valuation rests on uncertain assumptions — sensitivities quantify the risk.

An 'EV range of $1bn–$1.3bn' is more honest than a point estimate of $1.15bn.

Senior MDs look at the sensitivity slide first — 'what moves the value?' A structured answer signals maturity.