Valer harnesses the sector landscape mapping capability of Cyndx Finder, which utilizes Natural Language Processing and tracks 26M+ entities. You will be prompted to first incorporate a private and 2 public companies, which you think to be engaged in a similar lines of business or you view as a competitor. The algorithm will output additional public companies that you will then be asked to choose or ignore for valuation report generation.

Why are two publicly traded companies required?

Companies in similar lines of business tend to trade at roughly alike multiples of their respective financial results such as price to earnings or enterprise value to EBITDA. Readily available public company share price info and financial/accounting metrics provide useful data points for valuing private companies.