Public Markets
After suffering a decline in our winter report, the FOCUS Enterprise-Focused Telecom Technology Index (EFTTI) bounced back this period to deliver a solid three-month gain of 1.5%. This was essentially in-line with the 2.3% gain in the S&P 500, but underperformed the 5.5% gain in the NASDAQ. The EFTTI still remains steeply down for the full year period and is trading 10.0% lower than year ago levels. Once again, the EFTTI failed to keep pace with the broader indices as the S&P 500 is up 0.9% compared to last year while the NASDAQ experienced a significantly more modest decline of only 0.9% over this same time frame. Sector multiples are also lower than they were in the year-ago period. The sector revenue multiple fell from 5.4x to 4.5x, while the sector EBITDA multiple dropped from 21.5x to 19.4x.
