Valuation Trading Multiples & Precedent Transactions: Banking and Capital Markets Software Providers
Valuation benchmarks for Banking and Capital Markets Software Providers. Access public trading comps, EV/EBITDA acquisition multiples, and private market data for pitch books and valuation analysis.
1.1 - Banking and Capital Markets Software Providers Market Context & Valuation Drivers
Companies in this public trading comparables group provide mission‑critical software and platforms to banks, credit unions, and capital markets institutions. They enable digital banking, payments, lending, treasury, trading, and risk workflows, monetizing through SaaS subscriptions, transaction processing fees, and software licenses plus services. They are grouped as valuation benchmarks due to shared institutional end markets, regulated operating environments, high switching costs, and recurring, transaction‑linked revenue models that drive comparable growth and margin profiles.
Typical capabilities include integrated digital banking channels and account opening, core/issuer processing and payment network services, merchant POS and acquiring, loan origination with AI‑enabled underwriting, onboarding/KYC and compliance tooling, treasury and cash management, fraud detection and AML, market data and electronic trading execution, and analytics/API platforms that extend into banking‑as‑a‑service. Offerings are delivered as cloud SaaS with modular suites, configurable workflows, and managed services, often supporting multi‑tenant deployments and complex integrations with legacy cores and third‑party systems.
Primary customers include retail and commercial banks, credit unions, broker‑dealers and asset managers, and fintechs leveraging banking‑as‑a‑service. Key valuation drivers encompass ARR and subscription growth, transaction volumes and take‑rates, gross and processing margins, net revenue retention, and customer churn. Outcomes tracked by buyers include improved digital adoption, faster loan decisioning, enhanced straight‑through processing, reduced fraud losses, and higher cross‑sell, all supporting durable recurring revenue and cash flow visibility for comparable company analysis.
2. Valuation Analysis: Public Trading Comps & Multiples for Banking and Capital Markets Software Providers companies
2.1 - Public Peer Groups & Median Valuation Multiples for Banking and Capital Markets Software Providers sector
Comparable group 1: Banking and Capital Markets Software Providers
Alkami
- Enterprise value: $●●●m
- Market Cap: $●●●m
- EV/Revenue: ●.●x
- EV/EBITDA: ●●.●x
- Description: Provider of cloud-based digital banking solutions enabling financial institutions to deliver personalized digital experiences for retail and business customers, including digital account opening, payment security, data analytics, and marketing services to enhance user engagement and operational efficiency.
- Key Products:
- Alkami Platform: Cloud-based platform for digital and business account opening, customer service, and financial wellness
- Payment Security: Solutions for secure transactions and fraud protection
- Data Analytics: Tools for data-driven insights and marketing
- Card Experience: Management of the card lifecycle from issuance to billing
- Business Administration: Features for administrative tasks including payments and reporting.
Blend
- Enterprise value: $●●●m
- Market Cap: $●●●m
- EV/Revenue: ●.●x
- EV/EBITDA: ●●.●x
- Description: Provider of cloud-based software platform solutions for financial services firms, offering digital-first consumer journeys for mortgages, home equity, consumer loans, and deposit accounts, aimed at increasing efficiency and customer satisfaction through streamlined processes.
- Key Products:
- Consumer Loans: Streamlined application processes for personal and auto loans
- Mortgages: Digital mortgage applications and approval workflows
- Home Equity: Tools for managing home equity loans and lines of credit
- Deposit Accounts: Account opening and funding solutions for banks and credit unions
- Title365: Title, escrow, and settlement services for real estate transactions.