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  "documentTitle": "A&M Valuation Insights March 2024",
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  "notes": "Includes a line chart showing historical EV/EBITDA trends and a table decomposing financial impacts by company type.",
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      "text": "With the onset of the pandemic, a capital shift away from traditional oil & gas companies (– €162.4bn market cap) towards the renewable energy sector (+ €117.9bn market cap) was observed, resulting in a significant increase in trading multiples.",
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      "text": "Both COVID-19 and the Ukraine war have particularly impacted the energy industry. Since the beginning of the pandemic, the multiples of the renewable energy sector have shown especially high volatility.",
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      "text": "With the onset of the pandemic, a capital shift away from traditional oil & gas companies was observed. The Ukraine war and its consequences, especially the rise in electricity prices, led to an increase in the EBITDA of renewable energy companies.",
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      "text": "Development trends: At the onset of the pandemic, multiples in the renewable energy sector doubled within a year. After a sharp upward trend, multiples of Operators and Components declined. The onset of the Ukraine war and the rise in interest rates further burdened renewable firms.",
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      "kind": "source-note",
      "text": "Source: S&P Capital IQ, A&M Analysis. Energy companies were assigned to various clusters. For comparison purposes, BP, TotalEnergies, Repsol, Eni, and Shell were considered.",
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      "text": "Decomposition of COVID-19 and Ukraine war impacts on trading pricing levels of renewable firms",
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      "kind": "title",
      "text": "Volatile pricing levels of Renewables were mostly due to two external shocks: COVID-19 and the war in the Ukraine",
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