Bizval Indicator Report
for June 2026
We like to think of the Bizval Indicator as a ‘barometer’ of SME valuation multiples providing a perspective of the value of New Zealand small-to-medium sized businesses.
Unlike listed companies, the sale prices of SME’s are not readily available. The Bizval Indicator helps monitor movements in the drivers of SME values.
The Bizval Indicator is derived from key drivers of SME values and is then reviewed in the context of a basket of general economic indicators.
Bizval Indicator
| NOW | LAST YEAR | MOVEMENT |
|---|---|---|
| 411 | 397 | 3.5% |
Source: Bizval, 30 June 2026.
Bizval Indicator up 3.5% for the year to June 2026
June 2026 saw the Bizval Indicator close out at 411, which was an increase of 3.5% on a year-on-year basis from 397 recorded in June 2025.
On a quarterly basis, June 2026 was down 2.9% on the indicator of 423 recorded in March 2026.
Increases in our own valuation multiples, easing of business finance lending rates (over past 12 months) and strong NZX P/E ratio’s all influenced the Bizval indicator this quarter.
The number of businesses listed for sale increased slightly from a year ago.
Here at Bizval the June 26 quarter saw a large number of valuations for marital separation purposes, closely followed by shareholder buy-outs and estate planning.
General Economic Indicators
| INDICATOR | NOW | 1 YEAR AGO | MOVEMENT |
|---|---|---|---|
| NZX 50 NZ (1) | 13,622 | 12,603 | 8.09% |
| RBNZ Official Cash Rate NZ (2) | 2.25% | 3.25% | -1.00% |
| GDP NZ (3) | 0.80% | -1.10% | 1.90% |
| Dow Jones Industrial Average USA (4) | 52,319 | 44,095 | 18.65% |
| Inflation (CPI) NZ (5) | 3.10% | 2.50% | 0.60% |
| Unemployment Rate NZ (6) | 5.30% | 5.10% | 0.20% |
(1) Source: NZ Stock Exchange, 30 June 2026
(2) Source: Reserve Bank of New Zealand, 27 May 2026
(3) Source: Stats NZ, 31 March 2026
(4) Source: New York Stock Exchange, 30 June 2026
(5) Source: Stats NZ, 31 March 2026
(6) Source: Stats NZ, 31 March 2026
Consumer Price Index (CPI)
Within the 3.1 percent increase in the CPI in the 12 months to the March 2026 quarter, higher prices were recorded for:
- electricity, up 12.5 percent (10.9 percent contribution to the 3.1 percent rise for all groups)
- local authority rates and payments, up 8.8 percent (8.7 percent contribution to all groups)
- meat and poultry, up 8.6 percent (6.4 percent contribution to all groups).
Lower prices were recorded for:
- audio-visual equipment, down 21.2 percent (-1.4 percent contribution to all groups)
- real estate services, down 4.8 percent (-1.0 percent contribution to all groups)
(Source: StatsNZ – Tatauranga Aotearoa)
GDP
New Zealand’s gross domestic product (GDP) rose 0.8 percent in the March 2026 quarter, following a 0.5 percent increase in the December 2025 quarter, according to figures released by Stats NZ.
Nine out of 16 industries recorded an increase in economic activity in the March 2026 quarter.
Manufacturing was the largest upward contributor to the overall increase in GDP, up 1.9 percent in the quarter.
The rise in manufacturing activity was led by a 4.0 percent increase in transportation equipment, machinery, and equipment manufacturing and a 1.7 percent rise in food, beverage, and tobacco manufacturing.
Business services (up 1.1 percent) and wholesale trade (up 2.4 percent) also contributed to the increase in GDP in the March 2026 quarter.
(Source: StatsNZ – Tatauranga Aotearoa)
Drivers of SME Values
The Bizval Indicator is calculated using a proprietary formula. We research, monitor and evaluate the following components to arrive at the result.
NZX Small Cap P/E Ratios
Small Capitalisation companies have greater similarities to private SMEs than large cap stocks. Bizval reviews the mean and median price earnings (P/E) ratios of companies with market capitalization of between $20 million and $200 million. We adjust these figures to align them more closely with private SMEs by reducing the P/E ratios to account for differences in size, key-person dependence and ability to easily buy or sell (liquidity).
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Business Loan Interest Rates
Bizval monitors the advertised interest rates of New Zealand major banks for business loans. Using an average of these rates we then add a risk margin (commonly added to the base rate by banks when lending to small businesses). We also add a hypothetical margin for the SME proprietor to reflect their return on investment. This interest rate is then converted to a multiple.
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Businesses for Sale
Bizval undertakes a review of the volume of businesses listed for sale across New Zealand, taking into account any movements in this number.
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Bizval Multiples
We review an average of the multiples used in our business valuations and combine these with multiples from actual business sales (where available).
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In addition to the four drivers of SME values, the Bizval Indicator is evaluated in the context of six national / international General Economic Indicators.
The NZX 50 Index (New Zealand Stock Exchange)
The NZX 50 Index (NZ50) is the primary stock market index in New Zealand. It comprises the 50 biggest stocks by free-float market capitalisation trading on the New Zealand Stock Market (NZSX).
Reserve Bank of New Zealand Official Cash Rate
The RBNZ sets the target ‘cash rate’, which is the market interest rate on overnight funds. It uses this as the instrument for monetary policy and influences the cash rate through its financial market operations.
Gross Domestic Product (New Zealand)
GDP is a monetary measure of the market value of all final goods and services produced over a defined period of time.
Dow Jones Industrial Average (USA)
The ‘Dow’ is a US stock market price-weighted index monitoring the share trading performance of 30 large, publicly owned American-based companies.
Inflation Rate (New Zealand)
The Consumer Price Index (CPI) measures the average change over time in the prices paid by New Zealand households for a fixed basket of goods and services.
Unemployment Rate (New Zealand)
This indicator is the official unemployment rate for New Zealand. The unemployment rate reflects conditions of the labour market and economy overall. It gives a sense of the number of people seeking work.
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