What does an evidence grade measure?

The strength of the disclosed source data behind that NACE division's low/mid/high band — not how convinced an investor is about a specific company.

Which sources feed the grades?

The NACE benchmark mixes Dealsuite, Damodaran Europe, BDO Europe, Forvis Mazars, MarktoMarket, and VŠE Prague. Each division stores its source and caveat in the curated table.

Does Low evidence change which multiple Misano picks?

No. Source cascade (custom → niche → NACE) and method cascade (EV/EBITDA → P/E → EV/Revenue) are unchanged. Low evidence labels thin data; it does not skip the band or invent a different cascade.

How do niches relate to NACE evidence grades?

Niches carry their own evidence quality on curated seeds. When ≥3 verified counting deals exist, the median of those deals wins — a separate rule from the seed grade (see three-niche-deals-before-the-median).

Every NACE band carries an evidence grade.

Every NACE Rev. 2.1 division in Misano's multiples benchmark carries an evidence quality tag from High to Low. The tag grades how much disclosed data backs the low/mid/high band — not how strongly an investor believes in a specific target. It is published on the public multiples table and in the JSON API.

What the grade means

Evidence quality = strength of the underlying source mix for that division, not a Fit or Score signal.
Benchmarks mix Dealsuite, Damodaran Europe, BDO Europe, Forvis Mazars, MarktoMarket, and VŠE Prague — each division stores its source and caveat.
The scale runs High … Low (including Medium-High, Medium, Medium-Low where the table uses them).
Low evidence still produces a usable screening baseline; it labels thin underlying data so the investor knows to go deeper or prefer niche/custom when available.

Examples from the public table

Division 62 (computer programming, consultancy and related / SaaS): evidence High — EV/EBITDA 8 / 15 / 25.
Division 59 (film, video and TV programme production): evidence Low — EV/EBITDA 4 / 7 / 12.
Division 46 (wholesale trade): evidence High — EV/EBITDA 3.5 / 5 / 7.
Full table: misano.ai/guides/multiples · JSON: misano.ai/api/multiples.

What it does not do

Does not change the source cascade: custom → niche → NACE (misano.ai/guides/custom-then-niche-then-nace).
Does not change the method cascade: EV/EBITDA → P/E → EV/Revenue (misano.ai/guides/ev-ebitda-then-pe-then-ev-revenue).
Does not zero or block a valuation when evidence is Low — the band still screens; the label says the data behind it is thin.
Does not replace verified-deal medians on niches — that is a separate rule (≥3 counting deals; misano.ai/guides/three-niche-deals-before-the-median).

Where this sits

Part of how-we-value-companies-at-scale §2.2 NACE baseline — each division carries an evidence quality tag reflecting the strength of the underlying data (misano.ai/guides/how-we-value-companies-at-scale).
Niches also carry evidence quality on curated seeds; a median of verified deals is a different mechanism than the seed grade.
Downstream cascades and the triangulated value band still apply (misano.ai/guides/value-band-is-triangulated).

What this is not

Not the investor's conviction, thesis Fit, or Score about a target company.
Not a rewrite of the source or method cascades.
Not a substitute for going deep when evidence is Low and a niche or custom override exists.

Get started at https://app.misano.ai/login. From €39/month billed annually, 14-day money-back, no sales call. Product path: misano.ai/scout.

See also: misano.ai/guides/multiples, misano.ai/guides/how-we-value-companies-at-scale, misano.ai/guides/custom-then-niche-then-nace, misano.ai/guides/three-niche-deals-before-the-median, and misano.ai/guides/ev-ebitda-then-pe-then-ev-revenue.