GCG’s Q2 2022 Middle Market Update provides an overview of the latest trends in the market, including the recent performance of select sectors and the state of the middle market M&A environment.
Key findings include the following:
- GCG tracks the middle market public sectors through its proprietary middle market industry sector performance index. This index has taken a dramatic turn into negative territory during Q2 2022. Contrary to the previous few quarters, no middle market sector outperformed the large cap stocks (S&P 500) over the prior 12 months. The S&P 500 index had a total 12-month return of negative 12.4% as of June 2022. This significantly outgained the middle market index which declined 36.3% during the 12-month period.
- Industrials and Manufacturing led the middle market over the past 12 months declining 18.7%, while the Healthcare sector was the worst performing sector with a negative 62.2% return during the same period.
- Middle market public and private company transaction deal value and volume for Q2 2022 decreased from Q1 of 2022 and was the lowest quarter since Q3 of 2020. Compared to Q1, values and volume decreased by 11.8% and 18.9%, respectively. Q2 2022 value and volume also fell 37.6% and 37.3%, respectively over Q2 2021.
Click here for the full update.