Complex sentence: EV/EBITDA multiple requires prudent use for companies with low profit margins; i.e. for an EBITDA estimate to be reasonably accurate, the company under evaluation must have legitimate profitability.
Split into simpler sentences: EV/EBITDA multiple requires prudent use for companies with low profit margins. I.e. for an EBITDA estimate to be reasonably accurate, the company under evaluation must have legitimate profitability.