Which of the following is not an analytical tool used by valuation analysts?

Qualitative analysis is indeed a critical component of evaluating a business, but it doesn't function as an analytical tool in the same way as the others listed. The listed analytical tools—comparative company analysis, common sized financial statements, and trend analysis—are primarily quantitative in nature and focus on numerical data to derive value.

Comparative company analysis involves assessing the subject company against its peers based on financial metrics and valuation multiples. Common sized financial statements allow analysts to standardize financial data, making it easier to compare companies of different sizes by expressing financial statement items as percentages of a base figure. Trend analysis examines financial data over time to identify patterns or growth trends, which helps in forecasting future performance.

In contrast, qualitative analysis evaluates non-numerical factors such as management effectiveness, market conditions, competitive positioning, and brand strength. While it provides valuable insights that can influence a valuation, it does not utilize numerical data comparisons, and thus is categorized differently from the quantitative analytical tools.