Reverse DCF

What growth does the market imply for SRF?

Working backwards from the current price to find the FCF growth assumption baked in.

aggressive

13.8% implied annual FCF growth

The market is pricing in above-average growth. Achievable for a high-quality business but leaves limited margin for error — any slowdown could hurt the price.

Reverse DCF computed against price ₹2,743 · captured just nowRefresh for current price →

Current Price

₹2,743

Historical Growth

4.9%

FCF Yield

2.67%

Price / FCF

37.4x

Plain English

To justify today's price of ₹2743.00, SRF.NS needs to grow its free cash flow at 13.8% per year for the next 10 years. That is 8.9% faster than its historical growth rate of 4.9%. This is optimistic but not impossible for a high-quality business. The stock leaves little room for error — any slowdown could hurt the price.

Adjust Assumptions

9.8%
6%13%20%
4.0%
0%3%6%

Growth Scenarios

What the stock is worth at different growth assumptions

ScenarioFCF GrowthImplied IVMoS vs Price
Historical4.9%₹1,274-53.6%
Half implied6.9%₹1,519-44.6%
GDP rate10.0%₹1,992-27.4%
Implied13.8%₹2,743+0.0%

At Historical Growth Rate

DCF horizon: 10 years. At 4.9% growth, the model values SRF at ₹1,274, below today's ₹2,743.

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Bear/base/bull scenarios, sensitivity heatmap, reverse DCF, and more.

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This is an analytical tool, not investment advice. Implied growth is a mathematical inversion of the DCF model and depends on WACC and terminal growth assumptions. YieldIQ is not registered with SEBI as an investment adviser.

SRF Reverse DCF — Market Implies 13.8% FCF Growth | YieldIQ