Reverse DCF
What growth does the market imply for ALEMBICLTD?
Working backwards from the current price to find the FCF growth assumption baked in.
very aggressive
20.4% implied annual FCF growth
The market is pricing in exceptional growth that only a handful of companies sustain for a decade. For context, this company has historically grown at 11.8%. High execution risk.
Current Price
₹87
Historical Growth
11.8%
FCF Yield
1.94%
Price / FCF
51.5x
Plain English
To justify today's price of ₹87.06, ALEMBICLTD.NS needs to grow its free cash flow at 20.4% per year for the next 10 years. That is 8.6% faster than its historical growth rate of 11.8%. At its historical growth rate, the stock cannot justify its current price within a 20-year horizon. The market is pricing in a step-change in performance.
Adjust Assumptions
Growth Scenarios
What the stock is worth at different growth assumptions
| Scenario | FCF Growth | Implied IV | MoS vs Price |
|---|---|---|---|
| GDP rate | 10.0% | ₹39 | -55.3% |
| Half implied | 10.2% | ₹40 | -54.5% |
| Historical | 11.8% | ₹45 | -48.4% |
| Implied | 20.4% | ₹87 | +0.0% |
At Historical Growth Rate
DCF horizon: 10 years. At 11.8% growth, the model values ALEMBICLTD at ₹45, below today's ₹87.
See full DCF analysis
Bear/base/bull scenarios, sensitivity heatmap, reverse DCF, and more.
Run Full Analysis →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.