Reverse DCF
What growth does the market imply for ARIHANTCAP?
Working backwards from the current price to find the FCF growth assumption baked in.
very aggressive
22.0% 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 13.8%. High execution risk.
Current Price
₹72
Historical Growth
13.8%
FCF Yield
1.88%
Price / FCF
53.2x
Plain English
To justify today's price of $71.60, ARIHANTCAP.NS needs to grow its free cash flow at 22.0% per year for the next 10 years. That is 8.3% faster than its historical growth rate of 13.8%. 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% | ₹24 | -65.9% |
| Half implied | 11.0% | ₹27 | -62.3% |
| Historical | 13.8% | ₹35 | -51.2% |
| Implied | 22.0% | ₹72 | +0.4% |
See full DCF analysis
Bear/base/bull scenarios, sensitivity heatmap, Monte Carlo, 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.