Reverse DCF
What growth does the market imply for ISFT?
Working backwards from the current price to find the FCF growth assumption baked in.
conservative
-18.8% implied annual FCF growth
The market is pricing in below-GDP growth — very conservative assumption. If the company delivers anywhere near its historical rate, there is significant upside.
Current Price
₹76
Historical Growth
5.2%
FCF Yield
33.63%
Price / FCF
3.0x
Plain English
To justify today's price of $75.61, ISFT.NS needs to grow its free cash flow at -18.8% per year for the next 10 years. That is 24.0% slower than its historical growth rate of 5.2%. This looks achievable — the market is not pricing in heroic assumptions. There may be genuine upside if the company executes.
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Growth Scenarios
What the stock is worth at different growth assumptions
| Scenario | FCF Growth | Implied IV | MoS vs Price |
|---|---|---|---|
| Implied | -18.8% | ₹75 | -0.4% |
| Half implied | -9.4% | ₹138 | +82.7% |
| Historical | 5.2% | ₹405 | +435.7% |
| GDP rate | 10.0% | ₹586 | +674.6% |
At Historical Growth Rate
It would take 3 years for ISFT to organically grow into today's price assuming its historical FCF growth of 5.2%.
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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.