Reverse DCF
What growth does the market imply for KEI?
Working backwards from the current price to find the FCF growth assumption baked in.
aggressive
18.9% 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.
Current Price
₹4,621
Historical Growth
14.9%
FCF Yield
1.67%
Price / FCF
59.7x
Plain English
To justify today's price of $4620.60, KEI.NS needs to grow its free cash flow at 18.9% per year for the next 10 years. That is 4.0% faster than its historical growth rate of 14.9%. This is optimistic but not impossible for a high-quality business. The stock leaves little room for error — any slowdown could hurt the price.
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Growth Scenarios
What the stock is worth at different growth assumptions
| Scenario | FCF Growth | Implied IV | MoS vs Price |
|---|---|---|---|
| Half implied | 9.4% | ₹2,198 | -52.4% |
| GDP rate | 10.0% | ₹2,298 | -50.3% |
| Historical | 14.9% | ₹3,384 | -26.8% |
| Implied | 18.9% | ₹4,619 | -0.0% |
At Historical Growth Rate
It would take 15 years for KEI to organically grow into today's price assuming its historical FCF growth of 14.9%.
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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.