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
13.6% 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
₹2,689
Historical Growth
4.9%
FCF Yield
2.73%
Price / FCF
36.7x
Plain English
To justify today's price of ₹2689.00, SRF.NS needs to grow its free cash flow at 13.6% per year for the next 10 years. That is 8.7% 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
Growth Scenarios
What the stock is worth at different growth assumptions
| Scenario | FCF Growth | Implied IV | MoS vs Price |
|---|---|---|---|
| Historical | 4.9% | ₹1,274 | -52.6% |
| Half implied | 6.8% | ₹1,507 | -43.9% |
| GDP rate | 10.0% | ₹1,992 | -25.9% |
| Implied | 13.6% | ₹2,689 | +0.0% |
At Historical Growth Rate
DCF horizon: 10 years. At 4.9% growth, the model values SRF at ₹1,274, below today's ₹2,689.
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.