Reverse DCF

What growth does the market imply for SUMICHEM?

Working backwards from the current price to find the FCF growth assumption baked in.

very aggressive

24.5% 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 -4.9%. High execution risk.

Current Price

₹425

Historical Growth

-4.9%

FCF Yield

1.88%

Price / FCF

53.1x

Plain English

To justify today's price of $424.90, SUMICHEM.NS needs to grow its free cash flow at 24.5% per year for the next 10 years. That is 29.4% faster than its historical growth rate of -4.9%. 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

12.8%
6%13%20%
4.0%
0%3%6%

Growth Scenarios

What the stock is worth at different growth assumptions

ScenarioFCF GrowthImplied IVMoS vs Price
Historical-4.9%₹52-87.9%
GDP rate10.0%₹147-65.4%
Half implied12.2%₹173-59.2%
Implied24.5%₹428+0.6%

See full DCF analysis

Bear/base/bull scenarios, sensitivity heatmap, Monte Carlo, and more.

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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.

SUMICHEM Reverse DCF — Market Implies 24.5% FCF Growth | YieldIQ