Reverse DCF

What growth does the market imply for SUNTV?

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

conservative

1.3% 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

₹628

Historical Growth

7.1%

FCF Yield

6.91%

Price / FCF

14.5x

Plain English

To justify today's price of $627.95, SUNTV.NS needs to grow its free cash flow at 1.3% per year for the next 10 years. That is 5.8% slower than its historical growth rate of 7.1%. This looks achievable — the market is not pricing in heroic assumptions. There may be genuine upside if the company executes.

Adjust Assumptions

9.8%
6%13%20%
4.0%
0%3%6%

Growth Scenarios

What the stock is worth at different growth assumptions

ScenarioFCF GrowthImplied IVMoS vs Price
Half implied0.6%₹602-4.1%
Implied1.3%₹634+0.9%
Historical7.1%₹1,006+60.2%
GDP rate10.0%₹1,269+102.0%

At Historical Growth Rate

It would take 3 years for SUNTV to organically grow into today's price assuming its historical FCF growth of 7.1%.

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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.

SUNTV Reverse DCF — Market Implies 1.3% FCF Growth | YieldIQ