Reverse DCF

What growth does the market imply for WABAG?

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

reasonable

11.1% implied annual FCF growth

The market's growth assumption looks achievable — it is in line with or below what this company has historically delivered.

Current Price

₹1,487

Historical Growth

11.0%

FCF Yield

3.78%

Price / FCF

26.4x

Plain English

To justify today's price of $1487.10, WABAG.NS needs to grow its free cash flow at 11.1% per year for the next 10 years. That is 0.2% faster than its historical growth rate of 11.0%. This looks achievable — the market is not pricing in heroic assumptions. There may be genuine upside if the company executes.

Adjust Assumptions

11.1%
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 implied5.6%₹990-33.5%
GDP rate10.0%₹1,366-8.2%
Historical11.0%₹1,467-1.3%
Implied11.1%₹1,485-0.2%

At Historical Growth Rate

It would take 11 years for WABAG to organically grow into today's price assuming its historical FCF growth of 11.0%.

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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.