CAGR Calculator (Compound Annual Growth Rate)
Enter your starting value, ending value, and number of years to calculate the compound annual growth rate (CAGR).
CAGR Calculator (Compound Annual Growth Rate)
Calculate the compound annual growth rate between a starting and ending value.
This is an estimate for general informational purposes only, not investment advice. CAGR smooths out year-to-year volatility into a single average rate — it does not reflect how bumpy the actual path between the two values may have been.
CAGR smooths a multi-year change into a single, constant annual growth rate — useful for comparing investments or business metrics over different time periods on an apples-to-apples basis.
Example
- With the default values shown above, this calculator returns: Compound Annual Growth Rate ≈ 12.47.
Frequently Asked Questions
How is CAGR different from average annual return?
A simple average of yearly percentage returns can be misleading because of compounding and volatility; CAGR instead answers “what single constant growth rate would take the starting value to the ending value over this many years?”
Can CAGR be negative?
Yes — if your ending value is lower than your starting value, CAGR will be negative, reflecting an average annual decline over the period.