CAGR Calculator
Calculate Compound Annual Growth Rate for investments. Find the average yearly return over multiple years with this CAGR calculator.
CAGR (Compound Annual Growth Rate) represents the constant annual growth rate that takes an investment from its beginning value to its ending value. It smooths out volatile returns to show the steady growth rate.
Calculator
Common use cases
- Comparing investment performance
- Evaluating fund returns
- Business revenue growth analysis
- Financial planning projections
How to use
- Enter the beginning investment value
- Enter the ending value
- Specify the number of years
- View the compound annual growth rate
FAQ
What is CAGR?
CAGR is the constant annual rate of return that would be needed to grow an investment from its start value to its end value over a specified period.
Is CAGR the same as average return?
No, CAGR accounts for compounding, while simple average return does not. CAGR is more accurate for multi-year performance.
Can CAGR be negative?
Yes, if the ending value is less than the beginning value, CAGR will be negative, indicating an annual loss.
This calculator provides illustrative estimates for planning purposes only and does not constitute financial, tax, or legal advice.