Calculators

CAGR calculator

Find the compound annual growth rate between a start value and an end value.

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  1. 1 Enter the starting value.
  2. 2 Enter the ending value.
  3. 3 Enter the number of years between them.
  4. 4 Read the annualised rate.

How it works

CAGR is the steady yearly rate that would take a starting value to an ending value over a number of years. It smooths a bumpy investment or revenue history into one comparable rate. It is not the average of yearly returns, and it hides the path between the two dates.

CAGR = (end / start)^(1 / years) − 1

Frequently asked questions

Why can’t the start be zero?

CAGR divides by the starting value and takes a root. A zero or negative start has no meaningful result here.

Is CAGR the same as a yearly average?

No. An average adds yearly returns and divides. CAGR is the single rate which, compounded, joins the two endpoints.