CAGR Calculator

Compound Annual Growth Rate.

Inputs

$
$

Result

CAGR20.11%

About the CAGR Calculator

The CAGR Calculator gives the compound annual growth rate — the smoothed annual return — between two dated values of an investment, business metric, or account balance.

Calculation method

CAGR treats growth as if it happened at a constant rate each year, ignoring the volatility along the way.

CAGR = (End / Start)^(1/Years) − 1

How to use this calculator

  1. Enter the beginning value.
  2. Enter the ending value.
  3. Enter the number of years between them.

Example

Revenue grown from $2M to $5M over 6 years has a CAGR of about 16.4%.

Frequently asked questions

When should I use CAGR?

For comparing multi-year growth of investments, businesses, or user metrics — anywhere a single annualized number is more useful than raw start/end values.

What's a good CAGR?

Depends on context. Public equity indices average 7–10% CAGR long-term; SaaS companies often target 30%+ during scale-up.

Can CAGR be negative?

Yes. If the ending value is lower than the start, CAGR is negative and shows the annualized rate of decline.

Disclaimer: This calculator is for informational and educational purposes only and does not constitute financial, tax, or legal advice. Consult a qualified professional for decisions specific to your situation.