CAGR

Compound annual growth rate.

Compound Annual Growth Rate (CAGR) Calculator

This calculator determines the mean annual growth rate of an investment over a specified time period longer than one year.

Use Cases

  • Investing: Comparing the historical performance of different assets (stocks, bonds).
  • Business: Analyzing revenue growth over multiple years.
  • Economics: Tracking GDP or population growth trends.

Formula

CAGR=(Ending ValueBeginning Value)1n1\text{CAGR} = \left( \frac{\text{Ending Value}}{\text{Beginning Value}} \right)^{\frac{1}{n}} - 1

Where:

  • nn is the number of years