CAGR Calculator
Compound annual growth rate between a beginning and ending value.
Educational estimate only — not investment, lending, or financial advice. Confirm figures with statements or a qualified professional before you act.
About this tool
Enter a starting value, an ending value and the number of years. The calculator gives the single yearly growth rate that would produce the same result if growth were steady, along with the total growth.
How to use
How it works
CAGR smooths uneven growth into one constant rate, so you can compare investments, revenues or user counts held for different lengths of time. It uses only the endpoints, so it says nothing about the ups and downs between them. Years can be fractional.
CAGR = (ending ÷ starting)^(1 ÷ years) − 1
Worked example
10,000 growing to 16,105 over 5 years
- Input
- Start 10,000; end 16,105; 5 years
- Output
- CAGR 10%; total growth 61.05%
- Walkthrough
- 16,105 ÷ 10,000 = 1.6105, and the fifth root of 1.6105 is 1.10, so 10% a year. A second case: 25,000 to 41,000 in 6 years is a total growth of 64% and 8.594% a year.
Limitations
- Ignores what happens between the start and the end.
- Cannot handle a zero or negative start value.
- Past growth does not predict future growth.
Questions
How do I calculate CAGR?
What is the CAGR of 10,000 becoming 16,105 in 5 years?
How is CAGR different from average annual return?
Can I use it for revenue or users?
Features
- Annual rate and total growth
- Fractional years
- Runs in your browser
Guides
Related resources
Guides and videos from around the web—opens on YouTube or the publisher’s site.
Introduction to interest
Khan Academy
Simple vs compound framing for NOM/EFF conversions.
Watch on YouTubePresent value and future value
Khan Academy
TVM vocabulary for N/I/Y/PV/PMT/FV solves.
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- Compound Interest
Math is Fun
Formulas for growth used by TVM and ICONV pages.
- Financial tools and calculators
Investor.gov
Official US investor education tools for cross-checks.