CAGR Calculator
Determine the mean annual growth rate of an investment over a specified time period longer than one year.
$
$
CAGR Result
8.45%
Absolute Growth:
50.00%
50.00%
Profit:
$5,000
$5,000
What is CAGR?
Compound Annual Growth Rate (CAGR) is a useful measure of growth over multiple time periods. It represents the growth rate that gets you from the initial investment value to the ending investment value if you assumed that the investment had been compounding over the time period.
The Formula
CAGR = (Ending Value / Beginning Value)^(1 / n) - 1
Where n is the number of years.