CAGR Calculator

What is CAGR Calculator?

CAGR (Compound Annual Growth Rate) is the rate at which an investment grows from its initial value to its final value, assuming profits are reinvested at the end of each period. CAGR smooths out volatility and gives a single growth rate that represents the steady annual return an investment would have earned. It is the most useful metric for comparing different investments over the same period.

📐 Formula Used

CAGR = (Final Value / Initial Value)^(1/Years) – 1
Expressed as a percentage.

📖 How to Use

Enter your initial investment amount, the final value it grew to, and the number of years. The calculator gives you the CAGR — the equivalent steady annual return.

Frequently Asked Questions