Free Online CAGR Calculator
Enter what you started with, what you ended with, and how many years passed. You get CAGR—the single yearly growth rate that would take the start value to the end value with compounding.
What CAGR tells you
CAGR (compound annual growth rate) smooths volatile year-to-year returns into one average annual rate. It answers: “If growth were steady every year, what rate would connect my start and end values?”
Formula: CAGR = (Ending ÷ Beginning)^(1 ÷ years) − 1, shown as a percentage.
CAGR ignores cash flows in or out during the period. For investments with deposits or withdrawals, also look at money-weighted returns or IRR.
Worked examples
Sample numbers you can try in the calculator above. Your lender's quote may differ slightly.
Portfolio doubled in 7 years
A common rule-of-thumb check on long-term stock market growth.
$10,000 → $20,000 over 7 years
CAGR: CAGR about 10.41%
Business revenue
Useful for pitch decks when you need one growth number across uneven annual revenue.
$500,000 → $800,000 over 4 years
CAGR: CAGR about 12.47%
Declining value
When the ending value is lower, CAGR is negative—the investment shrank on average each year.
$50,000 → $40,000 over 5 years
CAGR: Negative CAGR about −4.26%
Short two-year spike
CAGR does not show that all gain might have happened in one year; it spreads growth evenly.
$1,000 → $1,500 over 2 years
CAGR: CAGR 22.47%
Frequently asked questions about the cAGR Calculator
What is CAGR?
The constant yearly rate that would grow the beginning value to the ending value over the number of years you enter.
CAGR formula?
CAGR = (Ending ÷ Beginning)^(1/years) − 1. Express as a percentage by multiplying by 100.
CAGR vs average annual return?
A simple average of yearly % returns can mislead when swings are large. CAGR reflects the actual start-to-end change.
Can CAGR be negative?
Yes. If the ending value is below the beginning value, CAGR is negative.