CAGR stands for Compound Annual Growth Rate. It shows the average annual growth rate of an investment over a given period.

Does this CAGR calculator store my data?

No data is stored or transmitted. All calculations happen locally in the user's browser.

CAGR Calculator

Q: How is CAGR calculated?

CAGR is calculated using the formula (Final Value divided by Initial Value) raised to the power of 1 over the number of years, minus 1.

Calculate the Compound Annual Growth Rate (CAGR) of an investment using its starting value, ending value, and holding period.

Initial Value (PV)

Final Value (FV)

Time (Years)

How This CAGR Calculator Works

CAGR, or Compound Annual Growth Rate, measures how much an investment grows each year on average. It smooths out the impact of volatility and shows the true annualized return.

The formula used is: CAGR = (FV ÷ PV)^(1 ÷ t) − 1. By entering your initial value, final value, and holding period, you can find the effective annual growth rate of any investment.

This calculator works instantly in your browser and does not store or transmit any data.

Frequently Asked Questions

What is CAGR?

CAGR stands for Compound Annual Growth Rate. It measures how much an investment grows each year on average.

Why is CAGR important?

CAGR gives a more accurate picture of long-term growth by removing yearly fluctuations and showing a steady average rate.

How is CAGR calculated?

CAGR is calculated using: (Final Value ÷ Initial Value) raised to the power of 1 divided by years, then subtracting 1.

Does this tool store my data?

No. All calculations happen locally in your browser.