CAGR Calculator
Calculate the compound annual growth rate (CAGR) from a beginning value, ending value and number of years. See the formula and total growth. Free tool.
Formula
CAGR = (Ending / Beginning)^(1 / Years) β 1
= ($25,000.00 / $10,000.00)^(1 / 5) β 1 = 20.11%
CAGR smooths uneven growth into one yearly rate. Estimate for comparison only, not financial advice.
- Computes compound annual growth rate from three inputs
- Displays total growth and the multiple achieved
- Shows the exact CAGR formula and substituted values
- Works for investments, revenue and any growth metric
- Currency-agnostic with an optional symbol selector
- Runs entirely in your browser β fully private
How to use the CAGR Calculator
- 1
Enter the beginning value at the start of the period.
- 2
Enter the ending value at the end of the period.
- 3
Enter the number of years between the two values.
- 4
Read the CAGR percentage, total growth and the formula used.
About the CAGR Calculator
The ByteTools CAGR Calculator finds the compound annual growth rate of an investment or business metric. Enter the starting value, the ending value and the number of years, and it returns the smoothed annual rate that grows the first figure into the second, along with the total percentage change.
CAGR is the standard way to compare investments, revenue or any value that grows over multiple periods, because it expresses uneven growth as a single yearly rate. This calculator also shows the exact formula it used so you can check the working. All maths runs locally in your browser.
The result is an estimate for comparison and general analysis, not financial advice. CAGR smooths out volatility and does not reflect the ups and downs that happened along the way.
Frequently asked questions
What is CAGR and why is it useful?
CAGR, or compound annual growth rate, is the steady yearly rate that would turn a starting value into an ending value over a set number of years. It is useful because it converts uneven, real-world growth into one comparable annual figure.
How is CAGR calculated?
CAGR equals the ending value divided by the beginning value, raised to the power of one divided by the number of years, minus one. For example, growing from 100 to 200 over 3 years gives roughly 26% per year. The calculator shows this formula with your numbers.
What is the difference between CAGR and average annual return?
A simple average adds each year's return and divides by the number of years, ignoring compounding. CAGR accounts for compounding and reinvestment, so it usually differs from the simple average and better reflects real growth over time.
Can CAGR be negative?
Yes. If the ending value is lower than the beginning value, CAGR is negative, showing the average yearly rate of decline. The calculator handles falling values and displays the negative rate.
Is my data uploaded when I use this calculator?
No. The calculation runs locally in your browser with JavaScript, so the values you enter are never sent anywhere or stored.
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