Compound annual growth rate

CAGR Calculator

Calculate compound annual growth rate from a starting value, ending value, and time period. Use years, months, days, or exact dates, and solve reverse CAGR scenarios instantly.

Free browser calculator

Calculate compound annual growth rate

Time period

Instant result

CAGR: 12.4683%

CAGR
12.4683%
Total growth
60%
Absolute change
$6,000
Growth multiple
1.6×
Holding period
4 years

Growth chart

Smoothed compound growth from the starting value to the ending value.

$10,000 → $16,000

CAGR growth chart

Growth over time

A smoothed path using the calculated compound annual growth rate.

PeriodValue
Start$10,000
1 years$11,246.83
2 years$12,649.11
3 years$14,226.24
4 years$16,000

How to use the CAGR calculator

  1. 1. Enter the starting value and ending value.
  2. 2. Enter years, months, and days, or switch to exact dates.
  3. 3. Read the CAGR, total growth, growth multiple, and smoothed growth path.
  4. 4. Use the reverse tabs to solve for future value, starting value, or time required.

CAGR formula

CAGR is the constant annual rate that connects a beginning value to an ending value over a specified period.

CAGR = (Ending Value ÷ Starting Value)^(1 ÷ Years) − 1

Exact-date mode converts actual elapsed days to years using ACT/365 Fixed. The calculator performs all calculations in the browser.

Read the CAGR formula guide

Example

If a value grows from $10,000 to $16,000 over four years, the CAGR is about 12.47%. That does not mean every individual year actually returned 12.47%; it is the smoothed annual compound rate connecting the two values.

See more worked CAGR examples

When CAGR is not enough

CAGR works best for one beginning value and one ending value. If money is added or withdrawn on different dates, a cash-flow-aware measure such as IRR or XIRR may be more appropriate.

Compare CAGR and XIRR

Learn and verify

CAGR guides

Use these focused references to check the formula, reproduce the calculation in Excel, and choose the right return metric for the question you are asking.

Transparent by design

Check the method, sources, and limits

The calculator exposes its formulas, exact-date convention, validation rules, rounding policy, and limitations. CAGR is a smoothed endpoint measure and should not be treated as a record of actual year-by-year performance or as financial advice.

CAGR calculator basics

Quick answers about what CAGR measures and when to use it.

What does CAGR mean?

CAGR stands for compound annual growth rate. It expresses the constant annual rate that would connect a beginning value to an ending value over a specified period.

Does CAGR show actual year-by-year returns?

No. CAGR is a smoothed annualized rate between two values and does not describe the path or volatility between them.

Can CAGR be negative?

Yes. CAGR is negative when the ending value is lower than the starting value over a positive time period.

How does exact-date mode work?

Exact-date calculations use the actual number of elapsed days divided by 365 (ACT/365 Fixed) to convert the holding period into years.

When is CAGR not enough?

When there are deposits or withdrawals at different dates, a cash-flow-aware measure such as IRR or XIRR may be more appropriate.