Compound Annual Growth Rate Estimator

Calculate CAGR for Investment Growth Over Time

Input Fields

Initial Value

V_i

$

Enter the value at the start of the investment period

Final Value

V_f

$

Enter the value at the end of the investment period

Number of Years

n

Enter the number of years the investment lasted

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Calculate automaticallyIf enabled, the result will update automatically when you change any value.

Your Results

Compound Annual Growth Rate

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CAGR (Compound Annual Growth Rate) Formula

$$\text{CAGR} = \left(\frac{V_f}{V_i}\right)^{\frac{1}{n}} – 1$$

Where:

• $$CAGR$$ – Compound Annual Growth Rate
• $$V_f$$ – final value of the investment
• $$V_i$$ – initial value of the investment
• $$n$$ – number of years

This formula shows the constant annual rate of return that would lead from the starting value to the ending value over $$n$$ years.

CAGR is a key metric for evaluating the performance of investments, businesses, or portfolios over time. Unlike average growth rates, CAGR accounts for compounding and provides a realistic measure of annualized returns. Use it to compare growth across multiple investments or to project long-term results.