CAGR Calculator

CAGR shows the smoothed annual growth rate of an investment over a period, ignoring year-to-year volatility.

Enter start, end and years, then press Calculate
Starting value $
Ending value $
Number of years years

Result

Your result will appear here.

How it works

CAGR is the constant rate that would take a starting value to an ending value over N years if compounded annually. It smooths out bumps in returns.

Formula

CAGR = (ending value / beginning value)^(1/years) − 1

Worked example

$10,000 grows to $15,000 over 5 years: (15000/10000)^(0.2)-1 = (1.5)^0.2 - 1 ≈ 0.08447, so 8.45% CAGR.

Assumptions

Assumes growth was compounded over the period and there were no contributions or withdrawals. Past performance doesn't guarantee future results.

Reading the result

A high CAGR over a short period can be misleading; compare over similar time horizons.

For general information only. Not investment advice.

How to use the CAGR Calculator

It takes a few seconds, and every figure is calculated in your browser.

  1. Enter the starting value.
  2. Enter the ending value.
  3. Enter the number of years.
  4. Press Calculate — the result appears in the dark panel beside the form.
  5. Use Copy, CSV, Share or Print under the result if you want to keep it.

CAGR Calculator — frequently asked questions

What formula does the CAGR Calculator use?

CAGR = (ending value / beginning value)^(1/years) − 1

How does the CAGR Calculator work?

CAGR is the constant rate that would take a starting value to an ending value over N years if compounded annually. It smooths out bumps in returns.

What assumptions and limitations should I know about?

Assumes growth was compounded over the period and there were no contributions or withdrawals. Past performance doesn't guarantee future results.

Can you walk through a worked example?

$10,000 grows to $15,000 over 5 years: (15000/10000)^(0.2)-1 = (1.5)^0.2 - 1 ≈ 0.08447, so 8.45% CAGR.

Last updated 10 November 2026 · Formula, worked example and assumptions are documented above, and every result is calculated in your browser.