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Financial Planning

CAGR Calculator

Compute the compound annual growth rate (CAGR) between a beginning value and an ending value over any number of years.

Your inputs

Results

CAGR

14.87%

Total growth
100%
Growth multiple
2 ×

✓Exact calculation — rounded only for display

Show calculation steps
  1. CAGR = (2000 / 1000)^(1/5) − 1 = 14.8698%

Inputs are never added to links for financial, salary or health calculators.

What this calculator does

CAGR smooths an uneven growth path into the single constant annual rate that connects the start and end values. It is widely used for investments, revenue and user growth.

Formula and method

CAGR = (End ÷ Start)^(1/years) − 1

Worked example

Calculated by this tool with its default inputs:

Inputs

  • Beginning value: 1000
  • Ending value: 2000
  • Number of years: 5

Results

  • CAGR: 14.87%
  • Total growth: 100%
  • Growth multiple: 2 ×

How to read the results

CAGR says nothing about volatility along the way — two very different paths can share the same CAGR.

Assumptions and limitations

  • Both values must be positive.
  • Use the business growth calculator to see year-by-year growth alongside CAGR.

Financial results are estimates based on the inputs and assumptions shown. They are not financial advice; confirm figures with your lender, provider or a qualified adviser before making decisions.

Questions

Can years be fractional?

Yes — 18 months is 1.5 years.

Methodology and verification

Result type
Exact mathematical calculation (rounded only for display)
Formula version
1.0
Automated verification
3 reference and validation test cases, checked against independently computed values. The site cannot be built if any of them fail.
Editorial review
Awaiting human editorial review. The explanation was drafted with AI assistance; the formula and examples are verified by the automated tests above.

Privacy

Everything you enter is calculated in this browser and is not sent to Numerith or anyone else. Because this calculator can involve personal financial or health details, your inputs are never added to share links or saved to history. Privacy policy