CAGR Calculator
Calculate Compound Annual Growth Rate — the smoothed annual growth rate of an investment over time.
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CAGR
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Total Return
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Growth Multiple
Recent Calculations
What Is CAGR?
CAGR shows the steady annual growth rate that would take an investment from its beginning to ending value. It smooths out volatility.
Formula
CAGR = (Ending Value / Beginning Value)^(1/n) − 1Example
$10,000 growing to $25,000 in 5 years = CAGR of 20.11%.
Frequently Asked Questions
Is CAGR the same as average return?
No. CAGR accounts for compounding. Average annual return doesn't. CAGR is more accurate for multi-year performance.
What's a good CAGR?
S&P 500 historical CAGR is ~10%. Above 15% is excellent. Above 25% is exceptional.