CAGR Calculator
Calculate the Compound Annual Growth Rate (CAGR) of any investment and measure its average yearly return.
Investment Growth
Yearly Breakdown
| Year | Portfolio Value |
|---|
What Is CAGR?
CAGR (Compound Annual Growth Rate) measures the average annual growth rate of an investment over a specific period of time.
Unlike simple ROI, CAGR takes time into account and shows the yearly growth rate required to reach the final value from the starting value.
Investors commonly use CAGR to compare stocks, ETFs, real estate investments, businesses, and portfolio performance.
CAGR Examples
| Beginning Value | Ending Value | Years | CAGR |
|---|---|---|---|
| 10,000 | 20,000 | 10 | 7.18% |
| 10,000 | 30,000 | 10 | 11.61% |
| 50,000 | 100,000 | 15 | 4.73% |
| 100,000 | 500,000 | 20 | 8.38% |
CAGR Calculator FAQ
CAGR stands for Compound Annual Growth Rate and measures the average annual growth of an investment over time.
A good CAGR depends on the asset class, but many long-term stock market investors target annual returns between 7% and 10%.
No. ROI measures total return, while CAGR measures annualized return and takes time into account.
Yes. If the ending value is lower than the beginning value, CAGR will be negative.
Yes. CAGR is commonly used to evaluate property appreciation over time.