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CAGR Calculator
Find the steady annual growth rate that turns a beginning value into an ending value. Use it for a single investment with no extra deposits or withdrawals.
Compute compound annual growth rate between two values.
Free to run · to save projections to your live dashboard
Enter values and click Calculate to see results
Worked example
Calculated by the same engine as the calculator above.
- Inputs
- Beginning Value
- ₹1,00,000
- Ending Value
- ₹2,50,000
- Period (Years)
- 5
- Result
- CAGR
- 20.11%
- Absolute Return
- 150.00%
Formula
CAGR = (EV / BV)^(1 / t) - 1
- EV = ending value
- BV = beginning value
- t = period in years
- Absolute return = (EV - BV) / BV
Assumptions
- Assumes one starting amount and one ending amount with no cash flows in between.
- If the beginning value or the period is zero or negative, the result is shown as 0%.
- Results are shown as percentages rounded to four decimal places.
- Educational estimate only, not financial advice. Capitallytics does not execute transactions.
CAGR Calculator FAQ
Answers about how this calculator works.
What is the difference between CAGR and absolute return?
Absolute return is the total percentage change over the whole period. CAGR spreads that change into an equal yearly rate, which makes periods of different lengths comparable.
When should I use XIRR instead of CAGR?
Use XIRR when money went in or out on different dates, such as SIPs, top-ups or partial withdrawals. CAGR only fits a single lump sum held for the whole period.
Can CAGR be negative?
Yes. If the ending value is lower than the beginning value, CAGR is negative, showing the average annual decline.
Does CAGR show how volatile the investment was?
No. CAGR smooths the path into one rate and says nothing about the ups and downs along the way.