CAGR is the steady annual rate that turns the beginning value into the ending value: 1,000 growing to 2,000 over 10 years is a CAGR of about 7.18% a year, a total growth of 100%.
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Enter a beginning value, an ending value, and the number of years between them. The calculator returns the compound annual growth rate — the single yearly rate that would smoothly connect the two — and the total growth over the whole period. Values are yours; no market data is fetched.
Formula & methodology
CAGR = (ending ÷ beginning)1/years − 1, shown as a percentage
Total growth = (ending ÷ beginning − 1) × 100%
CAGR smooths out the ups and downs into one constant annual rate. It uses the same compounding mathematics as the compound interest calculator, solved for the rate instead of the future value.
Worked examples
1,000 → 2,000 over 10 years → CAGR 7.18%/yr, total 100%.
10,000 → 15,000 over 5 years → CAGR 8.45%/yr, total 50%.
2,000 → 1,000 over 4 years → CAGR −15.91%/yr, total −50%.
Limits
CAGR assumes smooth compounding and hides the volatility along the way — two investments with the same CAGR can have very different year-to-year paths and risk. It is a descriptive summary of past values, not a forecast, and not financial advice.
Frequently asked questions
How is CAGR different from total growth?
Total growth is simply how much the value changed from start to end (ending ÷ beginning − 1). CAGR spreads that change evenly across the years as a compound annual rate, so periods of different lengths can be compared on the same yearly basis.
Can CAGR be negative?
Yes. When the ending value is lower than the beginning value, the compound annual growth rate is negative — it describes an average annual decline. For example, 2,000 falling to 1,000 over four years is about −15.91% per year.
