Central Tools

Free CAGR Calculator - Calculate Compound Annual Growth Rate

Calculate CAGR (Compound Annual Growth Rate) of your investments instantly. Free online CAGR calculator to measure investment performance and returns.

CAGR Formula

CAGR = [(Final Value / Initial Value)^(1/Years)] - 1

CAGR represents the smoothed annual growth rate of an investment over a specified period.

It assumes that profits are reinvested at the end of each year.

Advertisement Placeholder

How to use Free CAGR Calculator - Calculate Compound Annual Growth Rate

1

Enter your initial investment value

2

Input the current/final value

3

Set the investment duration in years

4

View CAGR and total return percentage

Why use this tool?

Investment Analysis

Measure investment performance accurately

Compare Returns

Compare different investment options

Goal Planning

Set realistic return expectations

Free CAGR Calculator - Calculate Compound Annual Growth Rate

Measure the precise annual growth rate of your investments over time. CAGR (Compound Annual Growth Rate) is the most accurate way to compare the performance of different assets like stocks, mutual funds, or real estate by smoothing out year-to-year volatility. Understand exactly how hard your money is working for you.

Quick How-To Guide

  1. 1Enter the Initial Value of your investment (at the start of the period)
  2. 2Enter the Final Value of your investment (current value or end value)
  3. 3Enter the duration of the investment in years
  4. 4Click "Calculate CAGR" to see the results instantly
  5. 5Use the result to compare against benchmarks like the S&P 500 or inflation

Why use our tool?

Precise growth metrics—calculates the exact smoothed annual return of any investment
Multi-year support—handle sets of data spanning from 1 month to 50 years
Compare assets—easily calculate CAGR for different funds to see which performed better
Reverse calculation—determine what final value you need to reach a specific growth goal
Total Return tracking—see the absolute percentage return alongside the annual rate
Private & Secure—your sensitive investment values never leave your web browser

Frequently Asked Questions

Find answers to common questions about using our tool, its features, and how it handles your data privacy.

CAGR (Compound Annual Growth Rate) tells you the mean annual growth rate of an investment over a period longer than one year. Simple average returns can be misleading because they don't account for compounding. CAGR shows what the growth would be if the asset grew at a steady rate every year.
The formula for CAGR is: [(Current Value / Initial Value) ^ (1/Number of Years)] - 1. Our tool automates this complex math for you, ensuring you get an accurate percentage every time.
No. CAGR provides a "smoothed" return. It doesn't show that the investment might have dropped 20% one year and gained 40% the next. It only looks at the start and end points. For volatility, you would need to look at Standard Deviation.
Historically, the stock market (Nifty 50 or S&P 500) has delivered a CAGR of 10-12% over long periods. Anything above inflation (typically 5-6%) is positive, but "good" depends on your risk tolerance and financial goals.
Yes. If your investment's final value is lower than the initial value, the CAGR will be a negative percentage, indicating a loss in wealth over that period.
Advertisement Placeholder

You Might Also Need

Explore more powerful tools tailored for your workflow.

EMI Calculator

Calculate loan EMI and payment schedule.

Popular✓ Ready

SIP Calculator

Calculate SIP returns and wealth growth.

Popular✓ Ready

Loan Interest Calculator

Calculate loan interest and total payment.

✓ Ready

Mortgage Calculator

Calculate home loan payments.

✓ Ready

Compound Interest Calculator

Calculate investment growth over time.

✓ Ready