CAGR Calculator

Compound Annual Growth Rate Calculator. Find the annualized return of your investment.

Yr
CAGR Result

Compound Annual Growth Rate

20.11%

Absolute Return

150%

Total Profit

₹1,50,000

How the CAGR Calculator works

CAGR (Compound Annual Growth Rate) is the smoothed annual rate at which an investment grew from its start value to its end value over a period. This calculator computes CAGR from your initial value, final value and number of years.

CAGR removes the noise of year-to-year ups and downs, giving a single 'average' growth rate that's ideal for comparing investments.

CAGR formula

CAGR = (End Value / Begin Value)^(1 / years) − 1

Frequently asked questions

What is a good CAGR?+

It depends on the asset. For equity over the long term, 10–12% is often considered good; for debt, lower. Compare against a relevant benchmark.

How is CAGR different from absolute return?+

Absolute return is total growth over the whole period; CAGR expresses it as a per-year rate, so investments of different durations can be compared fairly.

CAGR vs XIRR — what's the difference?+

CAGR assumes a single investment and withdrawal. XIRR handles multiple cash flows on different dates (like SIPs), so use XIRR for irregular investments.

Related calculators