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CAGR Calculator

Enter a starting and an ending value and the years between to see the compound annual growth rate of an investment or a company’s revenue, and where it heads if growth continues.

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If growth continues at the same rate.

Compound annual growth (CAGR)20.11%a year on average, over 5 years
  • Total growth150%
  • Growth multiple2.50 ×
  • Projection (5 years on)625,000.00
Value by year 11

How it is calculated

CAGR sums up a bumpy period as one steady yearly rate: growing at it each year gives the same end value. It differs from the arithmetic average of yearly returns and is lower than it when returns swing.

FormulaCAGR = (Bitiş ÷ Başlangıç)^(1 ÷ t) − 1t: number of years (can be fractional, e.g. 2.5).

Example

If ₺100,000 became ₺250,000 in five years: (250,000 ÷ 100,000)^(1/5) − 1 = 20.11% a year, a 2.5× multiple.

Frequently asked questions

How does CAGR differ from the average return?

An investment that gains 50% then loses 50% averages 0%, yet it is down 25%; CAGR shows that correctly (−13.4% a year).

How do I account for inflation?

For real growth compute (1 + CAGR) ÷ (1 + yearly inflation) − 1, or use the real return calculator.

Real Return CalculatorCompare a deposit, fund or stock return with inflation and tax; calculate the real return by the Fisher equation and the value in today’s money.Internal Rate of Return (IRR) CalculatorCalculate the internal rate of return from cash flows, compare it with your hurdle rate and get warned when more than one IRR is possible.Savings CalculatorWork out what a regular monthly saving grows to with compound returns, how much is paid in, the returns and the time to reach a target.Inflation CalculatorCalculate inflation between two months from TÜİK CPI data: what a sum is worth now, the average yearly rate and the loss of purchasing power.