Calculators · Investments
CAGR calculator
The yearly growth rate between a starting and an ending value.
Compound annual growth rate
20.11%
₹1,00,000 became ₹2,50,000 in 5 years
- Absolute return
- 150%
- Growth multiple
- 2.50×
- CAGR
- 20.11%
How it works
CAGR is the steady yearly rate that would take a value from where it started to where it ended over the same period. It smooths out the ups and downs in between.
Use it to compare investments held for different lengths of time, or to describe a company's revenue growth.
Formula
CAGR = (End ÷ Start)^(1 ÷ years) − 1
Questions
Is CAGR the same as average return?
No. Averaging yearly returns overstates growth when returns swing. CAGR is the rate that actually links the starting and ending values.
When should I use XIRR instead?
When money went in or came out at different times, as with a SIP. CAGR suits a single amount invested at the start.
Results are estimates for planning, not tax, legal or investment advice. Rates and rules were checked on 4 October 2026; confirm the figures that apply to you with your bank, fund house or tax adviser.