Compound annual growth rate

CAGR calculator
Value Year
Initial value $100 1990
Final value $800 2005
CAGR of 14.9% over 15 years

Compound annual growth rate (CAGR) is a business, economics and investing term representing the mean annualized growth rate for compounding values over a given time period. CAGR smooths the effect of volatility of periodic values that can render arithmetic means less meaningful. It is particularly useful to compare growth rates of various data values, such as revenue growth of companies, or of economic values, over time.