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CAGR Calculator

Compound annual growth rate, the single smoothed rate that takes a starting value to an ending value over time. Enter three numbers, get the rate plus the growth curve.

Your numbers

$
$
CAGR
35.7%
Total growth
-
Growth multiple
-
Absolute change
-
Avg / period
-

Smooth curve = applying the CAGR each period. Real growth is rarely this even.

The CAGR formula

CAGR = (Ending value ÷ Beginning value)1 / periods − 1. It answers "if growth had been perfectly steady, what annual rate would take me from start to finish?" That makes it the fairest way to compare growth across different time spans, but because it smooths out the bumps, always pair it with the actual year-by-year numbers when you're judging momentum.

Worked example: $100,000 to $250,000 in 3 years

Revenue that grows from $100,000 to $250,000 over three years compounds at 35.7% a year: (250,000 ÷ 100,000)1/3 − 1 = 2.51/3 − 1.

Default inputs of the calculator above. Change any input to run your own numbers.
ItemValue
Beginning value$100,000
Ending value$250,000
Number of periods3 years
Growth multiple (250,000 ÷ 100,000)2.50×
Total growth150.0%
Absolute change$150,000
Average change per period$50,000
Value after year 1 / year 2 at the CAGR$135,721 / $184,202
CAGR35.7%

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Frequently asked questions

How do you calculate CAGR?
Divide the ending value by the beginning value, raise the result to the power of 1 divided by the number of years, then subtract 1. For $100,000 growing to $250,000 in 3 years: (250,000 ÷ 100,000)1/3 − 1 = 35.7%. More on the metric in what is CAGR.
What is the CAGR formula in Excel?
With the beginning value in A2, the ending value in B2 and the number of years in C2, use =(B2/A2)^(1/C2)-1, or the built-in =RRI(C2,A2,B2). Both return 0.357 for the example above; format the cell as a percentage.
What is the difference between CAGR and average annual growth?
The simple average of yearly growth rates ignores compounding and overstates growth when results swing. A year of +100% followed by a year of −50% averages +25%, but you end where you started, so the CAGR is 0%.
Can I use CAGR for monthly growth?
Yes. Enter months as the number of periods and the result is a compounded monthly growth rate, often called CMGR. To turn a monthly rate into an annual one, use (1 + monthly rate)12 − 1.
What does a negative CAGR mean?
The value shrank over the period. Going from $250,000 down to $100,000 over 3 years is a CAGR of −26.3%, the steady yearly decline that gets you from start to end.
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Adlega. "CAGR Calculator: Formula, Example and Excel." Updated October 22, 2026. https://adlega.com/blog/tools/cagr/

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<a href="https://adlega.com/blog/tools/cagr/">CAGR Calculator: Formula, Example and Excel</a> (Adlega, updated October 22, 2026)

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