CAGR Calculator
Compute compound annual growth rate between any two values — the growth metric every market report runs on.
Free · No signup · By the analysts at Blackridge Research · Updated 2026-07-18
Inputs
Results
What this means
Adjust the inputs to calculate.
About the CAGR Calculator
CAGR — compound annual growth rate — is the single most quoted number in market research.
It answers: if growth had been perfectly smooth, what constant annual rate takes the starting value to the ending value?
Formula
CAGR = (Ending Value / Beginning Value)^(1/Years) - 1
- EV
- — Ending Value — the final value at the end of the period
- BV
- — Beginning Value — the starting value at the beginning of the period
- n
- — Number of years between the two values
How to use this calculator
- 1
Enter start and end values
Input the beginning value and ending value of your metric.
- 2
Set the time period
Enter the number of years between the two values.
- 3
Review the result
The CAGR is calculated instantly showing the annual growth rate.
Example calculations
Revenue growth calculation
A company's revenue grew from $10M to $25M over 5 years.
CAGR = (25/10)^(1/5) - 1 = 20.1%
- CAGR:
- 20.1%
- Growth multiple:
- 2.5×
- Doubling time:
- 3.8 years
A 20% CAGR means the company doubled in size in about 3.8 years.
Interpreting your results
CAGR is the most commonly used growth metric in investor presentations and market reports.
A CAGR of 10-15% is considered good for mature industries, while 20-30%+ is expected for high-growth tech companies.
Need the market data behind this calculator?
The CAGR Calculator is only as good as its inputs. Blackridge Research publishes syndicated market reports with vetted market sizes, growth rates, and competitive landscapes across 40+ industries — and builds custom studies when the shelf report doesn't exist.
Industry applications
Business
- Board reporting: express multi-year revenue, margin, and customer growth in CAGR terms.
- Target setting: 'double in five years' is a 14.9% CAGR.
- M&A screening: compare target growth against category CAGR.
Construction
- Construction output, cement demand, and project-pipeline values are tracked in CAGR terms across countries.
- A 7% construction CAGR against 3% GDP growth signals an infrastructure investment cycle.
Research
- Research firms publish forecasts with a CAGR; analysts sanity-check their own models.
- Historical CAGR over multiple windows (3, 5, 10 years) detects acceleration or deceleration.
Common mistakes to avoid
-
✗ Off-by-one in year counting
2026-2031 is n = 5 not n = 6.
-
✗ Assuming smoothness
CAGR deliberately erases volatility. A 12% CAGR market may have swung -8% to +30% by year.
-
✗ Cherry-picked base years
Starting the measurement in a crash year manufactures growth.
-
✗ Extrapolating forever
A rate observed over five years is not a law of nature.
Frequently asked questions
›What does a CAGR of 10% actually mean?
It means the value grew at a constant 10% annual rate over the period.
›Can CAGR be negative?
Yes, if the ending value is less than the beginning value.
›CAGR vs YoY growth — which should I quote?
CAGR for long-term comparisons; YoY for operational analysis.
›Does CAGR account for inflation?
No, CAGR is nominal unless the inputs are deflated.
Glossary
- CAGR:
- Compound Annual Growth Rate — the constant annual rate that carries the start value to the end value.
- Growth multiple:
- End ÷ Start — total growth expressed as a factor.
- Doubling time:
- Years to double at a given compound rate: ln(2) ÷ ln(1 + r).
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