Compound Annual Growth Rate (CAGR) Calculator
Compound Annual Growth Rate (CAGR) Calculator Explained:
(a) What is this? A calculator that tells you the "year over year" growth rate over a specified time.
(b) What does it tell me? This calculation determines the compound growth rate over a number of years. In effect it helps smooth out the returns to give you an average annual growth over a number of years.
(c) Why should I use it? To understand the compound growth of a business, category or product over a number years.
(d) Caution: This is typically used for assessing investments annually. It is a useful measure in retail, but should be used with care as the results per annum can vary significantly. It is recommended that the individual annual performance is also considered. You use the calculator at your own risk.