Compound Annual Growth Rate (CAGR) Calculator
The Compound Annual Growth Rate (CAGR) is a popular metric used to measure the average annual growth rate of an investment or business metric over a specified period of time. It smooths out volatility and provides a single, representative growth rate. CAGR is particularly useful for comparing the performance of different investments with varying timeframes.
Formula:
CAGR = (Ending Value / Beginning Value)^(1 / Number of Years) – 1
Calculate CAGR
#cagr-calculator {
font-family: sans-serif;
border: 1px solid #ccc;
padding: 20px;
border-radius: 8px;
max-width: 400px;
margin: 20px auto;
background-color: #f9f9f9;
}
.calculator-inputs {
margin-bottom: 15px;
}
.input-group {
margin-bottom: 10px;
display: flex;
align-items: center;
justify-content: space-between;
}
.input-group label {
margin-right: 10px;
font-weight: bold;
}
.input-group input[type="number"] {
padding: 8px;
border: 1px solid #ccc;
border-radius: 4px;
width: 120px;
}
#cagr-calculator button {
padding: 10px 15px;
background-color: #007bff;
color: white;
border: none;
border-radius: 4px;
cursor: pointer;
font-size: 16px;
margin-bottom: 15px;
}
#cagr-calculator button:hover {
background-color: #0056b3;
}
.calculator-result {
margin-top: 15px;
padding-top: 10px;
border-top: 1px solid #eee;
font-size: 1.1em;
text-align: center;
}
.calculator-result span {
font-weight: bold;
color: #28a745;
}
function calculateCAGR() {
var beginningValue = parseFloat(document.getElementById("beginningValue").value);
var endingValue = parseFloat(document.getElementById("endingValue").value);
var numberOfYears = parseInt(document.getElementById("numberOfYears").value);
var cagrOutputElement = document.getElementById("cagrOutput");
if (isNaN(beginningValue) || isNaN(endingValue) || isNaN(numberOfYears)) {
cagrOutputElement.textContent = "Invalid input";
return;
}
if (beginningValue <= 0 || numberOfYears <= 0) {
cagrOutputElement.textContent = "Inputs must be positive";
return;
}
var cagr = Math.pow((endingValue / beginningValue), (1 / numberOfYears)) – 1;
if (isNaN(cagr) || !isFinite(cagr)) {
cagrOutputElement.textContent = "Calculation error";
return;
}
cagrOutputElement.textContent = (cagr * 100).toFixed(2) + "%";
}