CAGR

Abbr. The compound annual growth rate is the average annual growth rate of a value over a certain period of time, taking into account the effect of compound inte­rest. This key figure is often used to analyze the deve­lo­p­ment of sales, profits or returns. It is parti­cu­larly suita­ble for compa­ring the growth dyna­mics of diffe­rent compa­nies, invest­ments or time periods.