Revenue Growth & CAGR

How fast sales or profits have grown, averaged per year.

CAGR — compound annual growth rate — is the steady yearly rate that would take you from the starting figure to the ending one. It smooths out lumpy years into one comparable number.

Comparing a 3-year and a 5-year CAGR is informative on its own: if the 3-year rate is higher, growth is accelerating; if lower, it is fading.

Revenue growing at 15% over 3 years and 19% over 5 means growth has slowed somewhat from its earlier pace.

CAGR hides the path. Two companies with the same 5-year CAGR can have had wildly different journeys — one steady, one collapsing then recovering — and they are not equally risky.

Analysis only: Supath AI does not give investment advice. Consult a SEBI-registered financial advisor before making investment decisions.