Annual CAGR OF ANY STOCK | DIFFERENCE IN ANNUAL CAGR FOR DIFFERENT YEAR RANGE

Varunkmrgarg
2 min readJan 24, 2021

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In stock market it is often said that if you invest for very long period of time in a share your wealth will become multiple times, say 100 times in 20 years .

But the story is not true if we invest in different time range . I want to tell you that if a share you bought way back in 1990 so from its current situation it can be said that the share is doubling every 2 years . But if you have bought the same share in 2000 then from the current situation it may not be said that it is doubling every 2 year ,it may be taking 3 or 4 year to double the share . This is because the company’s annual growth rate changes (decrease)every year and so does the cagr of stock price .

For example,

This is the chart for the amazon stock . As you can see the share price

Here in the code the annual cagr of amazon is 18% on 20 year time frame

code for 20 year cagr of amazon share

This is the chart for the amazon stock . As you can see the share price

Here in the code the annual cagr of amazon is 18% on 20 year time frame

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Varunkmrgarg
Varunkmrgarg

Written by Varunkmrgarg

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