Geometric Mean Calculator
The right average for growth rates and returns.
Work out Geometric Mean. The right average for growth rates and returns. Handles the cases the shortcuts get wrong.
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Geometric mean
42.426407
Arithmetic mean is 45
The geometric mean multiplies rather than adds, so it is the right average for things that compound — growth rates, returns, ratios. Averaging +50% and −50% arithmetically suggests you broke even; geometrically it correctly shows a loss, because 1.5 × 0.5 is 0.75.
How the Geometric Mean Calculator works
The geometric mean multiplies rather than adds, making it the right average for anything that compounds — growth rates, investment returns, ratios. Averaging +50% and −50% arithmetically suggests you broke even; geometrically it correctly shows a loss, because 1.5 × 0.5 is 0.75.
Also known as: average growth rate calculator · geometric mean formula · compound average return · how to calculate geometric mean
Frequently asked questions
What is the geometric mean?
The nth root of the product of n values. For 1, 2 and 4 it is the cube root of 8, which is exactly 2.
When should I use it instead of the arithmetic mean?
Whenever the values compound rather than add. Growth rates, returns and ratios all belong to the geometric mean; quantities that simply total up belong to the arithmetic.
Why does averaging +50% and −50% not give zero?
Because they compound. A 50% gain then a 50% loss leaves 0.75 of what you started with — a 25% loss overall, which only the geometric mean reveals.
Can it handle zero or negative values?
No. A zero makes the product zero and a negative makes the root undefined, so this page returns nothing rather than a misleading figure.
Put this calculator on your own site
Free to use, on any site, commercial or not. Paste this where you want it to appear. It is a plain iframe, so it works in WordPress, Squarespace, Wix, Webflow, Ghost and anything else that accepts HTML.
<iframe src="https://www.thecalclibrary.com/embed/geometric-mean-calculator" width="100%" height="640" style="border:1px solid #e2e8f0;border-radius:12px" loading="lazy" title="Geometric Mean Calculator"></iframe>The only condition is that the credit line stays visible. It sits inside the frame, so you do not have to do anything to keep it.