Mar 25, 2023
Hi Fabio, thanks for the compliment. Yes, I think CAGR is acceptable for growth rate too. It's probably superior to the average growth rate when doing an earnest comparison between companies.
My preference is to stick to averages because it's easier for me to calculate in my head. I'm also not very precise with growth rates because I tend to weigh the most recent year's growth more highly than precious years.
My learnings from Warren Buffett is that he calculates most companies in his head rather than use a calculator or a spreadsheet, so I try to emulate that too.