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Best Practice

CAGRs in Line Charts

Line charts show trend and don't usually have values associated with the lines, but sometimes it's beneficial to add in compound annual growth rates (CAGRs) to help deliver a message. The example below is a good way to break out a section of chart and add in the numbers. The figures in the circle are a the individual pieces of the CAGR graphics: dashed horizontal line, solid arrow line indicating plus or minus CAGR figures and a polygon drawn to match the line on top (or bottom if it is a downward-sloping line), a vertical lift or drop on the right side, and a straight horizontal bottom (or top if if it is a downward-sloping line). This will help your audience determine the exact area to which the CAGR refers. The word "CAGR" on the right side of the upward-pointing arrow in the example can be replaced with the actual percentage. There's no need to put a "+" or "-" before the percentage amount because the arrow communicates whether it is a gain or loss.