Perpetuity Value Calculator

About this calculator

This calculator finds the present value of a perpetuity — a stream of equal payments that continues forever — using the simple formula PV = C / r, where C is the periodic payment and r is the discount rate per period. Because payments stretch to infinity, the formula collapses into this one division instead of summing an endless series.

Finance students use it to understand the building block behind dividend discount and bond valuation models, and analysts use the same logic (often a growing-perpetuity variant) to value assets like preferred stock or a business's terminal value in a discounted cash flow model.