To extrapolate a value so that it reflects an expected or approximate total...

Take a measurement covering a period of less than one year, and extrapolate it to cover a full year.

To make a period of less than a year apply to a full year to facilitate comparative analysis. For example, to annualize quarterly results, you multiply them by four. This can lead to incorrect assumptions when employed for analyzing companies in industries with strong seasonal or cyclical sales trends.

To make a period of less than a year apply to a full year, usually for purposes of comparison. For instance, a portfolio turnover rate of 36% over a six-month period could be converted to an annualized rate of 72%.

To convert a weekly, monthly, or other periodic amount to its annual equivalent by multiplying the amount by the number of periods in a year. For example, if a mutual fund earns 1% in a month, its annualized return would be 12% (calculated by multiplying the monthly return by 12).

converting to an annual basis, e.g., a mutual fund returning 0.5% a month returns 6% on an annualized (yearly) basis.