In regression analysis, the **R-squared** value (R^{2}) is the proportion of the variance in the response variable that can be explained by the predictor variable.

Often you may want to display this R-squared value on a chart in Excel, similar to the chart below:

The following step-by-step example shows how to do so.

**Related:** What is Considered a Good R-squared Value?

**Step 1: Enter the Data**

First, let’s enter the following values for a predictor variable (x) and a response variable (y) in Excel:

**Step 2: Create a Scatter Plot**

Next, highlight the cell range **A2:B15**.

Then click the **Insert** tab along the top ribbon, then click the **Insert Scatter** icon in the **Charts** group and choose the first option to insert a scatter plot:

The following scatter plot will appear:

**Step 3: Add R-Squared Value to Scatter Plot**

Next, click anywhere on the scatterplot. Then click the plus (**+**) sign in the top right corner of the plot, then click the dropdown arrow next to **Trendline**, then click **More Options**:

In the **Format Trendline** panel that appears, check the boxes at the very bottom next to **Display Equation on chart** and **Display R-squared value on chart**:

The regression equation and the R-squared value will both now be shown in the scatter plot:

We can see that the R-squared value for this particular regression equation is **0.9302**, which tells us that **93.02%** of the variation in the response variable can be explained by the predictor variable.

**Step 4: Customize the Chart (Optional)**

Lastly, if you’d like to make the linear regression equation and the R-squared value easier to read, then you can make the font bold and remove the gridlines from the plot.

The final plot will look like this:

**Additional Resources**

The following tutorials explain how to perform other common operations in Excel:

How to Calculate R-Squared in Excel

How to Calculate Adjusted R-Squared in Excel

How to Perform Simple Linear Regression in Excel

How to Perform Multiple Linear Regression in Excel