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ROI Calculator

Calculate return on investment, net profit and annualized return.

roi.exe
$
$
$
yr

Net profit

$4,000.00

ROI

40.00%

Annualized ROI (CAGR)

18.32%

Total invested

$10,000.00

How to use ROI Calculator

  1. 01Enter what you put in, including any additional costs or fees.
  2. 02Enter what the investment is worth now, or what you sold it for.
  3. 03Add the holding period to see the annualized return alongside the headline figure.

About ROI Calculator

ROI is net profit divided by total cost. Its weakness is that it ignores time: doubling your money is a 100% return whether it took one year or ten, and those are completely different investments.

That is what the annualized figure fixes. Compound annual growth rate expresses the return as the steady yearly rate that would produce the same result, which is the only fair way to compare a two-year holding against a ten-year one. Include fees and costs in the investment figure or the return will read better than it was.

Frequently asked questions

What is a good ROI?
It depends on the risk and time frame. The broad stock market has averaged roughly 10% a year before inflation.
What is CAGR?
The constant annual growth rate that would turn your starting amount into the final value over the same period.
Should I include fees?
Yes. Add them to your costs, otherwise the return is overstated.

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