Return on Investment (ROI) Calculator

Return on investment (ROI) is a percentage showing how much profit was made relative to the amount invested. It is the most widely used metric for comparing the performance of investments such as stocks, real estate, and funds.

Enter the investment principal and the current (or sale) value to instantly get the return rate. A positive value means profit; a negative value means loss.

For example, if you invest $1,000 and it grows to $1,200, the ROI is 20% — a 20% gain on the investment.

Return on Investment (ROI) Calculator

Return on Investment (ROI) Calculator Calculation Method

ROI = (V_final - V_initial) / V_initial × 100
The return on investment (ROI) is 0 %.

About This Calculator

Return on investment (ROI) expresses profit as a percentage of the money you put in, making investments of different sizes directly comparable. It is the fastest way to answer "did this investment pay off?".

Enter your invested amount and the current or sold value to see the profit and the ROI percentage.

Return on investment compares profit to the capital committed, and the same absolute gain can look very different: 100 profit on 1,000 is 10 %, but on 10,000 it is 1 %. Time matters just as much — 10 % total over five years is only about 1.9 % a year compounded.

Key Formula:ROI (%) = (Current value − Invested amount) / Invested amount × 100

Frequently Asked Questions

What is a good ROI?

Long-term stock-market ROI has historically averaged roughly 8–10% a year in nominal terms, so anything above that is strong. But ROI must be read alongside the holding period and the risk taken — a 20% gain in one year and in ten years are very different.

Does ROI account for the time invested?

No — plain ROI ignores duration. For example, $100 → $110 is 10% whether it took one year or five. Use annualized return (CAGR) to compare investments held for different lengths of time.

What is the difference between ROI and CAGR?

ROI measures total gain over the holding period without regard to time; CAGR spreads that gain into a smooth annual rate. Two investments returning 50 % are very different if one took two years and the other fifteen.

Should ROI include fees and taxes?

Yes, for a realistic figure. Include commission, spread and the tax charged on sale. A 0.2 % round-trip cost can erase a large share of the return when holding periods are short.

Sources & last update

2026-10-19