ROI Calculator

Measure the profitability of your investments with our free Return on Investment (ROI) calculator. Simply enter the amount you invested and the amount you got back to instantly calculate your net profit and ROI percentage. This essential tool helps you evaluate the performance of stocks, real estate, business projects, and more. Explore more financial tools on CalculatorBolt.

Calculate ROI

The total amount you initially invested
The total value you received back

Preset Scenarios

Annualized ROI

Calculate the yearly rate of return for investments held over multiple years.

Enter the number of years the investment was held

Export/Import

How to Calculate ROI

Return on Investment is a key metric used to evaluate the efficiency of an investment. The formula is simple: ROI = ( (Net Profit / Cost of Investment) ) × 100. Our calculator does the math for you, providing a clear percentage that represents your return.

Inputs Explained

  • Amount Invested: The total amount of money you initially put into the investment.
  • Amount Returned: The total value you received from the investment, including your original capital.

Example

If you invested $5,000 in a stock and later sold your shares for $6,500:

  • Net Profit: $6,500 - $5,000 = $1,500
  • ROI Calculation: ($1,500 / $5,000) × 100 = 30.00%

Understanding Annualized ROI

Standard ROI is great for a single period, but what if one investment took two years to return 30% and another took only one year? The Annualized ROI, found in the advanced options, allows you to compare investments with different timeframes on an equal, per-year basis.

FAQs

A "good" ROI is subjective and depends on the investment type, risk tolerance, and market conditions. Generally, a positive ROI is better than a loss, and investors aim for an ROI that exceeds the average market return.

Profit (or Net Gain) is the absolute amount of money you've made (e.g., $1,500). ROI is the profit expressed as a percentage of the initial investment (e.g., 30%), which makes it easier to compare different investments of different sizes.

For multiple years, it's best to use the Annualized ROI. This accounts for the effect of compounding and provides a standard yearly rate of return.

No. This is a simple ROI calculator. For a more accurate picture, you should subtract any transaction fees, commissions, or taxes from your Amount Returned before calculating.

Yes, a negative ROI indicates a loss on your investment. For example, if you invested $5,000 and only got back $4,000, your ROI would be -20%.

Annualized ROI is the yearly rate of return, adjusted for the time period of the investment. It allows you to compare investments with different time horizons on an equal basis.

Disclaimer

This calculator provides an estimate for informational purposes only. It does not account for all factors like taxes, inflation, or transaction fees. All investments carry risk. This tool is not a substitute for professional financial advice. Consult with a qualified financial advisor before making any investment decisions.

Related Calculators

Author: CalculatorBolt Editorial Team
Reviewed by: Financial Advisor
Published: Updated: