ROI Calculator
Calculate Return on Investment, annualized ROI, and net profit.
100% Client-Side
ROI
+50.00%
Annualized ROI
+14.47%
Net Profit
+$5,000.00
What is ROI Calculator?
An ROI (Return on Investment) calculator measures the profitability of an investment by comparing the gain or loss relative to its cost. It's a universal metric used for evaluating stocks, business projects, marketing campaigns, real estate, and any expenditure expected to generate returns.
How to Use
- Enter the initial investment cost
- Enter the final value or total returns received
- Optionally enter the investment duration for annualized ROI
- View the ROI percentage, net profit, and annualized return
Formula
ROI = ((Final Value - Initial Cost) / Initial Cost) x 100
Frequently Asked Questions
- What is a good ROI?
- It depends on the investment type. The stock market historically averages 7-10% annually. Real estate averages 8-12%. For business projects, an ROI above 15-20% is generally considered strong.
- How is ROI different from profit?
- Profit is an absolute dollar amount. ROI is a percentage that relates profit to the amount invested. A $1,000 profit means very different things on a $5,000 vs. $100,000 investment.
- What is annualized ROI?
- Annualized ROI adjusts the return to a per-year basis, allowing fair comparison between investments held for different time periods. A 50% return over 5 years is about 8.4% annualized.