ROI Calculator
Measure return on any investment: total profit, percentage ROI, and the annualized CAGR that lets you compare deals held for different lengths of time. Works for stocks, real estate, and business projects — gains or losses.
How to Use
- Enter the original investment cost (everything you put in).
- Enter the final value — what the investment is worth today or sold for.
- Enter the number of years you held it so the tool can annualize the return.
- Read the results: dollar profit, total ROI percentage, and the annualized CAGR.
- Compare CAGR across deals of different lengths — it is the apples-to-apples figure.
Show Work
Formulas
About the ROI Calculator
Whether you are at a desk or on your phone, the ROI Calculator makes personal-finance and money decisions easy — and it is completely free. Measure return on any investment: total profit, percentage ROI, and the annualized CAGR that lets you compare deals held for different lengths of time. Works for stocks, real estate, and business projects — gains or losses.
How it works
Type your numbers into the boxes. The answer shows up right away — you do not have to press a button. If you change a number, the answer changes too. So you can try different numbers and watch what happens, or check an answer you worked out yourself. Just make sure each box has the right kind of number in it.
Want the deeper story? The Knowledge Base explains the ideas behind the tools in more detail.
Frequently Asked Questions
What is the difference between ROI and CAGR?
ROI is the total percentage return over the whole holding period — final value minus cost, divided by cost. CAGR (compound annual growth rate) smooths that same return into an equivalent yearly rate. A 50% ROI over 3 years is about 14.5% CAGR. Use ROI to see total profit and CAGR to compare investments held for different lengths of time.
Should I include fees and taxes in the cost?
For the most accurate ROI, add transaction fees, commissions, and any capital improvements to your cost basis, and use the after-tax proceeds as the final value. The headline ROI on the purchase price alone usually overstates your real return. This tool computes the math on whatever numbers you enter, so include the costs that matter to you.
How do I show a loss?
Enter a final value lower than the cost. The profit and ROI will come back negative, which correctly represents a loss. CAGR is only shown when the final value is positive, since a negative ending value has no meaningful annual growth rate.
Does ROI account for cash flows along the way?
No — basic ROI assumes a single amount in and a single amount out. If your investment pays dividends, rent, or interim distributions, those cash flows are not captured here. For investments with multiple cash flows over time, use the IRR Calculator instead, which solves for the rate that ties all the flows together.
What counts as a good ROI?
It depends entirely on risk and time. The S&P 500 has averaged roughly 7-10% annualized over the long run, so a CAGR above that is strong for comparable risk. Always weigh return against how much risk you took and whether the figure is realistic and repeatable, not a one-off.
How do I use the ROI Calculator?
Just type your numbers. The answer shows up right away — there is no button to press. Change anything and it updates by itself.
Is it free? Does it work without internet?
Yes to both. It is free with no sign-up, and once the page has loaded it keeps working even with no internet.
Where does my data go?
Nowhere — every calculation runs on your own device. Nothing you enter is uploaded, logged, or stored.
Common Use Cases
Comparing two investments
Run each deal through the tool and compare CAGR side by side, even when one was held 3 years and the other 8.
Evaluating a stock you sold
Plug in your purchase price, sale price, and years held to see the true annualized return on a closed position.
Sizing up a real estate flip
Include purchase price plus renovation costs as the cost and the sale price as final value to see the project ROI.
Setting a target sale price
Work backward from a desired ROI by adjusting the final value until the percentage hits your goal.
Reviewing a business project
Compare the total cash invested in an initiative against the value it generated to judge whether it paid off.
Last updated: