📈 ROI Calculator
Calculate return on investment, profit or loss, and annualized ROI from your investment and final value.
Return on Investment Calculator
The ROI Calculator measures the profitability of an investment by computing the return on investment percentage, the absolute profit or loss, and optionally the annualized return rate. ROI is the most widely used metric for evaluating investment performance.
Enter your investment amount and the final value to see your total return. If you know the investment period in years, the calculator also computes the annualized ROI, which allows you to compare returns across different timeframes on an equal basis.
Whether you are evaluating stocks, real estate, business ventures, or marketing campaigns, ROI gives you a clear, standardized measure of profitability. A positive ROI means the investment gained value, while a negative ROI indicates a loss.
Frequently Asked Questions
How is ROI calculated?
ROI is calculated as: ((Final Value - Investment Cost) / Investment Cost) × 100. For example, investing $10,000 and getting back $12,000 gives an ROI of ((12,000 - 10,000) / 10,000) × 100 = 20%.
What is annualized ROI?
Annualized ROI converts the total return into an average yearly rate, making it easier to compare investments held for different periods. It is calculated using the formula: ((Final/Initial)^(1/Years) - 1) × 100.
What is considered a good ROI?
A good ROI depends on the investment type and risk level. Stock market returns average 7-10% annually. Real estate typically returns 8-12%. High-risk investments may aim for 15%+ to compensate for the additional risk.