ROI Calculator

Calculate return on investment from the gain and cost of an investment.

Scratchpad (not saved)

$

Total cost of the investment

$

Total value received from the investment

years

How long the investment was held

What This Calculator Does

Calculate return on investment from the gain and cost of an investment.

It combines Investment Cost, Investment Return (Total Value), Holding Period to estimate ROI, Annualized ROI, Gain / Loss.

Formula & Method

Core equations: Return on investment: ROI = \frac{\text{Total Return} - \text{Cost}}{\text{Cost}} \times 100 Annualized ROI accounts for the holding period: ROI_{annual} = \left(\frac{\text{Total Return}}{\text{Cost}}\right)^{1/t} - 1 where t is the number of years. Inputs are applied in base units, then derived metrics are computed from the same equations and rounded for display.

Notation used in the formulas: R = ROI; x_{1} = Investment Cost; x_{2} = Investment Return (Total Value); x_{3} = Holding Period.

Method summary: inputs are normalized to consistent units, core equations are evaluated, then secondary values are derived and rounded for display.

Use this calculator for quick scenario analysis. Start with baseline values, change one driver at a time, and compare how sensitive the results are to each input shown above.

Inputs Used

  • Investment Cost: Total cost of the investment
  • Investment Return (Total Value): Total value received from the investment
  • Holding Period: How long the investment was held

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