Return on investment (ROI) measures how much profit you earned relative to what you invested. It is a simple way to compare the performance of different investments.
How to use this calculator
- Enter the amount you originally invested.
- Enter the current or final value of the investment.
- Review ROI percentage and dollar profit.
Formula
ROI = ((Final value − Initial investment) ÷ Initial investment) × 100. Profit equals final value minus initial investment.
Example
An investment that grows from $10,000 to $12,500 has a $2,500 profit and 25% ROI.
Frequently asked questions
- Does ROI include dividends?
- Include dividends in the final value if you want total return reflected in ROI.
- Is ROI the same as annual return?
- No. ROI is total return over the holding period unless you adjust for time separately.