Calculate return on investment (ROI) percentage, net profit, and annualized ROI. Perfect for comparing investment performance.
ROI = (Final Value − Initial Cost) ÷ Initial Cost × 100%
Annualized ROI = ((Final Value ÷ Initial Cost)^(1/years) − 1) × 100%ROI equals final gain minus initial cost, divided by initial cost, expressed as a percentage. Annualized ROI adjusts for the investment holding period.
Calculate Return on Investment (ROI) as a percentage of your initial cost. Enter the investment amount and final value — or net profit — to see ROI and annualized return.
ROI = (Net Profit ÷ Cost of Investment) × 100. For example, if you invest $1,000 and receive $1,250 back, your net profit is $250 and ROI is 25%. This tells you efficiency — how much you gained relative to what you put in.
Total ROI ignores time. A 50% ROI over 10 years is much less impressive than 50% over 1 year. Annualized ROI (CAGR) adjusts for time, making different investments comparable. This calculator shows both.
A 100% ROI means you doubled your money — you gained an amount equal to your original investment. An ROI of 50% means you gained half of your investment.
Basic ROI is time-independent — it just compares gain to cost. For time-adjusted comparisons, use Annualized ROI or CAGR, which accounts for how long the investment took.
How to Calculate ROI (Return on Investment)