ROI Calculator

ROI Calculator

Calculate your Return on Investment (ROI) to measure the profitability of your investments. Understand the percentage return relative to the investment cost.

Please enter valid investment
Please enter valid final value
Please enter valid period

ROI Analysis Results

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Analysis Breakdown:

Annualized ROI: 0%
Profit/Loss: 0
Total Growth: 0%

About

Our ROI Calculator helps investors and business owners measure the efficiency of an investment by comparing the magnitude of its returns to its cost.

Why Choose

Accurate calculations using standard financial formulas, instant results with detailed breakdowns, and comprehensive analysis including annualized returns.

Features

Calculate ROI percentage, net return, annualized ROI, profit/loss analysis, mobile-responsive design, and detailed result explanations.

Benefits

Compare investment efficiency, make informed financial decisions, understand investment performance, and evaluate business projects objectively.

1

Enter Investment Details

Input your initial investment amount, current or expected final value, and the investment period in years.

2

Calculate

Click calculate to instantly compute your ROI percentage, net return, and annualized ROI.

3

Analyze Results

Review detailed results including profit/loss, total growth, and annualized return for better investment decisions.

Frequently Asked Questions – ROI Calculator

What is ROI and why is it important?

ROI (Return on Investment) measures the profitability of an investment as a percentage of the original cost. It’s crucial for comparing investment efficiency, making financial decisions, and evaluating business performance.

How is ROI different from annualized ROI?

Basic ROI shows total return over the entire period, while annualized ROI calculates the average yearly return, making it easier to compare investments with different timeframes.

What’s considered a good ROI percentage?

A “good” ROI depends on the investment type and risk. Generally, 7-10% is good for stocks, 15-20% for businesses, and 20%+ for high-risk ventures. Always compare to industry benchmarks.

Can ROI be negative? What does it mean?

Yes, negative ROI means your investment lost money. It indicates the final value is less than the initial investment, resulting in a net loss rather than profit.

How should I use ROI in decision making?

Use ROI to compare investment options, prioritize projects, evaluate past decisions, and set performance benchmarks. Combine with other metrics like risk assessment for comprehensive analysis.