What is a ROI Calculator?
Return on Investment (ROI) is the most basic profitability measure: how much you gained or lost relative to what you put in, expressed as a percentage. It works for any asset — stocks, property, a business, gold — as long as you know what you started with and what it's worth (or was sold for) now.
This calculator shows both the total ROI over the whole period and, if you provide a holding period, the annualised return — which is what actually makes it comparable to other investments.
How ROI is calculated
The annualised figure restates the same gain as a compounded yearly rate using the CAGR formula, which is the number worth comparing across investments of different durations — a 50% ROI over 1 year is a very different result to a 50% ROI over 10.
Frequently asked questions
What’s the difference between ROI and CAGR?
ROI is the total, un-annualised gain over the whole period. CAGR (shown here as "annualised return") restates that same gain as a smoothed yearly rate — use ROI to see the total picture and CAGR to compare across different time periods.
Does ROI account for additional cash flows during the period?
No — this simple version assumes one initial amount and one final value. If you added or withdrew money at various points, use the XIRR Calculator instead.
Should I use pre-tax or post-tax values?
Either works as long as you’re consistent — use post-tax figures if you want your real, in-hand return.