Use this free ROI Calculator to estimate return on investment, profit or loss, and annualized ROI. It is designed to give a quick snapshot of how an investment performed over time.
Enter your initial investment cost, final value, and optional time period in years. The calculator will estimate profit, ROI percentage, and an annualized return when time is provided.
Results are estimates for general informational use and do not replace professional financial analysis or advice.
ROI stands for Return on Investment. It is a simple metric used to measure how much profit or loss was generated relative to the original cost of an investment.
ROI is often used to compare projects, business initiatives, advertising campaigns, stocks, and other investments.
The basic formula is:
ROI = (Profit ÷ Investment Cost) × 100
Profit is calculated as the final value minus the original investment cost.
Annualized ROI shows the average yearly return over a period of time. This can be more useful than basic ROI when comparing investments held for different lengths of time.
For example, a 50% return over 2 years is not the same as a 50% return in 1 year. Annualized ROI helps normalize that difference.
This tool is designed to be fast, simple, and easy to use on desktop or mobile devices.
A negative ROI means the final value is lower than the original investment cost, resulting in a loss.
Break-even means the final value is equal to the investment cost, so the ROI is 0%.
It helps compare investments over different time horizons by converting the result into an average yearly rate.
Yes. The calculator uses plain numbers, so it can work with dollars, euros, pounds, pesos, or other currencies.