ROI Calculator
Compare a gain or loss with the amount invested, using either final value or an already calculated gain.
Return on investment
Initial cost must be positive. Amounts use one currency. Taxes, timing, ongoing cash flows and risk are not inferred; include costs and returned cash consistently. ROI is not annualized.
Formula checked · NumberSwift · Review process
For informational purposes only. Results are estimates and do not constitute financial advice.
How this calculator works
ROI expresses net gain as a percentage of the initial total cost. Include relevant acquisition expenses in that cost. If using final value, include returned cash or proceeds that belong in your comparison and avoid counting them twice. A gain input already represents final value minus cost. This is a total return, not an annualized return: a 25% gain over one month and over five years have the same simple ROI but very different time profiles.
Formula
Gain = final value − initial cost. ROI (%) = gain ÷ initial cost × 100.
Assumptions & limitations
Initial cost must be positive. Amounts use one currency. Taxes, timing, ongoing cash flows and risk are not inferred; include costs and returned cash consistently. ROI is not annualized.
Worked example
An initial cost of 1,000 and final value of 1,250 give a gain of 250 and ROI of 25%. A final value of 750 gives a loss of 250 and ROI of −25%.
Our approach to calculations ↗Common questions
Why is a zero initial cost rejected?
ROI divides gain by cost, so a zero denominator does not yield a defined finite percentage.
Can ROI be below −100%?
Yes, if entered net losses exceed initial cost, such as an obligation represented by negative final value. Check that your amounts describe the same comparison.
Is ROI an annual return?
No. It does not use elapsed time. Investment Growth models a chosen annual-return scenario instead.