accounting calculators

Return on Investment (ROI) Calculator

Calculate ROI percentage and annualized returns for investments and business projects

About this calculator

The Return on Investment (ROI) Calculator helps investors and business professionals evaluate the profitability of their investments and projects. This powerful tool calculates both simple ROI percentage and annualized returns, allowing you to compare different investment opportunities on an equal basis. Whether you're analyzing stocks, real estate, business ventures, or capital projects, this calculator provides essential metrics to make informed financial decisions and optimize your investment portfolio performance.

How to use

Enter your initial investment amount and the final value of your investment. Add the investment duration in years or months. The calculator will instantly compute your total ROI percentage and annualized return rate, showing how much your investment has grown over time and its yearly performance.

Frequently asked questions

What's the difference between ROI and annualized return?

ROI shows total percentage gain over the entire investment period, while annualized return calculates the average yearly growth rate.

Can I use this calculator for negative returns?

Yes, the calculator works for losses too. Simply enter a final value lower than your initial investment amount.

How accurate is the annualized return calculation?

The calculator uses the compound annual growth rate (CAGR) formula, providing precise annualized returns for any time period.