iHow it is calculated
ROI (return on investment) is found by comparing the profit to the initial investment:
From 1,000 to 1,500: profit 500, ROI = (1,500 − 1,000) ÷ 1,000 × 100 = 50%; over 3 years, a CAGR of ≈ 14.5% per year.
Find your investment’s return: the profit, total ROI and annualized return (CAGR), from the amount invested and the final value.
Enter your data
Enter the amount invested, the final value and the period. See the profit, total ROI and annualized return (CAGR).
ROI is the total return over the whole period, and CAGR is the annualized average return (accounting for compounding). It excludes inflation and taxes.
Total return (ROI) +50% · Annualized return (CAGR) +14.47% · Profit 500 RONStandard financial formulas (time value of money). Instant in-browser calculation, no account, no data sent. Interest rates are indicative — check the bank’s actual offer.
ROI (return on investment) is found by comparing the profit to the initial investment:
From 1,000 to 1,500: profit 500, ROI = (1,500 − 1,000) ÷ 1,000 × 100 = 50%; over 3 years, a CAGR of ≈ 14.5% per year.
ROI measures how much you gained relative to how much you invested, expressed as a percentage. It is the simplest indicator of an investment’s profitability.
ROI = (final value − initial investment) ÷ initial investment × 100. For example, from 1,000 to 1,500: (1,500 − 1,000) ÷ 1,000 × 100 = 50%.
ROI is the total return over the whole period, regardless of duration. CAGR is the average return per year, which allows a fair comparison of investments with different durations.
It depends on risk and alternatives. ROI is always assessed relative to the period and other options; a stock return is compared with the market average, not in absolute terms.
No. A 50% ROI in 1 year is far better than the same 50% in 10 years. To compare across different durations, use the annualized return (CAGR).
Add the gains (rent received plus value appreciation) and subtract all costs (purchase, taxes, renovations, maintenance), then divide by the total investment.
Yes. If the final value is lower than the initial investment, ROI is negative and indicates a loss. For example, from 1,000 to 800 gives an ROI of −20%.
Compare them over the same period. If the durations differ, convert ROI into an annualized return (CAGR) for a fair comparison between the two.