Stock Return Calculator: Profit and Annualized Return
Find out how a share purchase performed by comparing what you paid with what the position is worth or sold for.
Adjust the inputs and select Calculate for a full breakdown.
Year-by-year value projection
Compare Common Scenarios
How the numbers shift across typical situations for this calculator:
| Scenario | Total ROI | Annualized ROI | Net profit |
|---|---|---|---|
| $5k · $9.5k · 6yr | 90.00% | 11.29% | $4,500.00 |
| $10k · $11k · 2yr | 10.00% | 4.88% | $1,000.00 |
| $8k · $6k · 4yr | -25.00% | -6.94% | -$2,000.00 |
| $20k · $52k · 10yr | 160.00% | 10.03% | $32,000.00 |
How This Calculator Works
Enter what you paid for the shares, including any brokerage commission, and the total you received when selling — or the position's current market value if you still hold it. Add the number of years held. The calculator returns your profit, the total return as a percentage, and the annualized return that lets you compare the trade with any other.
The Formula
Return on Investment
V_start = amount invested, V_end = amount returned; annualized ROI = (V_end / V_start)^(1/n) − 1
Worked Example
You buy $5,000 of a company's stock and sell six years later for $9,500. That is a $4,500 profit and a 90% total return. Annualized, the trade earned roughly 11.3% a year — a rate you can hold up against a broad market index over the same window.
Key Insight
A single stock's return says little without a benchmark. Comparing your annualized figure against a broad index return shows whether stock picking actually paid off, or whether a low-cost index fund would have done the same job with less company-specific risk.
Frequently Asked Questions
Should I include dividends in the amount returned?
Yes. Add any dividends received during the holding period to the sale value. Dividends are a real part of a stock's total return and ignoring them understates performance.
What if I still own the shares?
Enter the current market value of the position as the amount returned. The result is then an unrealized return — what you would have earned if you sold today.
Do brokerage fees affect the return?
They do. Include purchase commissions in the cost and subtract selling costs from the proceeds so the return reflects what actually reached your account.
How do I compare my return to the market?
Convert your trade to an annualized return and compare it with the annualized return of a broad index over the same years. Beating the index after costs is the real test.
Why is annualized return lower than total return?
Total return is the full gain; annualized return spreads it across every year held. A 90% total return over six years is a much more modest yearly rate once compounding is unwound.
Related Calculators
Data Sources & Benchmarks
This calculator draws on 3 independent, dated sources.
Methodology & Review
Return is measured from the purchase cost and the sale or current value of the shares. Total return is the gain over cost; annualized return is the equivalent constant yearly rate. Dividends and trading fees count only when included in the figures entered.
Written by Ugo Candido · Last updated May 17, 2026.