ROI Calculator
Calculate return on investment and annualized ROI for any investment.
About the ROI Calculator
Return on Investment (ROI) is the universal yardstick for whether something was worth the money. The AlarmDaddy ROI Calculator computes both total ROI and annualized ROI, so you can fairly compare investments held for different lengths of time.
Enter the amount you invested, the amount you got back, and how long you held it. The calculator shows your net gain, your total ROI as a percentage, and your annualized ROI — the steady yearly rate that would produce the same result. Annualized ROI is the honest way to compare a deal that doubled in ten years against one that grew 50% in two years.
How to use this calculator
- 1Enter the amount invested.
- 2Enter the amount returned.
- 3Enter the holding period in years.
- 4Read your net gain, total ROI, and annualized ROI.
The formula
Total ROI measures the overall percentage gain relative to what you put in. Annualized ROI converts that into an equivalent constant yearly growth rate using the compound-growth root, which makes investments of different durations directly comparable.