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Stock Return Calculator
Calculate the total return and annualized (CAGR) return on any stock investment, including dividends received.
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Total Return
Annualized Return (CAGR)
Total Gain/Loss
Calculated in your browser. We never see your numbers.
How to Use This Calculator
Enter your initial investment amount, the final value of your investment, and how many years you held it. Optionally add any dividends you received during the holding period. Click Calculate to see your total return percentage, annualized CAGR, and the absolute dollar gain or loss. All calculations run locally in your browser — no data is sent to any server.
Stock Return Formulas
Total Gain/Loss = Final Value + Dividends − Initial Investment.
Total Return = Total Gain/Loss ÷ Initial Investment (expressed as a percentage).
Annualized Return (CAGR) = ((Final Value + Dividends) ÷ Initial Investment)^(1 ÷ Years) − 1.
For example, investing $10,000 that grows to $15,000 with $500 in dividends over 5 years gives a total return of 55% and a CAGR of approximately 9.64% per year.
Understanding Your Results
The total return shows your overall percentage gain or loss including dividends. The annualized return (CAGR) converts this into a per-year figure, making it easy to compare investments held for different lengths of time. The total gain/loss shows the actual dollar amount you made or lost. A positive gain/loss means your investment was profitable; a negative value means you lost money.
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Frequently Asked Questions
What is total return on a stock investment?
Total return measures your overall gain or loss on an investment as a percentage of your initial investment. It includes both price appreciation (or depreciation) and any dividends received. For example, if you invested $10,000 and your investment is now worth $15,000 with $500 in dividends collected, your total return is ($15,000 + $500 − $10,000) / $10,000 = 55%. Total return gives you a complete picture of your investment performance.
What is annualized return (CAGR) and why does it matter?
Annualized return, also called Compound Annual Growth Rate (CAGR), tells you the steady annual rate at which your investment would have grown to reach its final value. It makes different investments comparable regardless of holding period. For example, doubling your money in 5 years represents a ~14.9% CAGR, while doubling in 10 years is only ~7.2% CAGR. The formula is: CAGR = (Final Value / Initial Investment)^(1 / Years) − 1.
Should I include dividends when calculating stock return?
Yes — for an accurate picture of your total investment return, you should include all dividends received. Dividends are a real component of investment performance. A stock that pays no dividend but appreciates from $100 to $150 has the same total return as a stock that pays $10 in dividends and appreciates from $100 to $140. Many investors underestimate returns by ignoring dividends, which can account for 30–40% of long-term equity returns historically.
What is a good annualized return for stock investments?
The S&P 500 has historically returned approximately 10% per year on average before inflation (about 7% after inflation). A CAGR above 10% is generally considered excellent for a diversified portfolio. Individual stocks can vary widely — some may return 20%+ annually for a period while others may decline. Comparing your annualized return to a benchmark like the S&P 500 is a useful way to evaluate performance.
What is the difference between simple return and CAGR?
Simple return (total return) measures your gain as a percentage of the initial investment without accounting for time. CAGR adjusts for the length of the holding period by expressing returns as an equivalent annual rate. For example, a 50% total return over 5 years is not the same as earning 10% per year — because of compounding, the equivalent annual rate is actually about 8.45% (CAGR). CAGR is better for comparing investments held for different time periods.
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