Example
You buy 50 shares at $120 ($6,000) and sell at $155 ($7,750). With no fees, your profit is $1,750 and your ROI is 29.2%. If you held the shares for two years, that is an annualized return of about 13.7%.
Short-term vs long-term gains
In the US, how long you held a stock changes the tax. Shares held for more than a year are long-term and taxed at 0%, 15% or 20% depending on your income. Shares held a year or less are short-term and taxed at your regular income tax rate. The calculator shows your holding period when you enter dates.
Tips for tracking trades
- Keep your cost basis for every purchase, including reinvested dividends.
- Include all fees, including currency conversion on foreign stocks.
- Compare your annualized return with an index fund to judge how a pick really did.
Trading options or crypto? Use the options profit calculator or the crypto profit calculator. For long-term growth, see the CAGR calculator.
Last reviewed October 2026.
Frequently asked questions
How do I calculate profit on a stock?
Profit = (sell price × shares − sell fees) − (buy price × shares + buy fees). Return on investment (ROI) is that profit divided by what you paid in total, times 100.
What is the break-even price?
It is the sell price at which you exactly get back what you spent, including commissions and fees on both the buy and the sell. Below it you lose money; above it you make a profit.
What is annualized return?
Annualized return shows what your gain equals as a yearly rate, so you can compare a 20% gain over 3 years with a 10% gain in 6 months. It is calculated as (1 + total return)^(1 ÷ years) − 1.
Are stock profits taxed?
Yes, when you sell for a gain in a taxable account. Holding more than one year usually qualifies for lower long-term capital gains rates (0%, 15% or 20% federally). Gains on shares held one year or less are taxed as ordinary income. Retirement accounts like IRAs follow different rules.
Do dividends count?
This calculator focuses on price change and fees. If you received dividends, add them in the "Dividends received" box to include them in your total profit.