Stock Growth And Dividend Calculator

Total Return Formula:

\[ \text{Total Return %} = \frac{\text{End Price} - \text{Start Price} + \text{Dividends}}{\text{Start Price}} \times 100 \]

Total Return:

Unit Converter ▲

Unit Converter ▼

From:	To:

1. What Is Total Return?

Total Return measures the overall performance of an investment, including both capital appreciation (price changes) and income (dividends). It provides a comprehensive view of investment performance over a specific period.

2. How Does The Calculator Work?

The calculator uses the Total Return formula:

\[ \text{Total Return %} = \frac{\text{End Price} - \text{Start Price} + \text{Dividends}}{\text{Start Price}} \times 100 \]

Where:

\( \text{Start Price} \) — Initial stock price (currency)
\( \text{End Price} \) — Final stock price (currency)
\( \text{Dividends} \) — Total dividends received during the period (currency)

Explanation: This formula calculates the percentage return that includes both price appreciation and dividend income, providing a complete picture of investment performance.

3. Importance Of Total Return Calculation

Details: Total Return is essential for accurately comparing investment performance, evaluating portfolio returns, and making informed investment decisions. It accounts for all sources of return, not just price changes.

4. Using The Calculator

Tips: Enter the starting price, ending price, and total dividends received in the same currency. All values must be positive numbers with the start price greater than zero.

5. Frequently Asked Questions (FAQ)

Q1: Why is Total Return better than just looking at price change?
A: Total Return includes both capital gains and dividend income, providing a complete picture of investment performance rather than just price appreciation.

Q2: What currency should I use for the calculations?
A: Use any consistent currency for all three inputs. The calculator will work with any currency as long as all values are in the same currency unit.

Q3: Should I include reinvested dividends?
A: This calculator uses simple dividends. For compound returns with reinvested dividends, you would need a different calculation method.

Q4: What time period does this cover?
A: The calculator covers any time period you choose - daily, monthly, yearly, or any custom period. Just ensure all prices correspond to the same period.

Q5: Can negative returns be calculated?
A: Yes, if the end price plus dividends is less than the start price, the calculator will show a negative percentage return.