How to use the stock profit calculator
- Enter the number of shares you bought and sold. Fractional shares are fine.
- Enter the buy price and sell price per share, and the commission you paid when buying and selling.
- Optionally add dividends you received and a tax rate on profit in the advanced options.
- Read the profit or loss, the percent return and the break-even sell price.
Formula
Total cost = shares x buy price + buying commission
Net proceeds = shares x sell price - selling commission
Profit = net proceeds - total cost + dividends
Return = profit / total cost x 100
Break-even sell price = (total cost + selling commission - dividends) / shares
Commissions are entered as dollar amounts for each trade. If your broker charges a percent fee, multiply it out and enter the result. A tax rate, if you enter one, is applied to a positive profit only.
Worked example
You buy 100 shares at $50 and pay a $5 commission, so your total cost is 100 x 50 + 5 = $5,005. You sell at $65 and pay $5, so you receive 100 x 65 - 5 = $6,495.
The profit is 6,495 - 5,005 = $1,490, which is a 29.77% return on the money you put in. To break even you needed to sell at (5,005 + 5) / 100 = $50.10 a share.
With a 15% tax rate on the profit, the tax would be $223.50 and the profit after tax $1,266.50.
Why the break-even price is above your buy price
Commissions on both trades have to be covered before you make money. With zero commissions the break-even price equals the buy price. Dividends you collected push the break-even price down, because they already returned part of your cost.
Return versus profit
Profit is a dollar amount and return is a percent of what you paid. A $1,490 profit is a 29.77% return on $5,005, but the same dollars on a much bigger position would be a smaller return. Return does not take time into account. A 30% return over six months is very different from 30% over six years, so for time use the CAGR calculator.
Taxes on the sale
The optional tax rate is a simple percent on a positive profit. Real tax depends on how long you held the shares and your income. For a version that works from your dates and short term and long term rates, use the capital gains calculator.
Assumptions and limits
- Commissions are flat dollar amounts you enter for each trade.
- The calculation covers one purchase and one sale. If you bought in several lots, use the stock average calculator first to find your average cost.
- Stock splits, currency conversion and wash sale rules are not modeled.
- Nothing here is investment or tax advice.
Frequently asked questions
How do I calculate profit on a stock?
Subtract what you paid, including the buying commission, from what you received after the selling commission. Add any dividends. The result is your profit, and dividing it by what you paid gives the percent return.
What is a break-even price for a stock?
It is the sell price per share at which your profit is exactly zero after commissions and dividends. Selling above it makes money and selling below it loses money.
Can I use this for a loss?
Yes. If the sell price is below the break-even price the headline switches to Loss and shows a negative number. No tax is shown for a loss.
Does the tool include fees other than commissions?
Only what you enter. Add exchange or regulatory fees to the commission fields so they are counted in your cost and proceeds.