Using a stock calculator allows your to see the profit or loss of a stock investment. When you are buying and selling stocks you want to be able to see the return on investment. By keeping track of your profit and losses you’ll be able to find out how much in taxes you need to pay at the end of the year.

Using a Stock Calculator

The first step is to enter the purchase price of your stock investment. This is gonna be the price per share that your purchased the stock for. When purchasing shares of stock in blocks, always make sure to use the average stock price. Next, enter the sales price of that stock. If you haven’t sold the stock yet, you can put what you think you’re going to sell it for. When entering the commission make sure this is the total commission paid when buying and selling. Keep in mind if you purchase the stock at two different points you’ll need to combine all of the purchasing and sales commission. The last piece of information to enter is the total shares.

After you’ve entered all of the information for the stock calculator you’ll see an ROI (return on investment), which is going to be as percentage. This is calculated by taking the sales prices minus the purchase price and the total commission. The Net profit (or loss) is your overall gain or loss after commissions has been paid. The stock market can vary greatly, which is why it’s important to use a stock return calculator to help you determine the right selling price.