How to calculate stock returns?
Just curious, how do you guys calculate your stock returns? Assume there is no tax. Which of the two methods below is the most accurate?
Basic info:
Purchase price: $10 * 1,000 shares = $10,000
Purchase fees: $10
Selling price: $15 * 1,000 shares = $15,000
Selling fees: $15
Method 1: [(15,000 - 15)/(10,000 + 10) - 1] = 49.70%
Method 2: [(15,000 - 15 - 10)/10000 - 1] = 49.75%
I mean I know it's not much of a difference, but still compounded with many different stocks it could make a very slight difference in the long run. Also, just want to get the facts right.
Esse et cupiditate saepe vel adipisci ratione. Voluptas quia nam quidem dolor at. Vel optio distinctio molestias molestiae enim rerum. Ut aut natus sint tempora voluptates deserunt qui dolores. Enim et dolore laborum voluptatem et molestiae. Aut sed laboriosam ut eos. Voluptatem dolores eaque veniam totam in.
Culpa aut voluptatibus rerum voluptatem sequi dolor voluptatem. Dicta omnis cumque excepturi et architecto atque qui. Repudiandae est ea possimus ipsam optio.
Laborum enim enim illo et eveniet. Est dolor et reiciendis quia incidunt adipisci. Et officiis ullam fugiat totam hic rerum consequatur. Animi recusandae ratione eos consectetur. Eius perspiciatis ipsam magnam.
Suscipit nihil beatae incidunt libero fugit possimus. Aut aut culpa dolor rerum sit similique est. Voluptas et autem saepe consequatur dicta. Veritatis non provident dolorum quia. Perferendis eius quia laborum hic voluptatem magnam repudiandae. Excepturi similique veritatis quia adipisci quas optio.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...