Stock Profit Calculator

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Stock Profit Calculator
Buy then Sell (Long Position)Sell then Buy (Short Position)
Analysis:
function calculateProfit(){var shares=parseFloat(document.getElementById('shares').value);var buyPrice=parseFloat(document.getElementById('buy_price').value);var sellPrice=parseFloat(document.getElementById('sell_price').value);var buyComm=parseFloat(document.getElementById('buy_comm').value)||0;var sellComm=parseFloat(document.getElementById('sell_comm').value)||0;var taxRate=parseFloat(document.getElementById('tax_rate').value)||0;var type=document.getElementById('calc_type').value;var showSteps=document.getElementById('show_steps').checked;if(isNaN(shares)||isNaN(buyPrice)||isNaN(sellPrice)){alert('Please enter valid numbers for shares and prices');return;}var buyTotal,sellTotal,grossProfit,taxAmount,netProfit,roi;if(type==='long'){buyTotal=(shares*buyPrice)+buyComm;sellTotal=(shares*sellPrice)-sellComm;grossProfit=sellTotal-buyTotal;}else{sellTotal=(shares*buyPrice)-buyComm;buyTotal=(shares*sellPrice)+sellComm;grossProfit=sellTotal-buyTotal;}taxAmount=0;if(grossProfit>0){taxAmount=grossProfit*(taxRate/100);}netProfit=grossProfit-taxAmount;roi=(netProfit/buyTotal)*100;var resultHTML='=0?'#27ae60′:'#c0392b')+'">Net Profit: $'+netProfit.toFixed(2)+'
ROI: '+roi.toFixed(2)+'%';document.getElementById('summaryResults').innerHTML=resultHTML;if(showSteps){var steps='
';steps+='

Step 1: Buy Cost
('+shares+' shares × $'+buyPrice.toFixed(2)+') + $'+buyComm.toFixed(2)+' comm = $'+buyTotal.toFixed(2)+'

';steps+='

Step 2: Sell Revenue
('+shares+' shares × $'+sellPrice.toFixed(2)+') – $'+sellComm.toFixed(2)+' comm = $'+sellTotal.toFixed(2)+'

';steps+='

Step 3: Gross Profit
$'+sellTotal.toFixed(2)+' – $'+buyTotal.toFixed(2)+' = $'+grossProfit.toFixed(2)+'

';if(taxAmount>0){steps+='

Step 4: Tax Calculation
$'+grossProfit.toFixed(2)+' × '+(taxRate)+'% = $'+taxAmount.toFixed(2)+'

';}steps+='

Step 5: Net Profit
$'+grossProfit.toFixed(2)+' – $'+taxAmount.toFixed(2)+' = $'+netProfit.toFixed(2)+'

';steps+='
';document.getElementById('detailedResults').innerHTML=steps;}else{document.getElementById('detailedResults').innerHTML=";}}

Stock Profit Calculator Use

The stock profit calculator is a specialized financial tool designed to help investors determine the exact net return on their equity investments. Whether you are day trading or holding for long-term growth, understanding your "take-home" profit after commissions and taxes is essential for successful portfolio management.

By using this calculator, you can simulate different exit strategies and see how small changes in share price or brokerage fees impact your Return on Investment (ROI).

Number of Shares
The total quantity of stock units purchased or sold in the transaction.
Buy & Sell Price
The per-share price at the time of entry and exit. For short positions, the buy price is your initial entry price.
Commissions
The flat fees or percentage-based costs charged by your broker for executing the trade.
Tax Rate
The applicable capital gains tax rate based on your income bracket and holding period (short-term vs. long-term).

How It Works

To calculate your actual earnings, the stock profit calculator applies the standard financial formula that accounts for friction costs. The fundamental math follows these steps:

Net Profit = ((Sell Price × Shares) – Sell Commission) – ((Buy Price × Shares) + Buy Commission) – Taxes

  • Gross Proceed: Total value from selling the shares minus the exit commission.
  • Total Cost Basis: Total value spent purchasing shares plus the entry commission.
  • Capital Gains: The gross profit before taxes are applied.
  • ROI: Calculated as (Net Profit / Total Cost Basis) × 100.

Calculation Example

Example: An investor buys 50 shares of a tech company at $150.00 each. They pay a $5.00 commission. Later, they sell all 50 shares at $180.00 each with another $5.00 commission. They are in a 15% tax bracket.

Step-by-step solution:

  1. Purchase Cost: (50 × $150) + $5 = $7,505.00
  2. Sale Revenue: (50 × $180) – $5 = $8,995.00
  3. Gross Profit: $8,995 – $7,505 = $1,490.00
  4. Tax (15%): $1,490 × 0.15 = $223.50
  5. Net Profit: $1,490 – $223.50 = $1,266.50
  6. Return on Investment: ($1,266.50 / $7,505) × 100 = 16.88%

Common Questions

What is the difference between short-term and long-term capital gains?

In many jurisdictions, if you hold a stock for more than one year, you qualify for long-term capital gains tax rates, which are typically lower than standard income tax rates. Short-term gains (held for one year or less) are usually taxed at your ordinary income tax rate.

Does this stock profit calculator include dividends?

This specific calculator focuses on price appreciation (capital gains). To include dividends, you would add the total dividend amount received to your "Net Profit" result and recalculate the ROI.

How do commissions affect my break-even point?

Commissions increase your cost basis and decrease your net revenue. This means the stock price must rise higher than the purchase price just to cover the fees. For example, if you pay $10 in total commissions on a 10-share trade, the stock must rise at least $1.00 per share just to break even.

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