The formula to calculate the Return On Stocks (ROS) is:
ROS=SP−PPPP×100
Where:
Return on stocks (ROS) is the percentage gain or loss on an investment in stocks. It is calculated by taking the difference between the sell price and the purchase price, dividing by the purchase price, and multiplying by 100. This metric helps investors understand the profitability of their stock investments.
Let's assume the following values:
Using the formula to calculate the Return On Stocks:
ROS=150−100100×100=50%
The Return On Stocks is 50%.