Is 30\% a good ROI?

A ROI figure of 30\% from one store looks better than one of 20\% from another for example. The 30\% though may be over three years as opposed to the 20\% from just the one, thus the one year investment obviously is the better option.

What does an ROI of 100 mean?

Return on Investment
Return on Investment (ROI) is the value created from an investment of time or resources. If your ROI is 100\%, you’ve doubled your initial investment. Return on Investment can help you make decisions between competing alternatives.

Can you have an ROI over 100?

ROI (return on investment) reflects the profitability of your investments. Thus, using ROI, you can understand whether your investment in advertising is effective. If this indicator is more than 100 \% — your investments are bringing you profit if the indicator is less than 100\% — your investments are unprofitable.

What is considered as a good ROI?

What Is a Good ROI? According to conventional wisdom, an annual ROI of approximately 7\% or greater is considered a good ROI for an investment in stocks. This is also about the average annual return of the S&P 500, accounting for inflation.

What does the ROI tell you?

Return on investment (ROI) is a performance measure used to evaluate the efficiency or profitability of an investment or compare the efficiency of a number of different investments. ROI tries to directly measure the amount of return on a particular investment, relative to the investment’s cost.

How do you analyze ROI?

ROI is calculated by subtracting the initial value of the investment from the final value of the investment (which equals the net return), then dividing this new number (the net return) by the cost of the investment, then finally, multiplying it by 100.

How do I calculate ROI?

How do you evaluate ROI?

How do you read ROI results?