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Tools6 min readUpdated July 20, 2026

How to Calculate Stock Profit (and Break-Even Price)

“Am I up?” shouldn’t require a spreadsheet. Stock profit is just proceeds minus cost (plus dividends), but fees and percentages trip people up. Here’s the clean math.

Learn the stock profit formula, work a clear example with commissions, and see why break-even price matters before you exit a trade. Pair it with our free calculator.

The stock profit formula

Net profit = (Sell price × shares − sell fees) − (Buy price × shares + buy fees) + dividends.

Return % = Net profit ÷ Total cost × 100. Total cost is what you paid including the buy commission.

Example: 50 shares bought at $40 ($2,000) and sold at $48 ($2,400) with $0 fees → $400 profit = +20%.

Why fees change the story

A $10 round-trip commission on a $200 trade is a 5% headwind before the stock even moves.

“Commission-free” still isn’t always cost-free — spreads and tiny regulatory fees exist. For honest journaling, include what you actually paid.

Break-even sell price

Break-even is the sell price where net profit is zero after fees (and after counting dividends already received).

If you’re staring at a small green candle but still below break-even after costs, you’re not actually winning yet.

Profit % vs CAGR

Trade P&L answers “how did this position do?” CAGR answers “what was my annualized rate over years?” Don’t mix them up in the same sentence.

Use a stock profit calculator for closed trades; use an investment return calculator when comparing multi-year portfolios.

A quick habit that improves trading

Log planned break-even and planned percent target before entry. After exit, log actual P&L. Patterns show up fast — oversized losers, fee drag, winners cut too early.

Next steps

Concepts stick when you apply them. Open a related calculator, run your own numbers, and — if you’re still learning execution — practice with paper trades before increasing real size. Browse more guides or the full set of free trading tools.

Free tool

Stock Profit Calculator

Enter buy price, sell price, shares, and fees to see net profit or loss, percent return, and break-even sell price. The quick answer to “how much did I make on this trade?”

Other free tools

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Ready to put this into practice?

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This is educational content, not financial advice. Investing carries risk — you can lose money. Do your own research and consider a qualified advisor for personal decisions.

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