**Investment Calculators**

# Investment Calculators

Our free online investment calculators have been created to help solve two categories of problems. The first set of calculators is focused on solving a specific investment problem, such as calculating the value of a stock option. The second set of calculators is more general in nature and they demonstrate how to solve a wide range of problems using investment concepts, such as calculating return on investment.

This online tool can estimate the difference an individual might pay in federal income tax using the current Internal Revenue Service tax code and the final tax bill President Trump fist announced on April 26, 2017. This calculator reflects the final plan as of December 21, 2017, the fifth version we’ve published.

If you’re offered **stock options** where you work, then you can use this calculator to figure out the potential value of that benefit. If you’re thinking about changing jobs and that job offers stock options, you can use this calculator to help you understand how those options might add to your total compensation package.

This online tool is able to calculate the risk of ruin, which is also referred to as a drawdown calculation. The calculator takes into consideration the funds placed at risk, the dollars per transaction, the investor’s threshold for ruin, as well as their probability of a positive outcome.

This **bond yield calculator** can help you figure out the current bond yield, as well as the bond yield to maturity. The calculator requires several inputs including the current bond price, par value, coupon rate and years until maturity.

This **taxable-equivalent yield calculator** is able to determine the federally tax exempt equivalent, as well as the tax-free yield, of a bond that is not subject to federal or state income taxes. The calculator only requires five inputs: the current bond price, the bond’s par value, the coupon rate on the bond, as well as your state and federal income tax brackets.

This **capital asset pricing model calculator (CAPM)** can help the investor figure out the expected return on a capital asset at a given risk level. The CAPM is a common stock valuation tool used by investors. This calculator provides both the expected return on the capital asset as well as the stock market premium paid to investors.

You can use this **intrinsic value and return on equity (ROI) calculator** to help you evaluate a stock you might be researching. The calculator only requires three inputs: the current market price of the stock you’re examining, the stock’s earnings per share estimate, and the risk free interest rate.

This **Black-Scholes calculator** allows you to figure out the value of a European call or put option. The calculator uses the stock’s current share price, the option strike price, time to expiration, risk-free interest rate, and volatility to derive the value of these options. The Black-Scholes calculation used by this tool assumes no dividend is paid on the stock.

This online tool can compute the 2021, 2020, 2019, 2018, and 2017 federal income tax rates, also known as tax brackets, for individuals. The calculator takes into consideration, wages, salaries, income, adjustments to income, deductions, as well as exemptions. The calculator not only provides an estimate of federal income tax owed, but also Social Security and Medicare taxes too.

You can use this **return on investment calculator** to figure out your gain or loss on an investment. The calculator provides the overall ROI, as well as an annualized ROI. This return on investment calculator only requires three pieces of information, the original investment, the present or future value of the investment, and time elapsed or term.

This calculator provides the user with the **present value of an investment**. That is to say, the value of the investment stated in today’s dollars. (Also known as current or nominal dollars, since the calculator does not adjust for inflation.) The calculator only requires three inputs to calculate the present value: the future value of the investment, the total number of time periods, and the discount rate.

This calculator provides the user with the **future value** of an investment. That is to say, the tool will calculate the value of the investment at a future point in time. The calculator only requires three inputs to compute the future value: the present value of the investment, the total number of time periods, and the interest rate.

This calculator provides the user with the **net present value** of a series of cash flows. The difference between this tool and our present value calculator is its ability to handle cash flows of varying amounts. This calculator only requires three types of inputs to compute the net present value: the discount rate, cash flows coming in, and cash flows going out.

This calculator provides the user with the **present value of a perpetuity, or growing perpetuity**. The calculator only requires four inputs: the present value type, cash flow amount, discount rate, and expected growth rate. Using this information, the calculator provides the present value of the cash flow.

This **weighted average cost of capital calculator** provides the user with an estimate of a company’s WACC. The calculator uses equity, debt, and preferred stock information to compute the market value of each component, its weight, as well as the cost of each capital component.

This calculator provides the user with the ability to calculate a company’s **return on invested capital, or ROIC**. The calculator requires inputs from the income statement and balance sheet to compute the company’s net income, net operating profit after taxes, invested capital, and return on invested capital.

A **time value of money calculator** helps investors to see the effect that opportunity costs have on the cash flow they get from an investment. This time value of money, or TVM, calculator allows the user to enter an initial investment, cash flows, and opportunity cost to calculate the net present value of the money. This allows the investor or analyst to see the affect that time has on the actual value of the money returned.

This **profitability index calculator** can be used to figure out the benefit to cost ratio of an investment. Profitability index is the present value of future cash flows divided by the initial investment. When the profitability index is greater than 1.0, the present value of cash flows must be greater than the initial investment. Therefore, the investment must also have a positive net present value.

This **payback calculator** provides you with both simple payback and discounted payback values. The payback method measures the time it takes to recover the initial investment. The payback calculator uses variables that include the cash flow from the investment, opportunity cost, as well as the final value of the investment.

This **asset allocation calculator** contains an automated risk tolerance questionnaire, which can help you determine a possible allocation of stocks, bonds, and cash for your investment portfolio. The calculator bases its allocation recommendation on your answers to six different measures of risk contained in the quiz. The calculator’s output includes a description of the portfolio, as well as the percentages of stocks, bonds and cash.

This **short-term investment calculator** allows you to figure out how much money you need to set aside today to purchase an asset or pay for an expense in the future. The calculator takes into consideration the following factors: anticipated price increases, years until purchase, the return on the short-term investment, and your marginal income tax rate.

This calculator provides the user with the ability to **calculate the cash conversion cycle** for a company. The calculator inputs include revenues, cost of goods sold (COGS), inventories, accounts receivable, and accounts payable. The cash conversion cycle is equal to the Days Inventory Outstanding (DIO), plus the Days Sales Outstanding (DSO), minus the Days Payable Outstanding (DPO).

This calculator provides the user with the three most common liquidity ratios. Using current assets and current liabilities from the balance sheet, this calculator provides the current, quick and cash ratio.

This calculator provides the user with the three most common **profitability ratios**. Using information from the income statement such as revenues and expenses, this calculator provides the gross, operating, and net profit margins.

This calculator provides the user with the three most common **debt ratios**. Using assets, liabilities, and owner’s equity from the balance sheet, and operating income and interest expense from the income statement, this calculator provides the debt, debt-to-equity, and interest coverage ratio.

This calculator provides the user with five of the most useful **efficiency ratios**. Using information from the income statement and balance sheet, this calculator determines the cash, inventory, accounts receivable and accounts payable turnover along with the cash conversion cycle.

This calculator provides the user with four of the more common **market ratios**. Using information such as the current market price per share, dividends per share, earnings growth rate and EPS data; the calculator provides the price to earnings, PEG ratio and dividend yield.