Capital Gains Yield Calculator
Calculate the capital gains yield (price-only return) of an investment, the dollar price change, and the total return including dividends.
How to use this tool
- Enter the price you paid per share.
- Enter the current price or the price at which you sold.
- Enter any dividends received per share over the period.
- Read the capital gains yield (price only) and the total return.
- Use total return to compare income-paying investments fairly.
Capital gains yield isolates the return from price movement, while total return adds dividends. Enter your buy and sell prices plus any dividends to see both.
Formula
Price change = Selling price − Purchase price.
Capital gains yield = (Price change ÷ Purchase price) × 100. This is the return from price movement alone.
Total return = ((Price change + Dividends) ÷ Purchase price) × 100, which adds dividend income to the capital gain.
How it works
Capital gains yield measures the return that comes purely from a change in an investment's price, ignoring any income it pays. It is the percentage change in price over a holding period: the gain (or loss) divided by the original purchase price. A negative result means the price fell.
Total return adds the income — dividends for stocks, coupons for bonds — to the price change before dividing by the purchase price. For income-paying assets the gap between capital gains yield and total return can be substantial, which is why total return is the fairer basis for comparing investments. Both figures here are period returns, not annualized; divide by the number of years (or annualize properly) to compare across different holding periods.
The model uses a single buy and sell price and treats dividends as received in cash without reinvestment; it does not annualize, adjust for inflation, or account for taxes or trading costs. Reviewed by the AbraCalc Investing Desk. This tool provides general information, not investment advice; verify figures and consult a licensed professional before investing.
Worked example
Bought at $100, now $120, $2 in dividends
- Price change = $120 − $100 = $20.00.
- Capital gains yield = ($20 ÷ $100) × 100 = 20.00%.
- Total return = (($20 + $2) ÷ $100) × 100 = 22.00%.
Capital gains yield: 20.00% — total return 22.00%, price change $20.00.
Capital gains yield by price move (purchase price $100)
| Selling price | Price change | Capital gains yield |
|---|---|---|
| $80 | -$20 | -20.00% |
| $90 | -$10 | -10.00% |
| $100 | $0 | 0.00% |
| $120 | +$20 | 20.00% |
| $150 | +$50 | 50.00% |
Key terms
- Capital gains yield
- The return from an asset's price change alone, as a percentage of the purchase price.
- Total return
- The combined return from price change plus income (dividends or interest).
- Capital gain
- The increase in an asset's price above what you paid; a capital loss is a decrease.
- Dividend
- A cash distribution paid to shareholders, counted toward total return but not capital gains yield.
Frequently asked questions
- What is capital gains yield?
- It is the return from an investment's price change alone, calculated as (selling price − purchase price) ÷ purchase price, expressed as a percentage.
- How does it differ from total return?
- Capital gains yield ignores income. Total return adds dividends or interest to the price change, giving a fuller picture of what you earned.
- Can capital gains yield be negative?
- Yes. If the selling price is below the purchase price, the capital gains yield is negative, representing a capital loss.
- Is this an annual figure?
- No. It is the return over your holding period. To compare across periods, annualize it or divide by the number of years held.