Enter the initial stock price and the stock price after the 1st period into the calculator to determine the capital gains yield.

Capital Gains Yield Formula

The following equation can be used to calculate the capital gains yield of a security.

CGY = (Pf – Pi) / Pi *100

  • Where CGY is the capital gains yield (%)
  • Pi is the initial stock price
  • Pf is the final stock price

Capital Gains Yield Definition

A capital gains yield is the total gain or increase in the price of a stock over time.

Capital Gains Yield Example

How to calculate capital gains yield?

  1. First, determine the initial stock price.

    Calculate the initial price of the stock.

  2. Next, determine the final stock price.

    Calculate the final price of the stock after some time period.

  3. Finally, calculate the capital gains yield.

    Calculate the capital gains yield using the equation above.

FAQ

What is a capital gains yield?

A capital gains yield is the change in the price of a stock or security. It’s a measure of the total gain a particular stock undergoes during a certain time period.

What is a normal capital gains yield?

The average market return over time has been roughly 7-10% per year. Any capital gains that exceed this value are considered a success.

capital gains yield calculator
capital gains yield formula