Enter the stock profit ($) and the stock purchase price ($) into the Stock Margin Calculator. The calculator will evaluate and display the Stock Margin.
Stock Margin Formula
The following formula is used to calculate the Stock Margin.
STM = SP / PP * 100
- Where STM is the Stock Margin (%)
- SP is the stock profit ($)
- PP is the stock purchase price ($)
To calculate the stock margin, divide the stock profit by the purchase price, then multiply by 100.
How to Calculate Stock Margin?
The following example problems outline how to calculate Stock Margin.
Example Problem #1:
- First, determine the stock profit ($).
- The stock profit ($) is given as: 500.
- Next, determine the stock purchase price ($).
- The stock purchase price ($) is provided as: 375.
- Finally, calculate the Stock Margin using the equation above:
STM = SP / PP * 100
The values given above are inserted into the equation below and the solution is calculated:
STM = 500 / 375 * 100 = 133.33 (%)
Example Problem #2:
For this problem, the variables required are provided below:
stock profit ($) = 800
stock purchase price ($) = 450
Test your knowledge using the equation and check your answer with the calculator above.
STM = SP / PP * 100 = ?
