Holding Period Return Calculator
Calculate your investment return including capital gains and dividend income
Calculate Holding Period Return
Price per share when you bought the stock
Current market price per share
Total dividend income per share during holding period (leave 0 if no dividends)
Holding Period Return Results
Formula used: HPR = Capital Gains Yield + Dividend Yield
Capital Gains: ($0.00 - $0.00) ÷ $0.00 × 100 = 0.00%
Dividend Yield: $0.00 ÷ $0.00 × 100 = 0.00%
Performance Analysis
Example Calculation
Company Alpha Stock
Stock name: Company Alpha
Bought price: $100
Current price: $120
Dividend income: $7.50 per share
Step-by-Step Calculation
1. Capital Gains: $120 - $100 = $20
2. Capital Gains Yield: $20 ÷ $100 = 20%
3. Dividend Yield: $7.50 ÷ $100 = 7.5%
4. HPR: 20% + 7.5% = 27.5%
Result
The total holding period return is 27.5%, combining both capital appreciation and dividend income.
HPR Components
Capital Gains
Price appreciation or depreciation
Dividend Income
Cash payments from the company
Total Return
Combined gains and income
Investment Tips
Include all dividend payments received
Consider both capital gains and income
Use for comparing investment performance
Factor in transaction costs for accuracy
Review performance regularly
Understanding Holding Period Return
What is Holding Period Return?
Holding Period Return (HPR) is the total return an investor receives from holding an investment for a specific period. It includes both capital gains (or losses) from price changes and any income received during the holding period, such as dividends or interest.
Why is HPR Important?
- •Provides complete picture of investment performance
- •Includes all sources of return (capital gains + income)
- •Enables accurate comparison between investments
- •Helps evaluate investment strategy effectiveness
HPR Formula Components
HPR = Capital Gains Yield + Dividend Yield
HPR = ((Current Price - Bought Price) + Dividends) ÷ Bought Price × 100
- Capital Gains: Change in stock price (Current Price - Bought Price)
- Capital Gains Yield: Capital gains as percentage of initial investment
- Dividend Yield: Dividend income as percentage of initial investment
- HPR: Total return percentage including both components
Key Benefit: HPR captures the complete return story, not just price appreciation
Use Case: Compare investments with different return structures (growth vs. income)
Negative HPR
Investment lost value despite any dividends received
0% HPR
Break-even investment, no gain or loss
Positive HPR
Investment generated positive returns
High HPR (>15%)
Excellent performance, strong returns
Real-World Application
Scenario: Comparing two stocks over the same period:
Company Alpha
- Price increase: 20%
- Dividend yield: 7.5%
- Total HPR: 27.5%
Company Beta
- Price increase: 24%
- Dividend yield: 2%
- Total HPR: 26%
Despite Company Beta having higher price appreciation, Company Alpha provides better total returns when dividends are included.