What does return on investment mean?

Definitions for return on investment
re·turn on in·vest·ment

This dictionary definitions page includes all the possible meanings, example usage and translations of the word return on investment.

Princeton's WordNet

  1. return on invested capital, return on investment, ROInoun

    (corporate finance) the amount, expressed as a percentage, that is earned on a company's total capital calculated by dividing the total capital into earnings before interest, taxes, or dividends are paid

Wikipedia

  1. Return on investment

    Return on investment (ROI) is a ratio between the net profit and cost of investment resulting from an investment of some resources. A high ROI means the investment's gains favorably to its cost. As a performance measure, ROI is used to evaluate the efficiency of an investment or to compare the efficiencies of several different investments. In purely economic terms, it is one way of relating profits to capital invested. Return on investment is a performance measure used by businesses to identify the efficiency of an investment or number of different investments.

ChatGPT

  1. return on investment

    Return on Investment (ROI) is a financial metric used to measure the probability of gaining a return from an investment. It is a ratio that compares the gain or loss from an investment relative to its cost. The formula for calculating ROI is (Net Profit / Cost of Investment) x 100%, expressed as a percentage. It signifies the effectiveness or profitability of an investment and helps in making investment decisions.

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Numerology

  1. Chaldean Numerology

    The numerical value of return on investment in Chaldean Numerology is: 6

  2. Pythagorean Numerology

    The numerical value of return on investment in Pythagorean Numerology is: 5

Examples of return on investment in a Sentence

  1. David Payne:

    The return on investment based on the current commercial model is not really commensurate with the amount of effort you have to put into it.

  2. Paul Firth:

    ( Investors) fear that the value and return on investment properties may decline and that it may not be as good an investment if Britain withdraws from the EU.

  3. Paso Robles:

    You’ve got a value-added product, you’ve got agricultural real-estate as a hedge against inflation, and if you can be smart about operating it you can come up with a pretty consistent cash flow that can produce a return on investment that is not as volatile as other products.

  4. Mario Morales:

    A leading-edge design can cost $150 million to $200 million, which means that you have to be able to generate four times the revenue to get a return on investment.

  5. Rahul Gupta:

    We know from evaluations that we've done, because there's a strong evaluation component, that when this work is happening in those 700 communities across the country, the rates of substance use in youth like tobacco, drugs, marijuana and others goes down as compared to those that don't have these programs in their communities, this is a top priority, with a sense of urgency to address the abuse crisis, but it starts with prevention and prevention is the best return on investment when you look at it. And getting money directly to communities is so vital to make sure that [prevention programs] are working and they're working effectively.


Translations for return on investment

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"return on investment." Definitions.net. STANDS4 LLC, 2024. Web. 26 Apr. 2024. <https://www.definitions.net/definition/return+on+investment>.

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    a measuring instrument for measuring and indicating a quantity such as the thickness of wire or the amount of rain etc.
    A bias
    B gauge
    C fancy
    D accommodation

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