How do I calculate a percentage gain on a stock? I bought rimm around 80 and now it is 98 in just a few weeks. What percentage increase is that?
0%, in terms of RIMM shares and negative in terms of other, better performing shares. In cash terms you really need a handle on the risk free rate and the stock's beta to end up with a meaningful risk adjusted return calc. Then you could annualise it - hmm 360 or 365 days? - up to you. I'd use the natural base for continual compounding if this is for a prospectus. Great question for Elite Trader, keep them coming!
How about a 251 day base, since that's the number of trading days in a year, more or less? (365-104 (for weekends) - 10 (for holidays))