Is 28% a good ROI?

Asked by: Elroy McCullough  |  Last update: August 22, 2026
Score: 4.4/5 (51 votes)

28% is generally considered an excellent and very high ROI. For context, the long-term average for the stock market is roughly 10%, making a 28% return well above average. It often indicates a highly profitable venture, such as in technology sectors, or a successful, though potentially risky, investment.

Is a 30% ROI good?

Is 30% Good ROI? An ROI of 30% can be good, but it can depend on how long your ROI has been at 30% in previous years. A 1-year ROI of 20% compared to 3-years of a 30% ROI can be considered a better investment.

Is 25% a good ROI?

A CAGR of 25% is very high, but may real estate investments (syndicate funds) have IRRs in the 20--25% range, and this very good, but not crazy high. Also is it 25% net of fees and taxes, etc? Generally speaking, a CAGR of 25% is too good to be true, especially over an extended period of time.

What is a good ROI percentage?

For most people, a positive ROI between 5% and 7% is seen as a healthy return. It's enough to beat inflation and show that your money is growing. An ROI above 10% is considered strong, especially if it's consistent over time.

Is 33% a good ROI?

Common multiples for most small businesses are two to four times SDE. This equates to a 25% to 50% ROI. Common multiples for mid-sized businesses are three to six times EBITDA. This equates to a 16.6% to 33% ROI.

Our Stock Portfolio Was Up 28% in 2020! Here Is Our Best Advice for Investing in 2021 (Ep. 10)

37 related questions found

What is a 30% ROI?

A 30% ROI means that the revenue generated from a specific social media campaign or activity is 30% higher than the amount you invested. In other words, for every $1 you invested, you generates $0.30 in profit.

What is the $27.39 rule?

The "27.39 rule" (often rounded to $27.40) is a simple financial strategy to save $10,000 in one year by consistently setting aside $27.40 every single day, making it an achievable micro-saving habit to build wealth or an emergency fund. It turns the daunting goal of saving $10,000 into a manageable daily action, emphasizing consistency over large lump sums.

What is considered a poor ROI?

Generally, an ROI below 2:1 is considered poor. It signifies that the return barely covers the cost of investment. At the same time, bad ROI thresholds can vary by industry. For instance, a low-margin sector like retail might view an ROI under 3:1 as unfavorable.

Is 20% annual ROI good?

Achieving a 20% ROI is considered excellent in most sectors. However, returns at this level often involve higher risk, such as making alternative or speculative investments. While these investments may provide high ROI, they can also generate significant losses.

Is investing 25% of your income too much?

We can also offer a simple guideline, one that we feel is more sufficient for most people than conventional advice suggests. We recommend our wealth management clients aim to save 25 percent of their gross income each year into long-term investment vehicles.

Is 27% a good ROI?

What is a good ROI? While the term good is subjective, many professionals consider a good ROI to be 10.5% or greater for investments in stocks. This number is the standard because it's the average return of the S&P 500 , an index that serves as a benchmark of the overall performance of the U.S. stock market.

What is a normal monthly ROI?

General ROI: A positive ROI is generally considered good, with a normal ROI of 5-7% often seen as a reasonable expectation. However, a strong general ROI is something greater than 10%. Return on Stocks: On average, an ROI of 7% after inflation is often considered good, based on the historical returns of the market.

How much is a business worth with $200,000 in sales?

For example, a business with an annual revenue of $200,000 and a valuation multiple of 2.5 would have a value of $500,000. However, the accuracy of a revenue-based valuation relies heavily on selecting the right multiple for your business.

How much should I sell my LLC for?

The vast majority of small and mid-sized companies are valued on a multiple of EBITDA. Some rules of thumb are: Companies under $250K in EBITDA = 1.5 – 2.5 X EBITDA. Companies $250k – $750k in EBITDA = 2 – 3.5 X EBITDA.

Is a 40% ROI good?

What is a good ROI? When it comes to your own stocks, anywhere from 7 to 10% is usually considered a good ROI for long-term investors. However much we would like a 20%, 30% or even 40% return, it's pretty significant in the world of investing.

At what age should you have $100,000 saved?

I tell young people all the time, by the time you hit 33 years old you should have at least $100,000 saved somewhere. Make that your goal. That's the age when it's really time to start getting FOCUSED on saving.

How many Americans have $10,000 in savings?

While exact numbers vary by survey, roughly 15% to 20% of Americans have $10,000 or more in savings, though many have significantly less, with a median savings balance often reported below $10,000, highlighting a gap in financial security for many households. A significant portion of the population struggles to save, with some surveys showing nearly half having under $500 or less than $1,000, while others indicate that a notable percentage has $10,000 to $49,999.