Strategy metric calculator
Profit Factor Calculator
Profit factor compares the gross amount won by a strategy with the absolute gross amount lost over the same sample.
Profit factor
1.667
Gross profit divided by absolute gross loss.
Formula
Profit factor = gross profit ÷ absolute gross loss.
Important limitations
- •Profit factor should be interpreted alongside trade count, drawdown, costs, and the test period.
- •A small sample can produce an impressive ratio that is not robust.
- •Gross profit and gross loss should cover the same strategy sample.
These calculators provide mathematical outputs only. They do not account for every broker, exchange, product, margin, tax, execution, or market condition and are not financial advice.