Use our average down stock calculator to find out your average buy price for your stock investments with an unlimited number of rows.
Stock Average Down Calculator
Average Buy Price: 0.00
How to use the average down stock calculator:
- Add the amount of stock bought (e.g. 20, 150, or 1500)
- Add the buy price (e.g. 18, 50, or 250)
- Click “Add more” to add more stock buys.
The stock average down price calculator calculates the average buy price automatically and you can modify the rows as you want.
If you decide to remove a row, the calculator will automatically re-calculate your average stock price.
What is an average down stock calculator?
When trading without leverage an average stock cost calculator is a helpful tool for investors who are investing in stocks long-term.
It does an important job:
- It figures out the average price you’ve paid for a stock when you’ve bought it at different times and at different prices.
- It can also tell you the average price you are going to pay if you plan to buy a stock when it is declining or rising.
Imagine you bought 30 shares of a company’s stock last year for $50 each, and now you’ve bought 30 more shares this year, but they cost you $40 each.
The average stock price calculator helps you find out the average price you’ve paid for all those shares together.
This average price is essential because it tells you the average cost of your investment, or in other words, where you break even on your investment.
How does the calculator work?
An average stock price calculator works by taking into account two main factors, the total number of shares bought, and the total amount spent on those shares.
Here’s how it works step by step:
- Input: The user provides information about their stock purchases, including the quantity (number of shares) and the price at which each batch of shares was acquired.
- Calculation: The calculator adds up the total number of shares bought and calculates the total amount spent by multiplying the number of shares with the prices for each purchase.
- Average Price: The calculator divides the total amount spent by the total number of shares to determine the average price per share.
This average price represents the average cost at which the investor has acquired the stock.
Below the average stock price, you will also be able to see how many stocks in total you have bought and the total amount of money spent on the stocks overall.
How to use it
There are only two things you need to know in order to learn how to use to calculator.
- Step 1: Find your data – Collect data on each purchase of the stock, including the number of shares bought and the price per share.
- Step 2: Add it to the calculator – Enter this information into the calculator, in separate rows for each purchase.
The automatic calculation to determine the average stock price instantly.
Now it’s up to you and your investment strategy to make sense if the number you have got is worth the risk or if you need to change the plan.
Calculation formula
The formula for calculating the average stock price is:
Average Price = (Total Amount Spent) / (Total Number of Shares Bought)
FAQ
To calculate average stock value, divide the total value of your stock holdings by the total number of shares you own.
Averaging stock prices means buying more shares of a stock at lower prices to reduce your average cost per share. It’s a strategy to lower your overall investment cost.