Stock Average Calculator
Find your average share price (also called your average buy price) across several purchases, or work out how many more shares to buy to bring your average down to a target. Runs in your browser; nothing is uploaded.
A worked example
Say you bought 100 shares at ₹200, then 50 at ₹170, then 80 at ₹150. You paid ₹20,000 + ₹8,500 + ₹12,000 = ₹40,500 for 230 shares, so your average buy price is ₹40,500 ÷ 230 = ₹176.09. Now take a different case: you hold 100 shares at an average of ₹200, the price has fallen to ₹150, and you want your average to be ₹175. You need 100 × (200 − 175) ÷ (175 − 150) = 100 more shares, which costs ₹15,000. You would then hold 200 shares for ₹35,000, an average of exactly ₹175.
Understanding the calculation
- Weighted average
- Total invested divided by total quantity. Each purchase counts in proportion to its size.
- Shares needed for a target
- Quantity held times (current average minus target) divided by (target minus current price). It works both for averaging down, when the price is below your average, and for averaging up, when it is above.
- What it ignores
- Brokerage, taxes and any change in the price after you buy. Whole shares are used for the answer, rounded up so that you reach the target.
Common questions
How is the average buy price of a stock calculated?
Multiply each purchase's quantity by its price, add them all up to get the total invested, then divide by the total quantity. This is a weighted average, so a larger purchase moves the average more than a smaller one.
Is a stock average calculator the same as a share average calculator?
Yes. In India, "stock" and "share" both mean listed equity, so a stock average calculator and a share average calculator do the same weighted-average-price calculation across your purchases.
How many shares do I need to buy to reach a target average?
Use the shares you hold, your current average, today's price and your target. The extra shares needed equal your existing quantity times (current average minus target) divided by (target minus today's price). The target has to sit between today's price and your current average, otherwise no purchase at today's price can reach it.
Does averaging down reduce my loss?
It lowers your average cost, so the price does not have to recover as far for you to break even. It does not reduce the loss you have already made, and it increases the money you have at risk in one stock, so it only makes sense if you would be happy to buy that stock at today's price anyway.
Are brokerage and other charges included?
No. This calculator uses only the quantities and prices you enter. Charges raise your real average cost slightly, and you can work them out in the Brokerage and Tax Calculator.
Will my tax use the same average price?
Not necessarily. For delivery equity, capital gains are calculated by matching each sale to your oldest purchases first (FIFO), not by average cost, so use the Capital Gains calculator for tax.