Stock Average Calculator
Calculate average cost basis when buying stocks at different prices.
Loading calculatorβ¦
See how this fits your bigger picture β Get your free score
Like this number? Turn it into a goal and track it monthly
You might also like
Compound Interest
See how money grows with monthly contributions, annual step-up and yearly top-ups.
SIP / Recurring
Calculate returns from monthly investments with step-up and full yearly breakdown.
Savings Goal
How long to reach a savings goal β or how much to save monthly to hit it by a date.
π‘ Expert Tips
Averaging down only makes sense in fundamentally strong stocks.
Track cost basis for accurate P&L calculation.
How to read your result
Averaging down (buying more at a lower price to reduce your average cost) only helps if the stock eventually recovers β it doesn't change the underlying investment thesis, and adding money to a declining position without a fundamental reason to believe in a recovery is a common way to turn a manageable loss into a larger one.
β οΈ Common Mistakes
β Averaging down repeatedly on a stock without reassessing why it keeps declining.
β A lower average cost doesn't fix a broken investment thesis β before adding more money, revisit why you believed in the stock originally and whether that reasoning still holds.
β Treating a lower average cost as guaranteed to reduce risk.
β Averaging down increases your total exposure to the same stock β it concentrates risk rather than reducing it, even though the per-share cost basis looks better on paper.
Frequently Asked
What is average cost basis?βΎ
The average price paid per share across all purchases, used to calculate profit or loss.
π Explore related calculators
Compound Interest Calculator
Example 1 β Lump sum, no contributions
A = 1,00,000 Γ (1.10)^10 β βΉ2,59,374 β more than 2.5Γ growth