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Stock Averaging Calculator — Plan Your Averaging Down

Calculate how many shares to buy to lower your average cost per share and evaluate the investment impact before you buy.

Portfolio information
Enter your current holdings and the target average price you want to achieve.
Choose the currency for display (USD recommended for US investors). Calculations are simple arithmetic based on prices you enter.
Number of shares you currently own
$
Your current average cost per share
$
Price at which you want to buy more shares
$
Desired average price after new purchase
About Averaging Down Strategy
What is Averaging Down?

Averaging down is an investment strategy where you buy more shares of a stock at a lower price than your original purchase to reduce your average cost per share.

Benefits
  • Reduces average cost per share
  • Potential for higher returns when stock recovers
  • Takes advantage of market volatility
Risks to Consider
  • Stock price may continue to decline
  • Increases your exposure to a single stock
  • Requires additional capital investment
  • No guarantee of price recovery
Disclaimer: This calculator is for educational purposes only. Always consult with a financial advisor before making investment decisions.
How to Use the Stock Averaging Calculator
  1. Select currency: Choose the currency you want results displayed in (USD recommended if you trade in US markets).
  2. Enter current holdings: Input the number of shares you own and your current average price per share.
  3. Plan new purchase: Enter the price you can buy more shares at and the target average price you want to reach after buying.
  4. Calculate: Click the button to see how many additional shares to buy, new average price, additional investment required, and the expected reduction in your average cost.

Example: If you own 100 shares at $50 average and you can buy at $40 with target average $45, this tool shows exactly how many shares to buy and the extra capital needed to reach that new average.

Use this calculator to evaluate position sizing and avoid emotional decisions during market dips. Always consider diversification and risk tolerance.

Frequently Asked Questions (FAQ)
What does 'averaging down' mean?

Averaging down means buying more shares of an asset after its price has fallen to reduce the average cost of your total position.

Will averaging down always make me profitable?

No — while averaging down lowers your average cost, the stock may continue to fall. Use this tool to plan purchases but consider the company's fundamentals and your risk tolerance.

Does this calculator consider commissions or fees?

No — this is a simple calculator that does not include trading commissions, taxes, or slippage. Adjust your numbers if you want to factor in transaction costs.

Is my data saved?

No — all calculations run in your browser and inputs are not sent to any server or stored.

Should I consult a professional?

This calculator is for educational purposes only. Consider consulting a licensed financial advisor for personalized investment advice.