Stock Average Calculator
Enter each time you bought the same stock and see your average share price. It works as a share average calculator and an average price calculator for any NSE or BSE stock.
How the Stock Average Formula Works
When you buy the same stock more than once at different prices, your cost is not the simple middle of the prices. Each purchase counts in proportion to how many shares you bought, so this is a weighted average.
Example: you buy 100 shares at ₹1,200, the stock falls, and you buy 100 more at ₹1,050. You have paid ₹2,25,000 for 200 shares, so your average price is ₹1,125. The stock now has to climb back to ₹1,125, not ₹1,200, before the position stops showing a loss.
- 1100 × ₹1,200 = ₹1,20,000
- 2100 × ₹1,050 = ₹1,05,000
- 3Total ₹2,25,000 for 200 shares
- 4Average ₹1,125.00
Before You Average Down
Averaging down makes the break-even price easier to reach, but it also puts more money into a stock that is falling. Decide in advance the most you will hold in one stock and the price at which you will exit, and backtest the idea on past data before using real money.
Frequently Asked Questions
How is the average price of a stock calculated?
Multiply each purchase's quantity by its price, add the results, and divide by the total quantity. 100 shares at ₹1,200 and 100 at ₹1,050 cost ₹2,25,000 for 200 shares, so the average is ₹1,125.
Does averaging down reduce my loss?
It lowers the price the stock has to recover to for you to break even. It does not reduce the loss already made, and because you now hold more shares, every further fall costs you more.
Are brokerage and taxes included in the average?
No. The average uses purchase prices only. STT, stamp duty, exchange charges and the DP charge on selling add a little to your true cost. The Share Profit Calculator shows the result after these charges.
How do I calculate the average price of shares?
Add up what you paid for every buy (quantity times price), then divide by the total number of shares. 100 shares at ₹1,200, 100 at ₹1,050 and 200 at ₹900 cost ₹4,05,000 for 400 shares: an average share price of ₹1,012.50.
What is share average?
Share average is the average price you paid per share after buying the same stock more than once. Traders call it averaging, and buying more after a fall is called averaging down.
Can I average more than two purchases?
Yes. Press Add another purchase for each extra buy, up to ten. The same formula works for any number of buys: total amount paid divided by total shares.