📈 Investments

Stock Average Calculator

Enter the quantity and price of each purchase to find your average buy price, total shares and invested amount — and add a current price to see your profit or loss.

Your purchases
Up to three buys
Your average
Blended cost & P/L

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What is stock averaging?

When you buy the same stock at different prices, your average buy price (or cost basis) is the single price that represents your whole position. It is simply the total money you invested divided by the total number of shares — and it's the number you compare against the current price to know whether you're in profit or loss.

The formula

Average price = Total amount invested ÷ Total shares bought

Buy 10 shares at ₹100 (₹1,000) and 20 shares at ₹80 (₹1,600): you own 30 shares for ₹2,600, so your average is ₹86.67 — not ₹90, because you bought more shares at the lower price. Quantity matters as much as price.

Averaging down — and its risk

Buying more of a stock as its price falls ("averaging down") lowers your average cost, so the price needs to recover less for you to break even. It's a common strategy, but it only works if the company is fundamentally sound — averaging down on a permanently declining business just increases your loss. Never average down purely because a price is lower; do it only when your original thesis still holds.

PurchaseSharesPriceAmount
Buy 110₹100₹1,000
Buy 220₹80₹1,600
Buy 330₹60₹1,800
Total60₹73.33 avg₹4,400

Don't forget charges

On Indian exchanges (NSE and BSE), your true cost basis is slightly higher than the simple average because of brokerage, STT (Securities Transaction Tax), exchange fees and GST on those charges. For long-term investors these are small, but for frequent traders they add up. The average here is your pre-charge cost — useful for tracking a position, though your break-even price is a little above it.

Averaging vs systematic investing

Deliberately buying a fixed rupee amount at regular intervals — rather than reacting to price drops — is the disciplined cousin of averaging, and for mutual funds it's exactly what a SIP does. To judge how a position has actually performed over time, use the CAGR calculator; for a one-time investment's growth, the lumpsum calculator helps.

Frequently Asked Questions

How do I calculate the average price of a stock?
Add up the total amount you invested across all purchases and divide by the total number of shares you own. For example, ₹2,600 invested for 30 shares gives an average of ₹86.67 per share.
What does averaging down mean?
Averaging down means buying more shares as the price falls, which lowers your average cost. It reduces the price at which you break even, but it only makes sense if the company's fundamentals remain strong.
Is a lower average price always better?
A lower average means you break even sooner, but chasing a lower average by buying a falling stock can trap more money in a losing position. Average down based on conviction in the business, not just the falling price.
Does this calculator include brokerage and taxes?
No — it shows your average based on quantity and price only. Real charges (brokerage, STT, exchange fees, GST) make your effective cost slightly higher, so your true break-even price is a little above the figure shown.
How do I find my profit or loss?
Enter a current price and the calculator shows your position's current value, profit or loss in rupees, and percentage return — all based on your blended average buy price.
Can I average more than three purchases?
This tool supports up to three buys plus an optional current price, which covers most cases. For many small purchases, add them up into three grouped tranches, or track the running total in a spreadsheet.
What is cost basis?
Cost basis is the total price you paid for an investment, used to calculate capital gains when you sell. Your average buy price multiplied by the number of shares is your cost basis before charges.
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