How to Use the Stock & Crypto Average Down Cost Calculator
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Enter your initial purchase: shares count and purchase price.
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Enter subsequent purchases (price and shares bought).
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View updated average cost per share, total capital invested, and profit/loss at target prices.
Practical Example & Use Case
Owning 100 shares at $50, then buying 100 more at $30 gives a new average of $40 per share — reducing breakeven by $10.
Technical Notes & Limitations
Calculates pure volume-weighted average price. Brokerage trading fees and tax implications are excluded.
Frequently Asked Questions
What is averaging down?
Purchasing more shares of an asset as its price drops to lower the overall average cost basis per share.
What is the formula?
New Average = Total Capital Invested ÷ Total Shares Owned = (S1*P1 + S2*P2 + ...) / (S1 + S2 + ...).