How this calculator works
Weighted average, not simple average
When purchase quantities differ, adding the two prices and dividing by two is incorrect. This calculator weights each price by its quantity.
Averaging down carries risk
A lower average price does not improve the company or guarantee recovery. Recheck the investment thesis and total portfolio exposure before adding capital.
Frequently asked questions
Can this result predict a trade?
No. It only applies a formula to your assumptions. Market prices, fills, fees and outcomes can differ.
Does TradeCalcZen store my values?
Calculations stay in your browser. Turn on Remember my inputs to save a scenario locally; turn it off to remove that saved scenario. No calculator values are sent to our servers.