Calculator
Total Shares:
Average Price: $0.00
Total Investment: $0.00
Understanding Stock Average Calculator
The Stock Average Calculator helps investors track and optimize their investment positions by calculating the average cost per share across multiple purchases. This tool is essential for investors who use dollar-cost averaging or accumulate positions over time.
How It Works
Average Cost = Total Investment Value ÷ Total Number of Shares
Where:
- Total Investment Value = Sum of (Number of Shares × Price per Share) for each purchase
- Total Number of Shares = Sum of all shares purchased
Example Calculation
If you bought:
- 100 shares at $50 ($5,000)
- 50 shares at $40 ($2,000)
Then:
- Total Investment = $7,000
- Total Shares = 150
- Average Cost = $7,000 ÷ 150 = $46.67 per share
Benefits of Tracking Your Average Cost
- Make informed decisions about adding to your position
- Better understand your profit/loss situation
- Optimize your tax planning with accurate cost basis information
- Implement dollar-cost averaging strategies effectively
- Monitor and adjust your investment strategy
💡 Pro Tip: Regular tracking of your average cost can help you identify opportunities to lower your average cost basis during market dips, potentially improving your long-term returns.