How does the Share Average Calculator work?
The Stock Average Calculator helps you manage your investments by calculating the average price of stocks you’ve purchased. Imagine you bought 120 TCS stocks at rs 3,974 each, but the stock price dropped to rs 3940. To bring down your average purchase price and improve your investment position, you plan to buy more shares. This calculator tells you how many additional shares you need to purchase to lower your average price closer to the current market price. It’s like having a financial advisor in your pocket, giving you quick insights into your investment strategy.
To calculate the average share price when you have more than two shares with different prices and quantities, you can use the weighted average formula.
Here’s the formula:
Average Share Price= Total Investment for Share 1+Total Investment for Share 2+…+Total Investment for Share n / Total Numbers of Shares own
How To Use Stock Average Calculator?
Let’s say you bought TCS shares twice at different prices. First, you purchased 120 shares at ₹3974 each, and later, you bought 150 shares at ₹3940 each.
Example:
