Free Average Down Calculator - Lower Your Cost Basis

Our average down calculator is an essential tool for investors who want to strategically reduce their average cost basis when stock prices decline. Also known as a cost averaging calculator, this tool helps you determine exactly how purchasing additional shares at lower prices will affect your overall investment position and break-even point.

The averaging down strategy can be powerful when used correctly, but it requires careful calculation to understand the true impact on your portfolio. Our stock average down calculator shows you the new average price per share, total investment amount, and how many shares you'll own after making additional purchases at current market prices.

Whether you're dollar-cost averaging into a position, taking advantage of market dips, or implementing a systematic investment strategy, this average down calculator provides the precise calculations you need to make informed decisions about when and how much to invest in declining stocks.

Average Down Calculator

Calculate your new average cost basis when buying additional shares at lower prices

Current Position

New Purchase

Frequently Asked Questions

Averaging down is an investment strategy that involves buying additional shares of a stock you already own after its price has dropped. This lowers the average cost per share of your total holdings.

The calculator takes your current number of shares and average price, along with the number of new shares you want to buy and their price, to compute your new, lower average cost per share.

Visual guide to understanding average down investment strategy and cost basis calculations

Benefits of Using Our Average Down Calculator

Calculate new average cost basis when buying additional shares.
Determine exact break-even points after averaging down.
Optimize investment amounts for maximum cost reduction.
Make informed decisions about risk management strategies.
Instantly see total investment and share count changes.
Better portfolio management and position sizing decisions.