// by seankriegler.com

Share Averaging Down Calculator

Model averaging down strategies to recover a losing stock position

Initial Position (from your broker)
Cost per share (from broker)
Supports fractional shares (e.g., 10.0374)
Current bid/ask price
Leave 0 if already in avg price, or enter actual commission
Calculate New Position

Choose what you want to find: how much to spend, target average cost, or break-even price.

How much money you'll spend at current market price

// Averaging Down Basics

If a stock is down 40%, buying more at the lower price reduces your average purchase cost, bringing your break-even price closer to current market levels. This lowers the gain % you need to recover.

// Dollar-Cost Averaging Effect

Each additional purchase at the same (or lower) price reduces your average cost and position loss. The effect diminishes as you add more capital, approaching the market price asymptotically.

// Commission & Costs

Each trade incurs a commission. On small positions this can significantly impact your break-even. Factor in both buy and eventual sell costs.

// Risk of Averaging Down

Averaging down works if price recovers, but if the stock continues falling you increase losses. Only average down if you believe in the fundamentals.