The formula
Average price = (Q₁P₁ + Q₂P₂) ÷ (Q₁ + Q₂)
Calculations run in your browser. Displayed values are rounded, while intermediate calculations keep their full precision.
What this estimate assumes
- Both entries use the same stock and currency.
- Trading fees and taxes are excluded.
A quick reality check
100 shares at US$50 + 50 at US$40
The new weighted average price is US$46.67.
Common questions
Does a lower average reduce risk?
Not automatically. It lowers break-even price but increases capital and concentration.