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Break-Even Trade Calculator

Break-Even Trade Calculator

Find the exit price required to cover all trading costs.

Break-Even Selling Price

501.20

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Break-Even Trade Price Formula

Break-Even Selling Price = Buy Price + (Total Buy Fees + Total Sell Fees) / Quantity

Calculates the price target required to exit a trade without a loss after factoring in brokerage, STT, and exchange taxes.

Worked Example: Buying 100 shares at ₹500 with ₹120 total round-trip brokerage and taxes

Purchase cost: ₹50,000. Break-even selling price: **₹501.20 per share**.

Break-Even Price: Factoring brokerage and taxes into trade targets

Suresh bought 100 shares of a stock at ₹500. He planned to exit when the price hit ₹501. However, he forgot to account for round-trip brokerage, STT, GST, and stamp duty.

His total transaction charges were ₹120. To break even, he actually needed to sell the stock at ₹501.20 per share. Exiting at ₹501 resulted in a net loss despite the price rising.

The break-even trade price adds transaction commissions and government regulatory taxes to your entry cost base.

Always check the break-even target for short-term trades. Brokerage and taxes can heavily eat into micro-cap trading profits.

Frequently Asked Questions

What is a break-even trade?

A break-even trade is a transaction where the total revenue generated equals the total costs incurred, resulting in a net profit of exactly zero.

Why do I need to calculate a break-even price?

Stock trading involves brokerage fees, STT, exchange charges, and taxes. You must sell the stock slightly higher than your buy price just to cover these friction costs.

Does the break-even price change based on quantity?

Because some fees (like flat broker charges of ₹20 per trade) are fixed, buying a larger quantity reduces the per-share break-even distance.

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