Margin Call Calculator

$/share
Price you bought at
%
Usually 50%
%
Usually 25-30%
Shares purchased
Finance

Calculate margin call price at which broker will liquidate positions. Margin call occurs when equity falls below maintenance requirement.

Formula

Margin Call Price = Loan / (Shares × (1 − Maintenance Margin %))
  • Margin call triggered when account equity falls below maintenance requirement; broker liquidates to maintain collateral ratio

Margin Call

Inputs
  • Stock Purchase Price: 100 $/share
  • Initial Margin Requirement: 50 %
  • Maintenance Margin Requirement: 25 %
  • Number of Shares: 100

Buy 100 @ $100 (50% margin) = $5k loan; margin call @ $66.67/share (stock down 33%)

Frequently asked questions

What is a margin call?
Broker demand to deposit additional funds/securities when account falls below maintenance margin threshold.
What triggers a margin call?
Stock price falls enough that account equity drops below maintenance margin requirement (e.g., 25%).
What happens if I don't meet a margin call?
Broker forcibly liquidates positions at market price to meet requirement; you incur losses and fees.