Short Sale Calculator
Work out profit or loss, return on margin and the break-even cover price for a short position, including borrow fees and dividends. Educational only, not trading or investment advice.
Quick answer
Short sale profit is gross P&L = shares x (short price - cover price), less borrow cost, dividends owed and commissions. Borrow cost = proceeds x annual fee x days held / 365. Return is measured on margin posted.
Short Sale Calculator
Opening and closing combined.
Total paid while short.
Percent of short proceeds.
Net Profit / Loss
—
Return on Margin
—
Break-even Cover Price
—
Gross Profit / Loss
—
Margin Posted
—
Borrow Cost
—
Dividends Owed
—
Net profit / loss by cover price
Educational only. This is not trading or investment advice. Short positions can lose more than the margin posted.
Outcome by Cover Price
| Cover price | Change vs short price | Net P&L (₹) | Return on margin |
|---|
Assumptions & method
- Gross P&L = shares × (short price − cover price). Net P&L = gross − borrow cost − dividends owed − commissions.
- Borrow cost = short proceeds × annual fee × days held ÷ 365 (simple, flat rate on the original proceeds).
- Dividends owed = shares × dividend per share paid while short. Margin posted = short proceeds × margin %; return on margin = net P&L ÷ margin posted.
- Break-even cover price = short price − (borrow cost + dividends + commissions) ÷ shares.
- Not included: interest earned on proceeds, margin interest, taxes, margin calls, forced buy-ins or recall of borrowed shares. Not trading or investment advice.
Results are estimates based on the figures you enter. They are not guarantees and not financial advice.
What a short sale really costs
A short seller profits when the price falls, but the headline price difference is only part of the picture. You pay a borrow fee for the shares, owe any dividends paid while you are short, and pay commissions to open and close. Those costs raise the price you need to cover at in order to break even. Because your capital at risk is the margin you post rather than the full position, returns on margin look large, and so can losses. This calculator shows the net result, the break-even price and how the outcome changes with the cover price, from a deep decline to a sharp rally.