Margin Call Price Calculator
Find the price at which a margin long or short position gets a maintenance call, from the entry price, initial margin, and maintenance margin requirement.
- Margin call price (price falls to)
- $66.67
- Price move needed to trigger a call
- -33.33%
- Effective leverage
- 2x
How it works
Buying on margin funds part of the purchase with a loan: at entry, the loan is EntryPrice × (1 − InitialMargin). At any later price P, your equity is just the position's value minus that loan, and a maintenance call fires once equity ÷ P falls to the maintenance margin requirement. Solving that equation for P gives the call price: CallPrice = EntryPrice × (1 − InitialMargin) ÷ (1 − MaintenanceMargin). Since the loan amount never changes, a falling price shrinks equity toward the loan until it trips the maintenance threshold.
A short sale works the opposite direction: selling short raises cash equal to EntryPrice, held alongside the deposited initial margin, while the liability is buying the shares back at whatever the current price P turns out to be. Equity is EntryPrice × (1 + InitialMargin) − P, and the same maintenance-margin condition solved for P gives CallPrice = EntryPrice × (1 + InitialMargin) ÷ (1 + MaintenanceMargin) — a short position gets called when the price rises, not falls.
FAQ
What if my broker's actual maintenance margin is higher than this?
Use whatever percentage your broker actually requires — it's typically higher than FINRA's regulatory 25% minimum for many stocks, and can be higher still for volatile or concentrated positions. Check your brokerage agreement rather than assuming a standard figure, since it directly changes the call price.
Does this account for additional deposits, interest on the margin loan, or other positions in the account?
No — it's the single-position textbook formula, assuming the loan amount stays fixed at what it was when you opened the position. Margin interest accruing over time, other positions sharing the same account, and any cash you add later all shift the real call price; this calculator gives the baseline figure those complications move away from.
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