How much leverage does stock support?

Stock leverage multiples are typically between 2 to 4 times, and the specific leverage multiples for different stocks may vary. The size of the leverage multiple mainly depends on the initial margin requirement.

How to check how much leverage a stock supports on the App:

Click the yellow "Margin" icon in the upper right corner of the stock chart page, and the system will pop up a prompt box explaining whether the stock supports margin trading or short selling, as well as related margin ratios, reference interest rates, etc.

For example, if you want to use margin to buy a stock, the system shows an initial margin of 30% for long positions, which means you can use less capital to leverage trading, with a specific leverage multiple of approximately 3.33 times (i.e., 30% margin ratio).

Leverage multiple = Total asset value / Own funds (margin) = 1 / Margin ratio

Therefore:

Leverage multiple = 1 / 30% = 1 / 0.30 ≈ 3.33 times

How to check how much leverage a stock supports on the Web:

Click the yellow "Margin" icon in the upper left corner of the stock chart page, and the system will pop up a prompt box explaining whether the stock supports margin trading or short selling, as well as related margin ratios, reference interest rates, etc.

For example, if you want to use margin to buy Tesla stock, the system shows a margin ratio of 35%, which means you can use less capital to leverage trading, with a specific leverage multiple of 2.85 times (i.e., 35% margin ratio).