diff --git a/erpnext/stock/doctype/stock_entry/stock_entry.py b/erpnext/stock/doctype/stock_entry/stock_entry.py
index 3150d2ba87f..5bd381ba200 100644
--- a/erpnext/stock/doctype/stock_entry/stock_entry.py
+++ b/erpnext/stock/doctype/stock_entry/stock_entry.py
@@ -177,7 +177,8 @@ class StockEntry(StockController):
 						item.set(f, item_details.get(f))
 
 			if not item.transfer_qty and item.qty:
-				item.transfer_qty = item.qty * item.conversion_factor
+				item.transfer_qty = ( flt(item.qty, item.precision("qty"))
+					* flt(item.conversion_factor, item.precision("conversion_factor")) )
 
 			if (self.purpose in ("Material Transfer", "Material Transfer for Manufacture")
 				and not item.serial_no