X
<

National Oilwell Varco: Valuation, Analysts' Ratings, and More

PART:
1 2 3 4 5 6 7
Part 5
National Oilwell Varco: Valuation, Analysts' Ratings, and More PART 5 OF 7

What’s National Oilwell Varco’s 7-Day Stock Price Forecast?

Implied volatility

On September 8, 2017, National Oilwell Varco’s (NOV) implied volatility was 25.4%. Since the company declared its 2Q17 financial results on July 27, its implied volatility has fallen from ~30% to the current level. Implied volatility signals a stock’s potential price movement, as viewed by option traders.

National Oilwell Varco’s implied volatility was near its two-year high in February 2016 when it reached 52%. Since then, it has fallen gradually. National Oilwell Varco accounts for 4.5% of the SPDR S&P Oil & Gas Equipment & Services ETF (XES). XES has fallen 19% in the past year—compared to a 4% fall in National Oilwell Varco’s stock price. Read Could National Oilwell Varco’s Prospects Rise in 2017? to learn more.

What’s National Oilwell Varco’s 7-Day Stock Price Forecast?

Interested in NOV? Don't miss the next report.

Receive e-mail alerts for new research on NOV

Success! You are now receiving e-mail alerts for new research. A temporary password for your new Market Realist account has been sent to your e-mail address.

Success! has been added to your Ticker Alerts.

Success! has been added to your Ticker Alerts. Subscriptions can be managed in your user profile.

Crude oil’s implied volatility

Since July 27, 2017, crude oil’s implied volatility has fallen from 29% to ~27% currently. In May 2017, crude oil’s implied volatility was ~33%—the highest so far in 2017.

Seven-day stock price forecast

National Oilwell Varco stock will likely close between $32.87 and $30.63 in the next seven days. Assuming normal distribution of stock prices and one standard deviation probability of 68.2%, National Oilwell Varco’s stock price was $31.75 on September 8, 2017.

Peers’ implied volatility

McDermott International’s (MDR) implied volatility on September 8, 2017, was 40%. So, its stock price could vary between $6.53 and $5.85 in the next seven days. Helix Energy Solutions’ (HLX) implied volatility was ~57% on September 8. Helix Energy Solution’s stock price could vary between $6.93 and $5.93 in the next seven days. TechnipFMC’s (FTI) implied volatility on September 8 was ~29%. Its stock price could vary between $26.52 and $24.48 in the next seven days.

The energy sector makes up 5.7% of the S&P 500 Index (SPX-INDEX). The SPX-INDEX rose 14% in the past year—compared to a 2% fall in National Oilwell Varco’s stock price. To learn more, read SLB, HAL, NOV, WFT: How They Stack Up after 2Q17.

Typically, energy stocks are correlated to crude oil prices. In the next part, we’ll see if National Oilwell Varco’s correlation with crude oil prices has increased.

X

Please select a profession that best describes you: