Behind BP’s Implied Volatility ahead of the 1Q17 Results
The implied volatility of BP (BP) stock currently stands at 21%. This level has risen from the 15% we saw on April 3, 2017.
BP (BP) has witnessed a 6% rise in its short interest volumes since the end of March 2017.
Of the 11 analysts covering BP stock, four (36%) have assigned “buy” or “strong buy” ratings, while seven (64%) have assigned “holds.” None has assigned a “sell.”
The institutional holdings in BP (BP) currently stand at ~13%—a level that has risen from ~11% in January 2017.
Now that oil prices have become volatile, BP’s stock has slumped 10.1% YTD, while crude oil prices have plunged 3.9%. Natural gas prices have fallen 5.0%.
Fluctuating oil prices have modified BP’s segment dynamics, and the company’s Upstream segment swung to earnings of $400 million in 4Q16.
BP is expected to post its 1Q17 results on May 2, 2017. In 4Q16, BP’s adjusted EPS stood at $0.12, as compared to the estimated EPS of $0.15.
Implied volatility in XOM The implied volatility in ExxonMobil (XOM) stock currently stands at 16%—higher than the 12% we saw on March 20, 2017. During the same period, XOM’s stock…
So far in fiscal 2017, short interest in ExxonMobil (XOM) stock has fallen 30%.
The institutional holdings in ExxonMobil (XOM) now stands at ~50%—up from ~49% in December 2016.
Of the 26 analysts covering ExxonMobil (XOM), five (19%) analysts have assigned “buy” or “strong buy” ratings, while 15 (58%) have assigned “hold” ratings.
ExxonMobil stock ended 2016 on a high note due to the rise in oil prices.
In 4Q15, the earnings from ExxonMobil’s Upstream segment, excluding impairment charges, stood at $1.4 billion—higher than the $0.9 billion we saw in 4Q15.
In 4Q16, XOM’s revenues missed the Wall Street expectation by 2%, while its 4Q16 reported EPS (earnings per share) stood at $0.41.
Institutional holdings in Chevron stand at ~63%. The level of these holdings shows the confidence level or sentiment sophisticated market participants such as institutions have in the stock.
Chevron’s (CVX) implied volatility stands at 17.9%, reflecting a rise from its level of 15.3% on March 30, 2017. In the same period, CVX’s stock price has fallen 1%.
Short interest in Chevron (CVX) has fallen 34% in 2017, indicating that there’s been a reduction in bearish sentiments for the stock.
CVX is expected to publish its earnings on April 28, 2017. Now, let’s review analysts’ ratings on the stock.
CVX ended 2016 on a positive note due to the rise in oil prices. Crude oil prices rose in December 2016 as OPEC decided to cut production.
Before we proceed with Chevron’s (CVX) 1Q17 segmental outlook, let’s have a look at its 4Q16 segmental performance.