Apache’s Implied Volatility after Its 2Q16 Earnings



Apache’s implied volatility

Apache’s (APA) current implied volatility is ~36.1%. That’s ~0.70% lower than its 15-day average of 36.3%. As you can see in the graph below, Apache’s implied volatility has fallen since the start of this year.

There were also periods in which Apache saw high volatility coincide with high volatility in energy prices (USO) (UNG). With improved commodity prices since the beginning of this year, Apache’s volatility has fallen drastically.

Apache’s peers Anadarko Petroleum (APC), Continental Resources (CLR), and Concho Resources (CXO) have implied volatilities of 36.8%, 46.3%, and 33.3%, respectively.

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