KMI’s implied volatility
Kinder Morgan (KMI) stock had an implied volatility of 19.6% as of May 25, 2017. Assuming stock prices are normally distributed, and based on its closing price of $19.42 on May 25, KMI stock could trade in between $19.95 and $18.89 over the next seven days.
Please note that this calculation uses the standard deviation of one, which means that the stock price is expected to be within this calculated range 68% of the time.
For indirect exposure to Kinder Morgan and its peers, you might be interested in the Alerian MLP ETF (AMLP), an ETF of top infrastructure MLPs. You can read more about Kinder Morgan’s peers in Market Realist’s Short Interest in Energy Transfer Equity Is Rising. You can read more about how midstream giants are doing after 1Q17 in our series ETE, EPD, KMI, and WMB: How Midstream Giants Stand after 1Q17.
Continue to the next part of this series for a closer look at where Kinder Morgan’s current valuation stands next to peers.