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What Are the Trends in Oasis Petroleum’s Implied Volatility?

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Implied volatility

Oasis Petroleum’s (OAS) current implied volatility is ~62.9%, which is ~5.5% lower than its 15-day average of 66.5%. As the following graph shows, Oasis Petroleum’s implied volatility has fallen considerably since last year.

In contrast, Oasis Petroleum’s implied volatility is significantly higher compared to the energy sector or the Energy Select Sector SPDR ETF’s (XLE) implied volatility. XLE’s implied volatility is 15%.

Oasis Petroleum’s peers Whiting Petroleum (WLL), Continental Resources (CLR), and Newfield Exploration (NFX) have implied volatilities of 73.2%, ~43%, and ~42%, respectively. In the final part of this series, we’ll discuss analysts’ recommendations for Oasis Petroleum.

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