Where Energy Transfer Partners Could Trade in the Upcoming Days



Energy Transfer Partners’ implied volatility

Energy Transfer Partners’ (ETP) 30-day implied volatility was 26% as of December 27, 2017, which is slightly lower than the 15-day average of 26.7%. ETP’s peers Kinder Morgan (KMI) and Williams Partners (WPZ) have implied volatilities of 21.3% and 18.4%, respectively. By comparison, the Alerian MLP ETF (AMLP) has an implied volatility of 20.8%. ETP’s higher implied volatility compared to AMLP could be mainly attributed to its high crude oil and natural gas exposure through commodities acquisition and marketing and natural gas processing businesses.

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Energy Transfer Partners’ price forecast

Based on its implied volatility, Energy Transfer Partners could trade at $17.27–$18.57 in the next seven days. ETP stock is expected to be in that range 68% of the time. That assumes a normal distribution of prices and a standard deviation of one.

In the next part, we’ll look at Energy Transfer Partners’ recent analyst recommendations.


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