Options Update: ConocoPhillips volatility elevated at 80; oil below $56 (ETN, UTHR)

Posted Nov 17th 2008 8:30AM by Paul Foster
Filed under: ConocoPhillips (COP), Options, Eaton Corp (ETN)

ConocoPhillips (NYSE: COP) closed at $47.39 Friday. WTI crude oil futures are recently down 2.16% to $55.81 according to Bloomberg. Berkshire Hathaway reported an 84 million stake in COP. COP December option implied volatility is at 80, January is at 75; is above its 26-week average of 43 according to Track Data, suggesting larger price movement.

Eaton (NYSE: ETN) closed at $41.15 Friday. Deutsche Bank has a Hold rating on ETN. Berkshire Hathaway reported a 2.9 million stake in ETN. ETN December option implied volatility of 76 is above its 26-week average of 46 according to Track Data, suggesting larger price movement.

United Therapeutics (NYSE: UTHR) is recently down $25.90 to $64.62 in pre-open trading. UTHR ph.3 FREEDOM-C trial for oral treprostinil failed to its meet endpoint. UTHR November 90 straddle went out at $21.10, December 90 straddle is priced at $27.40 according to Track Data, suggesting large price movement.

Option Update is provided by Stock Specialist Paul Foster of theflyonthewall.com

Tags: cop, etn, option implied volatility, OptionImpliedVolatility, United Therapeutics, UnitedTherapeutics, uthr

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Reader Comments (Page 1 of 1)

11-17-2008 @ 1:13PM

Sam said...

I wrote about COP yesterday. It is very high on my watch list - oil prices cannot stay low for too long.

Any doubts would have been cleared after Warren Buffet loaded up on this stock - making it the 4th highest stake for Berkshire.

I think this stock will be near $100 way before the current recession is over

-Sam
http://tickertoday.blogspot.com