Continue reading Hudson City Tops Bullish Volatility Skews; Xcel Energy Tops Bearish

Hudson City Tops Bullish Volatility Skews; Xcel Energy Tops Bearish originally appeared on BloggingStocks on Thu, 15 Jul 2010 13:30:00 EST. Please see our terms for use of feeds.

Investors call services are pushing put option prices higher in the diversified utilities industry today.

Any time the volatility skews above 1.00, it is an indication that calls are more expensive than puts. Typically, when calls are more expensive than puts, it means the demand for calls is greater than the demand for puts because investors believe the stock is going to rise in the future and they want to take advantage of that movement by buying calls.

Continue reading Novell Tops Bullish Volatility Skews; CMS Energy Tops Bearish

Novell Tops Bullish Volatility Skews; CMS Energy Tops Bearish originally appeared on BloggingStocks on Wed, 07 Jul 2010 14:00:00 EST. Please see our terms for use of feeds.

"The road back from near bankruptcy in 2002 for CMS Energy (NYSE: CMS) has been a rocky one," says Roger Conrad. Here's an update from his specialty service, The Utility Forecaster.

"From Three Mile Island to the Enron meltdown, utilities have always recovered from disaster by cutting debt and operating risk and repairing regulatory relations.

"Last fall, the shares of CMS Energy -- our latest featured growth stock -- plunged from high teens to single digits on recession worries in embattled Michigan. Ironically, however, CMS' underlying business is healthier than at any time since the late 1990s.

Continue reading CMS: Utility comes back from bankruptcy

CMS: Utility comes back from bankruptcy originally appeared on BloggingStocks on Wed, 10 Jun 2009 15:30:00 EST. Please see our terms for use of feeds.