news.cmlviz.com
menu
share

Entegris Inc Price Volatility Hits A Lowered Level




Entegris Inc (NASDAQ:ENTG) Price Volatility Hits A Lowered Level

Date Published:

PREFACE
This is a proprietary realized volatility rating created by Capital Market Laboratories (CMLviz) based on a large number of data interactions for Entegris Inc (NASDAQ:ENTG) . We examine the little used gem of daily stock volatility over a 20-day and 30-day trading period, as well as comparisons to the last year and the actual stock returns over the last three- and six-months and the S&P 500 and Nasdaq 100 indices.


Option trading isn't about luck -- this four minute video will change your trading life forever: Option Trading and Truth

As a heads up, in the "Why This Matters" section at the end of this article on Entegris Inc (NASDAQ:ENTG) , we're going to take a step back and show really clearly that there is actually a lot less "luck" in successful option trading than most people are aware of. This idea of an "option trading expert" is vastly over complicated so those with the information advantage can continue to profit at the expense of the rest.

But before that, let's turn back to ENTG. This is a four step process for computing the realized volatility risk. Here we go.

ENTG Recent Price Volatility


Rating
Price volatility using proprietary measures has hit a lowered level.

Note
Even though Entegris Inc generates substantial revenue and is a mid cap, technology companies in general have higher stock volatility than the rest of the market. Here is a rolling annual volatility chart of the biotech index (IBB) versus the Nasdaq 100 and the S&P 500. Note how elevated the technology sector volatility is (the yellow curve) relative to the S&P 500.



While stocks with ENTG's profile see a short-term quiet period, this is also one of those times when a shake out volatility move could be on the horizon. Let's take a deep dive into some institutional level volatility measures for Entegris Inc (NASDAQ:ENTG) .

Entegris Inc Stock Performance
ENTG is up +17.0% over the last three months and up +27.9% over the last six months. The stock price is up +78.8% over the last year. The current stock price is $21.47.

ENTG Step 1: Stock Returns
The one-year stock return does not impact the volatility rating since we are looking at a shorter time horizon. However, the rating does examine the 3-month returns and the absolute difference between the 3-month and 6-month returns.

  The 3-month stock return of +17.0% has a small impact on the price volatility rating for ENTG.
  The greater than 10% difference between the 3-month and 6-month stock returns has an impact on the price volatility rating for ENTG.

ENTG Step 2: Daily Price Volatility Level
The HV30® takes the stock's day to day historical volatility over the last 30-days and then annualizes it. The HV20 looks back over just 20-days -- a shorter time period. Here is the breakdown for Entegris Inc (NASDAQ:ENTG) and how the day-by-day price historical volatilities have impacted the rating:

  The HV20 of 22.1% is low enough that it has a downward impact on ENTG's volatility rating.


ENTG Step 3: Entegris Inc HV20 Compared to Indices
* The HV20 for ENTG is substantially larger than that for both the S&P 500 and the NASDAQ 100 which raises the volatility rating.

* The HV20 for ENTG is substantially larger than that for the Technology ETF (XLK) which raises the volatility rating.

Here is summary data in tabular and chart format.

           ENTG
           HV20    
   S&P 500
HV20
   NASDAQ 100
HV20   
   XLK
HV20   
           22.1%    6.1%    6.01%    6.76%

ENTG Step 4: Daily Volatility Percentiles and Highs

We also examine the annual high of the HV30 in our rating but in this case the 52 week high in HV30 for ENTG is 42.9%, which is not enough to impact the price volatility rating.

Here is summary data in tabular and chart format.

           ENTG
           HV20    
   ENTG
HV30
   ENTG
HV30 High   
           22.1%    28.4%    42.9%

Final Price Volatility Percentile Level: ENTG
The final evolution of the volatility rating for Entegris Inc is a comparison of the HV30 value relative to its past, which is neatly summarized in the percentile -- a scoring mechanism that goes from a low of 1 to a high of 100.

Entegris Inc Realized Volatility Percentiles