KINDER MORGAN ENERGY Profile

Most reasonable investors view market volatility as an opportunity to invest at a favorable price or to sell short against a bearish trend. KINDER's investment highlights are automatically generated signals that are significant enough to either complement your investing judgment regarding KINDER or challenge it. These highlights can help you better understand the position you are entering and avoid costly mistakes.

What are KINDER's target price odds to finish over the current price? Depending on a normal probability distribution, the odds of KINDER jumping above the current price in 90 days from now is about 28.32%. The KINDER MORGAN ENERGY probability density function shows the probability of KINDER bond to fall within a particular range of prices over 90 days. Assuming the 90 days trading horizon KINDER has a beta of 0.0237. This usually implies as returns on the market go up, KINDER average returns are expected to increase less than the benchmark. However, during the bear market, the loss on holding KINDER MORGAN ENERGY will be expected to be much smaller as well. Additionally, the company has an alpha of 0.0945, implying that it can generate a 0.0945 percent excess return over NYSE Composite after adjusting for the inherited market risk (beta).

Investors will always prefer to have the highest possible return on investment while minimizing volatility. KINDER market risk premium is the additional return an investor will receive from holding KINDER long position in a well-diversified portfolio. The market premium is part of the Capital Asset Pricing Model (CAPM), which most analysts and investors use to calculate the acceptable rate of return on investment in KINDER. At the center of the CAPM is the concept of risk and reward, which is usually communicated by investors using alpha and beta measures. Although KINDER's alpha and beta are two of the key measurements used to evaluate KINDER's performance over the market, the standard measures of volatility play an important role as well.