Centerpoint Energy Stock Price Prediction
| CNP Stock | USD 29.14 0.08 0.27% |
Oversold Vs Overbought
38
Oversold | Overbought |
CenterPoint Energy stock price prediction is an act of determining the future value of CenterPoint Energy shares using few different conventional methods such as EPS estimation, analyst consensus, or fundamental intrinsic valuation. The successful prediction of CenterPoint Energy's future price could yield a significant profit. Please, note that this module is not intended to be used solely to calculate an intrinsic value of CenterPoint Energy and does not consider all of the tangible or intangible factors available from CenterPoint Energy's fundamental data. We analyze noise-free headlines and recent hype associated with CenterPoint Energy, which may create opportunities for some arbitrage if properly timed.
Below are the key fundamental drivers impacting CenterPoint Energy's stock price prediction:Quarterly Earnings Growth 0.586 | EPS Estimate Next Quarter 0.48 | EPS Estimate Current Year 1.62 | EPS Estimate Next Year 1.74 | Wall Street Target Price 30.61 |
It is a matter of debate whether stock price prediction based on information in financial news can generate a strong buy or sell signal. We use our internally-built news screening methodology to estimate the value of CenterPoint Energy based on different types of headlines from major news networks to social media. The CenterPoint stock price prediction module provides an analysis of price elasticity to changes in media outlook on CenterPoint Energy over a specific investment horizon. Using CenterPoint Energy hype-based prediction, you can estimate the value of CenterPoint Energy from the perspective of CenterPoint Energy response to recently generated media hype and the effects of current headlines on its competitors. We also analyze overall investor sentiment towards CenterPoint Energy using CenterPoint Energy's stock options and short interest. It helps to benchmark the overall future attitude of investors towards CenterPoint using crowd psychology based on the activity and movement of CenterPoint Energy's stock price.
CenterPoint Energy Short Interest
A significant increase or decrease in CenterPoint Energy's short interest from the previous month could be a good indicator of investor sentiment towards CenterPoint. Short interest can provide insight into the potential direction of CenterPoint Energy stock and how bullish or bearish investors feel about the market overall. An investor who is long CenterPoint Energy may also wish to track short interest. As short interest increases, investors should be becoming more worried about CenterPoint Energy and may potentially protect profits, hedge CenterPoint Energy with its derivative instruments, or be ready for some potential downside.
200 Day MA 28.1759 | Short Percent 0.0242 | Short Ratio 2.4 | Shares Short Prior Month 12.4 M | 50 Day MA 28.0558 |
CenterPoint Energy Hype to Price Pattern
Investor biases related to CenterPoint Energy's public news can be used to forecast risks associated with an investment in CenterPoint. The trend in average sentiment can be used to explain how an investor holding CenterPoint can time the market purely based on public headlines and social activities around CenterPoint Energy. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Some investors profit by finding stocks that are overvalued or undervalued based on market sentiment. The correlation of CenterPoint Energy's market sentiment to its price can help taders to make decisions based on the overall investors consensus about CenterPoint Energy.
CenterPoint Energy Implied Volatility | 20.8 |
CenterPoint Energy's implied volatility exposes the market's sentiment of CenterPoint Energy stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if CenterPoint Energy's implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that CenterPoint Energy stock will not fluctuate a lot when CenterPoint Energy's options are near their expiration.
This module is based on analyzing investor sentiment around taking a position in CenterPoint Energy. This speculative approach is based exclusively on the idea that markets are driven by emotions such as investor fear and greed. The fear of missing out, i.e., FOMO, can cause potential investors in CenterPoint Energy to buy its stock at a price that has no basis in reality. In that case, they are not buying CenterPoint because the equity is a good investment, but because they need to do something to avoid the feeling of missing out. On the other hand, investors will often sell stocks at prices well below their value during bear markets because they need to stop feeling the pain of losing money.
CenterPoint Energy after-hype prediction price | USD 29.12 |
There is no one specific way to measure market sentiment using hype analysis or a similar predictive technique. This prediction method should be used in combination with more fundamental and traditional techniques such as stock price forecasting, technical analysis, analysts consensus, earnings estimates, and various momentum models.
Prediction based on Rule 16 of the current CenterPoint contract
Based on the Rule 16, the options market is currently suggesting that CenterPoint Energy will have an average daily up or down price movement of about 1.3% per day over the life of the 2024-05-17 option contract. With CenterPoint Energy trading at USD 29.14, that is roughly USD 0.38 . If you think that the market is fully incorporating CenterPoint Energy's daily price movement you should consider acquiring CenterPoint Energy options at the current volatility level of 20.8%. But if you have an opposite viewpoint you should avoid it and even consider selling them.
CenterPoint |
Sophisticated investors, who have witnessed many market ups and downs, anticipate that the market will even out over time. This tendency of CenterPoint Energy's price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy.
CenterPoint Energy After-Hype Price Prediction Density Analysis
As far as predicting the price of CenterPoint Energy at your current risk attitude, this probability distribution graph shows the chance that the prediction will fall between or within a specific range. We use this chart to confirm that your returns on investing in CenterPoint Energy or, for that matter, your successful expectations of its future price, cannot be replicated consistently. Please note, a large amount of money has been lost over the years by many investors who confused the symmetrical distributions of Stock prices, such as prices of CenterPoint Energy, with the unreliable approximations that try to describe financial returns.
Next price density |
| Expected price to next headline |
CenterPoint Energy Estimiated After-Hype Price Volatility
In the context of predicting CenterPoint Energy's stock value on the day after the next significant headline, we show statistically significant boundaries of downside and upside scenarios based on CenterPoint Energy's historical news coverage. CenterPoint Energy's after-hype downside and upside margins for the prediction period are 27.98 and 30.26, respectively. We have considered CenterPoint Energy's daily market price in relation to the headlines to evaluate this method's predictive performance. Remember, however, there is no scientific proof or empirical evidence that news-based prediction models outperform traditional linear, nonlinear models or artificial intelligence models to provide accurate predictions consistently.
Current Value
CenterPoint Energy is very steady at this time. Analysis and calculation of next after-hype price of CenterPoint Energy is based on 3 months time horizon.
CenterPoint Energy Stock Price Prediction Analysis
Have you ever been surprised when a price of a Company such as CenterPoint Energy is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading CenterPoint Energy backward and forwards among themselves. Have you ever observed a lot of a particular company's price movement is driven by press releases or news about the company that has nothing to do with actual earnings? Usually, hype to individual companies acts as price momentum. If not enough favorable publicity is forthcoming, the Stock price eventually runs out of speed. So, the rule of thumb here is that as long as this news hype has nothing to do with immediate earnings, you should pay more attention to it. If you see this tendency with CenterPoint Energy, there might be something going there, and it might present an excellent short sale opportunity.
| Expected Return | Period Volatility | Hype Elasticity | Related Elasticity | News Density | Related Density | Expected Hype |
0.06 | 1.14 | 0.02 | 0.02 | 11 Events / Month | 5 Events / Month | In about 11 days |
| Latest traded price | Expected after-news price | Potential return on next major news | Average after-hype volatility | ||
29.14 | 29.12 | 0.07 |
|
CenterPoint Energy Hype Timeline
On the 1st of May CenterPoint Energy is traded for 29.14. The entity has historical hype elasticity of -0.02, and average elasticity to hype of competition of -0.02. CenterPoint is estimated to decline in value after the next headline, with the price expected to drop to 29.12. The average volatility of media hype impact on the company price is over 100%. The price depreciation on the next news is expected to be -0.07%, whereas the daily expected return is currently at 0.06%. The volatility of related hype on CenterPoint Energy is about 312.94%, with the expected price after the next announcement by competition of 29.12. About 93.0% of the company shares are held by institutions such as insurance companies. The company has price-to-book (P/B) ratio of 1.8. Some equities with similar Price to Book (P/B) outperform the market in the long run. CenterPoint Energy has Price/Earnings To Growth (PEG) ratio of 2.09. The entity last dividend was issued on the 14th of February 2024. The firm had 1000:843 split on the 1st of October 2002. Considering the 90-day investment horizon the next estimated press release will be in about 11 days. Check out CenterPoint Energy Basic Forecasting Models to cross-verify your projections.CenterPoint Energy Related Hype Analysis
Having access to credible news sources related to CenterPoint Energy's direct competition is more important than ever and may enhance your ability to predict CenterPoint Energy's future price movements. Getting to know how CenterPoint Energy's peers react to changing market sentiment, related social signals, and mainstream news is a great way to find investing opportunities and time the market. The summary table below summarizes the essential lagging indicators that can help you analyze how CenterPoint Energy may potentially react to the hype associated with one of its peers.
| HypeElasticity | NewsDensity | SemiDeviation | InformationRatio | PotentialUpside | ValueAt Risk | MaximumDrawdown | |||
| LNT | Alliant Energy Corp | (0.59) | 11 per month | 1.19 | 0.01 | 2.01 | (2.09) | 5.76 | |
| EXC | Exelon | 0.06 | 11 per month | 0.99 | 0.06 | 2.05 | (1.91) | 6.80 | |
| EVRG | Evergy Common Stock | (0.11) | 8 per month | 1.03 | 0.04 | 1.93 | (2.02) | 5.89 | |
| PNW | Pinnacle West Capital | 0.14 | 10 per month | 1.16 | 0.05 | 1.97 | (2.04) | 6.08 | |
| MGEE | MGE Energy | (1.73) | 10 per month | 1.32 | 0.09 | 2.40 | (2.62) | 23.07 | |
| FE | FirstEnergy | (0.08) | 8 per month | 0.89 | 0.05 | 1.77 | (1.64) | 6.71 | |
| EIX | Edison International | (0.24) | 9 per month | 1.16 | 0.05 | 2.11 | (2.07) | 5.67 |
CenterPoint Energy Additional Predictive Modules
Most predictive techniques to examine CenterPoint price help traders to determine how to time the market. We provide a combination of tools to recognize potential entry and exit points for CenterPoint using various technical indicators. When you analyze CenterPoint charts, please remember that the event formation may indicate an entry point for a short seller, and look at other indicators across different periods to confirm that a breakdown or reversion is likely to occur.| Cycle Indicators | ||
| Math Operators | ||
| Math Transform | ||
| Momentum Indicators | ||
| Overlap Studies | ||
| Pattern Recognition | ||
| Price Transform | ||
| Statistic Functions | ||
| Volatility Indicators | ||
| Volume Indicators |
About CenterPoint Energy Predictive Indicators
The successful prediction of CenterPoint Energy stock price could yield a significant profit to investors. But is it possible? The efficient-market hypothesis suggests that all published stock prices of traded companies, such as CenterPoint Energy, already reflect all publicly available information. This academic statement is a fundamental principle of many financial and investing theories used today. However, the typical investor usually disagrees with a 'textbook' version of this hypothesis and continually tries to find mispriced stocks to increase returns. We use internally-developed statistical techniques to arrive at the intrinsic value of CenterPoint Energy based on analysis of CenterPoint Energy hews, social hype, general headline patterns, and widely used predictive technical indicators.
We also calculate exposure to CenterPoint Energy's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to CenterPoint Energy's related companies. | 2021 | 2022 | 2024 (projected) | Dividend Yield | 0.0297 | 0.0259 | 0.0565 | Price To Sales Ratio | 1.98 | 2.03 | 2.18 |
Story Coverage note for CenterPoint Energy
The number of cover stories for CenterPoint Energy depends on current market conditions and CenterPoint Energy's risk-adjusted performance over time. The coverage that generates the most noise at a given time depends on the prevailing investment theme that CenterPoint Energy is classified under. However, while its typical story may have numerous social followers, the rapid visibility can also attract short-sellers, who usually are skeptical about CenterPoint Energy's long-term prospects. So, having above-average coverage will typically attract above-average short interest, leading to significant price volatility.
Contributor Headline
Latest Perspective From Macroaxis
View All Premium Stories
CenterPoint Energy Short Properties
CenterPoint Energy's future price predictability will typically decrease when CenterPoint Energy's long traders begin to feel the short-sellers pressure to drive the price lower. The predictive aspect of CenterPoint Energy often depends not only on the future outlook of the potential CenterPoint Energy's investors but also on the ongoing dynamics between investors with different trading styles. Because the market risk indicators may have small false signals, it is better to identify suitable times to hedge a portfolio using different long/short signals. CenterPoint Energy's indicators that are reflective of the short sentiment are summarized in the table below.
| Common Stock Shares Outstanding | 633.2 M | |
| Cash And Short Term Investments | 631 M |
Check out CenterPoint Energy Basic Forecasting Models to cross-verify your projections. To learn how to invest in CenterPoint Stock, please use our How to Invest in CenterPoint Energy guide.You can also try the Global Correlations module to find global opportunities by holding instruments from different markets.
Complementary Tools for CenterPoint Stock analysis
When running CenterPoint Energy's price analysis, check to measure CenterPoint Energy's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy CenterPoint Energy is operating at the current time. Most of CenterPoint Energy's value examination focuses on studying past and present price action to predict the probability of CenterPoint Energy's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move CenterPoint Energy's price. Additionally, you may evaluate how the addition of CenterPoint Energy to your portfolios can decrease your overall portfolio volatility.
| Investing Opportunities Build portfolios using our predefined set of ideas and optimize them against your investing preferences | |
| Price Ceiling Movement Calculate and plot Price Ceiling Movement for different equity instruments | |
| Risk-Return Analysis View associations between returns expected from investment and the risk you assume | |
| Financial Widgets Easily integrated Macroaxis content with over 30 different plug-and-play financial widgets | |
| Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities |
Is CenterPoint Energy's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of CenterPoint Energy. If investors know CenterPoint will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about CenterPoint Energy listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.586 | Dividend Share 0.77 | Earnings Share 1.37 | Revenue Per Share 13.782 | Quarterly Revenue Growth (0.20) |
The market value of CenterPoint Energy is measured differently than its book value, which is the value of CenterPoint that is recorded on the company's balance sheet. Investors also form their own opinion of CenterPoint Energy's value that differs from its market value or its book value, called intrinsic value, which is CenterPoint Energy's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because CenterPoint Energy's market value can be influenced by many factors that don't directly affect CenterPoint Energy's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between CenterPoint Energy's value and its price as these two are different measures arrived at by different means. Investors typically determine if CenterPoint Energy is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, CenterPoint Energy's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.