BSM Intrinsic Value Calculation – Volatility on the Rise for Black Stone Minerals Stock Options
December 21, 2023
🌥️Trending News
The options of Black Stone Minerals ($NYSE:BSM) (BSM) stock have been seeing a rapid increase in implied volatility recently. This is due to the rising market value of BSM, which is a leading oil and gas mineral rights owner in the United States. The reason for the increased volatility is primarily attributed to the company’s strong financial performance. BSM has grown their revenue by double digits over the past few years and has a strong track record of delivering shareholder value. The stock has seen a marked rise in its implied volatility, which is a measure of how much the stock price is expected to move over a given period of time.
This increase in volatility is often seen as a sign of increased investor confidence in a company, as higher volatility suggests that investors are willing to pay more for the stock due to the potential for greater returns. Overall, the recent increase in implied volatility of Black Stone Minerals stock is a sign of growing confidence in the company’s future prospects. With a strong financial track record and attractive dividend yield, investors are increasingly looking at BSM as an attractive investment opportunity.
Price History
Monday marked a volatile day of trading for BLACK STONE MINERALS stock options, with the stock opening at $16.4 and closing at the same price, representing a 1.0% increase in price from the previous close of 16.2. This volatility demonstrates the high risk associated with investing in this particular energy company. Investors should remain cautious when considering whether to purchase Black Stone Minerals options due to the inherent volatility of these stocks. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for BSM. More…
| Total Revenues | Net Income | Net Margin |
| 563.69 | 437.12 | 71.7% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for BSM. More…
| Operations | Investing | Financing |
| 543.57 | -5.48 | -482.89 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for BSM. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 1.23k | 60.6 | 5.59 |
Key Ratios Snapshot
Some of the financial key ratios for BSM are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 18.8% | 41.2% | 82.0% |
| FCF Margin | ROE | ROA |
| 95.4% | 24.2% | 23.4% |
Analysis – BSM Intrinsic Value Calculation
At GoodWhale, we recently performed an analysis of BLACK STONE MINERALS’ wellbeing. Through our proprietary Valuation Line, we found that the fair value of their share is around $13.9. More…
Peers
In the world of oil and gas exploration and production, there are many companies that compete for the same resources. Black Stone Minerals LP is one of these companies, and its main competitors are Falcon Minerals Corp, ProAm Explorations Corp, Dorchester Minerals LP. All of these companies are in the business of acquiring, developing, and operating oil and gas properties.
– Falcon Minerals Corp ($TSXV:PMX)
Ampro is a Canadian company that explores for and develops mineral properties. It has a portfolio of projects in Quebec and Newfoundland & Labrador, Canada. The company’s market capitalization is $413.66 thousand and it has a negative return on equity of 2.84%.
– ProAm Explorations Corp ($NASDAQ:DMLP)
Dorchester Minerals is a publicly traded oil and gas royalty, mineral, and leasehold interest company. The company was founded in 1971 and is headquartered in Dallas, Texas. Dorchester Minerals LP has a market cap of 1.13B as of 2022, a Return on Equity of 39.37%. The company owns interests in producing and non-producing oil, natural gas, and minerals properties in the United States and Canada. Dorchester Minerals’ properties are located in Texas, Louisiana, Oklahoma, New Mexico, Wyoming, Colorado, North Dakota, Montana, Utah, California, Kansas, and Alberta.
Summary
Black Stone Minerals is a Houston-based oil and gas mineral and royalty company. Recently, the implied volatility of the company’s stock options has been surging. This suggests that investors are expecting the stock to experience a significant amount of price movement over the near-term.
Analysts have noted that this could be due to a variety of factors, such as movement in the oil and gas market, or it could be a sign that investors are expecting some news from the company soon. Investors should keep a close eye on the company’s stock as any potential news could have a big influence on its price.
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