CNP Forecast + Trading Strategies



Bearish<—>Bullish



80% Confidence




Bullish Case: CNP's historical resilience, strategic investments, and infrastructure projects position it for gradual growth, with potential upside from infrastructure upgrades and analytics-driven performance improvements.




Bearish Case: Community discontent, regulatory scrutiny, and high implied volatility in options markets suggest downside risk. External pressures and operational setbacks may hinder CNP’s performance.




Potential Outcomes:

1. Strategic growth initiatives enhance value (60%).

2. Regulatory issues persist (40%).

3. Market movements affect volatility (50%).




Trading Oracle: Utilize a Bearish Long Volatility strategy by buying OOTM put options. This aligns with Helium's higher volatility forecast and negative sentiment, capturing potential downside while hedging against volatility spikes.



May 04, 2025


Centerpoint Energy Forecast

CNP        Centerpoint Energy











Correlated Assets

Assets that tend to move strongly with CNP



MAIN Forecast + Options Trading Strategies   MAIN  Main Street (0.85)


HIMS Forecast + Options Trading Strategies   HIMS  Hims & Hers Health (0.84)


V Forecast + Options Trading Strategies   V  Visa (0.8)


MP Forecast + Options Trading Strategies   MP  MP Materials (0.8)


RL Forecast + Options Trading Strategies   RL  Ralph Lauren (0.78)



Uncorrelated Assets

Assets with little price relationship to CNP



SCO Forecast + Options Trading Strategies   SCO  ProShares UltraShort Bloomberg Crude Oil (0.01)


AA Forecast + Options Trading Strategies   AA  Alcoa (-0.02)


CAT Forecast + Options Trading Strategies   CAT  Caterpillar (0.02)


BIP Forecast + Options Trading Strategies   BIP  Brookfield Infrastructure (-0.02)


SPYD Forecast + Options Trading Strategies   SPYD  SPDR Series Trust - SPDR Portfolio S&P 500 High Dividend (-0.02)



Anticorrelated Assets

Assets that tend to move strongly against CNP



UWMC Forecast + Options Trading Strategies   UWMC  UWM Holdings Corporation (-0.81)


JOE Forecast + Options Trading Strategies   JOE  St. Joe (-0.81)


CAL Forecast + Options Trading Strategies   CAL  Caleres (-0.82)


KOLD Forecast + Options Trading Strategies   KOLD  ProShares UltraShort Bloomberg Natural Gas (-0.83)


LEN Forecast + Options Trading Strategies   LEN  Lennar (-0.88)









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