ENS Forecast


Bullish Case: EnerSys shows a strong probability of a positive return over the next year, supported by high bullish risk, recent price acceleration, and increased investor interest.


Bearish Case: Potential high short-term volatility and historical mean reversion trends suggest risk of price declines, especially amid recent valuation concerns and management changes.


Potential Outcomes:

1) Price increase from bullish sentiment and contract wins - 60%.

2) Short-term decline from high volatility and management instability - 30%.

3) Price stagnation due to mean reversion - 10%.


Trading Oracle: Initiate a bullish diagonal spread: buy long-dated ITM calls and sell short-dated OTM calls. This leverages long-term growth while profiting from short-term volatility. Focus on strikes around $100, considering current volatility and mean-reversion trends.


July 17, 2024


Enersys Forecast

ENS      Enersys











Correlated Assets

Assets that tend to move strongly with ENS



ETRN Forecast + Options Trading Strategies   ETRN  Equitrans Midstream (0.39)


XLE Forecast + Options Trading Strategies   XLE  Energy Select Sector SPDR (0.11)


VFC Forecast + Options Trading Strategies   VFC  VF (0.09)


LI Forecast + Options Trading Strategies   LI  Li Auto (-0.29)



Uncorrelated Assets

Assets with little price relationship to ENS



VFC Forecast + Options Trading Strategies   VFC  VF (0.09)


XLE Forecast + Options Trading Strategies   XLE  Energy Select Sector SPDR (0.11)


LI Forecast + Options Trading Strategies   LI  Li Auto (-0.29)


ETRN Forecast + Options Trading Strategies   ETRN  Equitrans Midstream (0.39)



Anticorrelated Assets

Assets that tend to move strongly against ENS



ETRN Forecast + Options Trading Strategies   ETRN  Equitrans Midstream (0.39)


XLE Forecast + Options Trading Strategies   XLE  Energy Select Sector SPDR (0.11)


VFC Forecast + Options Trading Strategies   VFC  VF (0.09)


LI Forecast + Options Trading Strategies   LI  Li Auto (-0.29)





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