Murphy Oil Corporation (MUR) announces its fourth quarter earnings on Thursday the 30th of January before the open. As we can see from the implied volatility chart below, volatility continues to expand. We would expect this metric to keep on increasing until earnings are announced. Implied volatility is essentially the “expected move” of the stock. This “expected move” always moves up meaningfully before an earnings announcement due to the market projecting a significant move with respect to the share price.
Source: Interactive Brokers
Murphy Oil currently trades at just over $23 a