The continued prolonged dump is caused by concerns over possible reduced distributions. That concern was CAUSED by a negative Barrons article and Weil's downgrade claiming that LINE/LNCO is improperly accounting for the cost of their hedges- not counting in cashflow. LINE claims these claims are wrong confusing accounting for cashflow with accounting for income and that LINE records like similar energy companies. Some say Barrons and Weil do not understand accounting.
Unless more substantiated negative information comes out, my feeling is that LINE/LNCO are correct and this is a great buying opportunity caused by those who either do not get it or are deliberating confusing the issue.
just sayin..... thats quite a "slump". Long term means very little, I know. I keep hearing about MLPs not being good for IRAs. Yet, I thought LNCO was geared differently. But maybe not? The UBTI very quite confusing.
If you look at where LINE has traded relative to LNCO, on a percentage price basis, It’s ranged from 106% to 96% as of yesterday – averaging 101%. So LNCO got a little pricy relative to LINE. Don’t worry about it, it’ll march back up heading into the next dividend where it’ll probably get a little pricy again. Collect your divvy and focus on more important things – there’s nothing broken here. That would be my advice anyway.
after speaking with investor relations today.... I am 100% positive about having LNCO in my IRA's and my Roth. Very positive experience. Good people. Not related to the call, but the charts looked pretty good for adding more shares and so I did. I last sold at $40... so why not, right?
Sentiment: Strong Buy