We're seeing a level on this stock that is rare. Some are saying that the shorts do not have to fear a monthly distribution...can anyone point to a monthly paying stock that has a high degree of short interest? I can't seem to find any. They are taking their shot while they still can...a monthly payment and an increase in the distribution will drive them out en mass.
If you take the current price and apply that to the future distribution increase, you are looking at a yield of 9.5%...I would think people would recognize that. I know I am. At these levels it's almost a gift...if it hits 30, it will be. That will give you a future yield of 10%. These "bears" have to know this...which is why I don't think they are bears to begin with, but really one or two hedge funds looking to lock in amazing yields going forward. The distribtution runup is soon approaching. If you like LINE, hang in there...this won't last much longer. GLTA.
Correct...it leaves the longs a little "naked" for a longer period. BUT...June is the beginning of the increase in interest toward that distribution, so I would assume the shorts will start to feel a squeeze coming their way.