Well I hate to admit it but it looks like it is over. There is just too much negative stuff not to have some fire underneath. prefect example of a very important investment rule. Don't fall in love with a stock. And also the use of a stop loss. There is no way anything good is going to come out of this. I have made one last gasp of pulling out by buying calls this morning. If i am wrong could be rewarded and if i am right want lose too much. I am holding on to equity position for a better exit position.
It is going to be interesting to see how this plays out. it amazes to me why any of us held on when they are better opportunities. So why hold on to a risk. We seem to never learn. Oh well maybe next time but this has been a good learning experience. Anytime something negative comes out repeatedly it is time to move on..
I'm not in love with the stock. I'm married to it. (Average pps $17.26.) If I sell, I'll have to pay tax on capital gains and 4 years of distributions. Oh well, if they cut the distribution, I'll continue to have some income which is why I got into it in the first place.
I guess it all depends on the outcome of theSEC investigation.
flashdlc the tax bill may not be as bad as you think. Your basis looks like a zero so the entire sales proceeds minus sales expense would be taxable income if held in a brokerage account. I have traded Line but not in and no plan to buy in for at least 3 months.
I think there was other warning signs also. Not covering last quarters distribution with DCF was a big sell sign. Linn grew too fast too soon selling many new shares and starting LNCO shares was a big risk sign. Also the report last quarter that the new wells drilled last quarter did not meet expectations were another warning. I think also the deal taking over a c-corp did not make the feds happy, maybe it helped them in the SEC's decision to do this inquiry. Will the BRY deal go thru is a toss up now!
You hit it all. As I said the last ER was terrible. Lack of execution and having to shut down rigs that weren't producing as was expected. Cramer got suckered and suckered I even more/ While peeps like Norris defended him.