I think you mischaracterized the report and the price target, which at $33 is close to $35:
Stifel Sept 11th Reiterate Buy
Despite the lack of details surrounding SEC informal inquiry and the potential for
delay in approval of the BRY merger, we continue to see visible long-term upside
for LINE. As such, we reiterate our Buy rating and target price of $33/unit.
I doubt that the new report is very different from the old one in early July. I bet they maintained the $35 price target.
July 3, 2013
Stifel maintained its Buy rating on Linn but lowered its price target from $48 to $33
“If the BRY/LNCO deal falls through and the company NEVER makes additional accretive acquisitions (extremely doubtful in our opinion), we believe LINE units are worth approximately $22 using a discounted cash flow analysis. However, if the BRY/LNCO acquisition falls through but company maintains a conservative acquisition program through 2020, we estimate LINE units to be worth $32 to $35. If we assume the BRY deal is completed in 4Q13, we estimate LINE units intrinsic value to be $35-$40 based on a future discounted cash flow analysis and assuming a conservative future acquisition program.”