Even at $18 per unit and the dcf cut to $2.60 per annum, Linn is attractive. The results of the last 3 quarters have been less than stellar, but the industry as a whole is down. The bottom line is the stock is oversold, but provides a monthly distribution as insurance. The catalysts for the most upside would be cessation of the SEC inquiry and the BRY acquisition. It world be nice to wait a couple of quarters to see what happens. The question is, how much are you willing to risk (short) Linn fails? The experts disagree. That may be a good thing, in that at the end of the day, there will be a clear winner!
You bring up a good point regarding short strategy. What if the SEC issues a statement at today at 4:01 pm indicating that Linn's accounting practices are in full compliance with SEC guidelines? That should trigger a sequence of events rather unfavorable to shorts. Why would they take such a chance? Are they so naive as to believe that Linn's accounting is awry in any significant way? Maybe their algos would trigger covering in the blink of an eye.