Highly unlikely. You would have to prove they knowingly lied to manipulate the stock price. Their defense would be that they didn't knowingly lie, but rather that they are just plain stupid. I think Barry at Barron's and both McCollough and Kaiser at Hedgeye would win hands down on a stupidity defense.
Out this morning. No price target provided by FlyOnTheWall. I presume this means they feel the same about LINE since they are pretty much one in the same.
Received my electronic proxies today and enjoyed voting my shares against Icahn's proposal. He already made himself look foolish by demanding $150B and then asking for $50B when the rubber met the road. He should have stopped there, but he just couldn't help himself but to look like an even bigger fool by have shareholders publicly flog his recommendation with a no vote.
Cramer has been all over the map. He's too emotional with his investments for my taste. He touted LINE as a very well managed business when he started buying. Now, he is selling it because he says they are poorly managed. If he makes money, he makes up reasons why he was right. And, when he loses money, he makes up reasons why it wasn't his fault. It's just how he rolls. I like the 10%+ distribution at this level and will continue to add if it goes lower. Once they start getting the BRY deal synergies figured out, the stock should do just fine.
With the distribution apparently secure, it's hard to be wrong here at these prices over time. Short-term, who knows. I picked up more LNCO today for my Roth to bring my APP below $29 and will continue to hold my long LINN position unless something fundamental changes in the outlook. GLTA
Uh……it's 1.68 shares for 1 share. It has nothing whatsoever to do with the stock price. Whether LINE or LNCO were $5 or $50 per share today, the exchange would be the same. Perhaps there is some minimal tax advantage to get the deal done at a lower effective price, but otherwise, it is irrelevant what the stock prices were today. That said, I think think LINE and LNCO have 30% upside in the coming 12 months PLUS the distributions/dividends, but the near-term price action won't necessarily make us happy, but represents a buying opportunity for those interested. I own LINE, but have been buying LNCO the past couple of days.
The mechanics of these large stock deals seem to almost always result in weakness for days or weeks. I don't entirely understand why, but look at LRCX and ETN last year or two. Down for awhile (freaking everyone out as to why), then, up huge in both cases as synergies begin to play out. And, part of the pressure on LNCO stock probably is BRY insiders diversifying their large, newfound LNCO holdings. Nonetheless, my view is LINE and LNCO both traded comfortably in the $35 to $40 range throughout 2011 and 2012 and they are a much stronger company today with a bright future. Once the near-term selling plays out, there is no reason at the moment why these stocks won't take out those prior levels……..just as LRCX and ETN took out their previous trading ranges (even if it did take a few quarters and not a few days). We get to enjoy healthy, monthly distributions along the way though. GLTA and enjoy the added buying opportunity, if you are interested in owning more. I have been buying more, this time buying LNCO since they are disproportionately being hit.
They should report a very strong quarter in February and the next one should be outstanding as well. Along the way, I would assume we will get the previously planned increase in the distribution to $3.08 (maybe even $3.10 just to give the appearance that the deal is even better than expected). May even here about some accretive asset swaps or purchases. Combined, we should see the valuation improve to the $40 range, maybe sooner than we think. GLTA
I have elected not to trade my LINE shares, as I am happy with the tax deferred status and the level of my monthly check. However, I have chosen to add LNCO to my holdings the past couple of days because I think they have been disproportionately beaten up relative to LINE, they are more tradable for me from a tax standpoint and some of my purchases are for a couple of Roth's where LINE is not an option. In my view, the trading around this deal is not unusual. It could trade down for a while. In time, it will recoup any declines and present us with a very healthy gains barring macro factors preventing it. And, we get the pleasure of the dividends/distributions along the way. For some, those interested in owning more, this is a buying opportunity. For everyone else, some patience may be required, but will likely be rewarded in 2014. GLTA
Generally, the outcome of the vote is known before the meeting since very few wait to vote in person. As such, they will simply read the outcomes of the votes on each of the items before adjourning the meeting. Press releases probably already written to put on the wire at that time.
The market may retest the recent correction on a macro level and could take LINE/LNCO with it regardless of the bands. However, I bought LNCO today for a trade into earnings (I am long LNCO in my Roth's and LINE in my trading account). Earnings should be strong, guidance should be strong and they may increase the distribution. GLTA
Major acquisitions, like BRY, have a way of fundamentally altering the landscape for a stock. Look at KMP in this space. Look at ETN and LRCX different spaces (both went down initially on the news, but up big as synergies realized). Spin-offs do the same thing. Look at ABT/HSP/ABBV. Once the synergies of the BRY deal begin to be realized, this could very well be a $50+ stock in 2014 with a little help from the macro market IMO and perhaps another deal or two. GLTA.
This is not really news. Everyone should have known when the managements agreed to the new terms that this deal was done. ISS endorsement certainly eliminated any doubt. So, any stock move happened back then. Now, it's sell the news and all sorts of mechanics (that I don't understand), but that tend to put near-term pressure on the stocks involved with large stock transactions. It will all pass in the coming weeks and we will be off and running again. Enjoy your distribution in the meantime.
You are invested in a business that you have serious concerns about corporate malfeasance? That's absolutely bizarre to me. But then, despite not being on the inside to have visibility to the same set of facts that management has to consider, you apparently believe that you and Icahn know better how to allocate AAPL resources than does the management. Even more bizarre.
Whisper EPS was for 50 cents or less so the 62 cents was positive, even if 2 or 3 cents below analysts' average. Cash flow of $6.6B was 10% higher than expectation while margin of 48% was in line. They will issue no debt in 2014 and plan to use any excess cash flow to pay additional dividends or buy-back stock.
I was favorably surprised by the expectation for base metal cash flow contribution in 2014 of an incremental several billion dollars as well as the "green iron ore" program as another opportunity for VALE to realize higher prices than the norm.
We should see some upside movement in the coming days IMO. One day, the valuation will have to reflect the performance and when it does this is a low- to mid-$20's stock.
Could very well have been shorts covering at end of day to take their gains and avoid holding over night.
This year will be different. CM will produce as the year unfolds. The longer exchange period in the U.S. will wash through in the coming quarter or two. The iPhone 6 will truly be the mother of all upgrade cycles as one analyst put it as well as a market share gainer. And, entry into a new category will make a substantive difference in the way people value the stock, giving it both expanding EPS and multiple IMO. Finally, I think they will enter two new categories this year, including mobile payments and the living room (TV?). GLTA
I think they have set the stage in prior remarks to announce their plans for the distribution at the call. So, they won't be mute on the subject. If they can comfortably offer and sustain an increase. However, they may have a rational for why they plan to delay an increase as well. Either way, I believe their is material SP appreciation potential in the near-term and whether the distribution is $2.90 or $3.09 shouldn't largely impact interest in the stock. Still, I think they will increase the distribution to $3.08 due to synergies from the BRY deal, in combination with an improving macro environment. GLTA