I agree. Bought 10k more yesterday and today at avg 5.77.
Now holding 30k shs, avg cost 7.28.
Hope they raise the dist'n like 25 cents soon to get the pps more
in line with other upstream MLPs and partially bail me out.
I just looked at closing prices since Jan 1 and the differentials are really all over the map---from max 187 cents on March 19 to minus 47 cents on February 6.
auri--gotta thank you for alerting me to the BBEP 7 7/8's of 2022. I ultimately bought 100 at about 71 in Feb and March, or $71k---which are now worth about $89k---plus the 9% interest. Sort of helps ease my losses in the stock.
Ron--I thought LNCO was just a holding company for LINE shares---shovelling the LINE distribitions dollar-for-dollar to LNCO owners. Do they pay taxes on the LINE distributions, or are they some kind of trust like an REIT? I sold my LINE and some BBEP units for LNCO because I tired of K-1's but did not think there would be much price spread--certainly not the dollar-plus spreads we're seeing now.
Sentiment: Strong Buy
Gotta wonder why you spend so much time and eloquent prose pushing MCEP etc and kicking BBEP. It's not all in the DCF numbers IMO. There are a few quality isses you missed like the percent of crude they can sell near Brent prices, and theiur low percent nat gas---also the fact that most of their employees are petroleum engineers and have shown themselves to make very good decisions under difficult times in the past. Anyway I can handle the losses so don't cry too much over me.
Maybe I should have said "hold" like I intend to do with my 25k shares. I don't base this on any pdf or pro-forma.--just a few people I trust who are voting to stay with it, where I've been since 2011--now tripling down as it's dropped---plus a belief that the demand for refined products from China, India, Indonesia, etc will rise rapidly as they all will want motorized vehicles.
I have no trouble with these terms. You could have simply said "Midpoint=mid point from company supplied rqange" and "Differential=difference between WTI/Bakken and expected actual selling price"
I haven't read their "guidance".
How does your pro-forma differ from it?
I downloaded your pdf and tried to read it but it was difficult with no explanation/definition of ideas like differentials and midpoints---or even column labels. I see that the second round is a proxy for 2017. How did $70 WTI yield 57 cents in 2016 and lose 18 cents in 2017? All hedging effects?
How can it possibly be good for us unitholders to let these private equity foxes get in front of us in acquisitions? Tell them to buy the units! Or management should be specific about what they add beside $s.
On CNBC Squawk Box this morning. If so, we shouldl see 10+ pps. This is still one of the best-managed of the upstream O&G MLP's. When will the big consumers like China and India start bidding the futures up? Stupid if they don't.