10-08-2014, 10:31 PM
(10-08-2014, 07:32 PM)rapidacid Wrote: I have no idea what LNCO is or what the story is behind it, but looks like they slashed their dividend back in July of 2013 and haven't raised it since
They were -4.3% today on a massive accumulation day with the overall market +1.75% ... not a pretty picture
Regarding your statement: "Not sure what is happening with LINE and LNCO"
1) Pull out your money.
2) Find a blue chip you like and can understand.
3) Buy said blue chip
4) Profit
LNCO hasn't slashed their dividend, they just went from paying quarterly payments to monthly ones.
LINE/LNCO has been making some assets swaps/sales lately that should strengthen their cash position and decrease capex and I think will keep their dividend safe. The stock has sold off along with the rest of the oil & gas companies as crude oil has cratered from $107 to $87 since the end of June.
LNCO/LINE has been the target of a few short attacks and is considered a risky play which shows in the high yield, but compared to a SDRL and some other higher yielding options, I think it has a decent chance of maintaining the payouts and possibly getting back to dividend growth in late 2015 or early 2016 if the price of crude rebounds.