Corporate Webpages Linn Energy, LLC
At the time of this writing, we have one other energy stock,
Breitburn Energy, which has oil fields in the Los Angeles area.
One would think this area had been pretty well played out by
now, but with modern recovery methods, many fields are still producing.
Both companies seem to be doing well with domestic exploration.
We have been looking of late at Microsoft MSN recommendations
of which this is one. That is why "Stock Scout" gives it a "10"
as the Money.MSN network screening lands on this company. The
MSN selections often seem to go counter to major researchers and
are better at spotting turnaround situations. Researchers do
not like this stock, which may be a reason why it is overlooked.
CEO Michael C. Linn was active in other organizations such as
Meridian Exploration Corp. before founding Linn Energy in 2003
and going public in 2006. His initial focus was on the Appalachia
Basin.
The company has good corporate governance in our opinion. We
would particularly direct your attention to the current hefty
dividend. In news items this is often described somewhat
uniquely as "cash disbursements" which are regularly approved.
Those who held the stock on November 4th this year will receive
a 10.30% dividend. But this does not mean the stock is not
imminently tradeable, as the volatility is sufficient for day trading.
This company is described as having "poor growth" by some, but
the valuation is there. This might seem surprising in view of
the very long list of competitors in the same domestic oil
exploration group. The valuation is a testimony to the management.
This is a company which is very focused and buys mature fields.
The key indicator it watches is not "growth" but rather "reserves."
11-24-2009: Linn Energy, LLC (LINE): Very High Dividend
(WAIT FOR PAGE TO LOAD COMPLETELY BEFORE LINKS WORK.)
Company Profile
Company History
News
Comparison with Peers
Bond Issue
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Financial Statements
Financial Ratios
Market Grader
Intrinsic Value (Disc. CashFlow)
Scout Stock Rating
Projected Earnings
Research Reports
Analysts' Opinions
Insider Activity
Institutional Activity
Sentiment
Short Interest
Stock Report
Management's Discussion
Moving Average Chart
Channel Potential
Intraday Chart
Stock Fetcher
Point & Figure Chart
Wall Street Analyzer
Marketspace Chart
Time Series Forecast
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Recommendation
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Company Profile |
Company History |
News |
Comparison |
Similar Companies Performance:
Bond Issue |
Zenith Index |
Linn Energy, LLC (LINE ) Sector: Basic Materials
JPMorgan Chase Tower Industry: Independent Oil & Gas
600 Travis Suite 5100 Exchange: Nasdaq
Houston, TX
Linn Energy, LLC, through its subsidiaries, engages in the
development and acquisition of gas and oil properties in the United
States. The company has oil and gas, and natural gas reserves in
Mid-Continent, which includes the Texas Panhandle operating area;
and Western region comprising the Brea Olinda field of the Los
Angeles Basin in California. As of December 31, 2007 the company had
proved reserves of 1,945.5 billion cubic feet equivalent of oil and
gas, and natural gas liquids. It also operated 7,305 gross
productive wells. The company was founded in 2003 and is
headquartered in Houston, Texas.
Last Trade: 24.53 52-Week Range: 25.49 - 10.81
Trade Date: 11-23 Avg. Volume: 1,334,390 Shares
Index Membership: N/A Employees: 505
Corporate Governance:
EPS: 5.65 Dividend Amount: $ 2.52 Yield: 10.30%
Ex-Dividend Date: 04-Nov-09 Mkt Cap: $ 3,190,000K
Payout Ratio: 43.00%
Last Split Factor (new for old): N/A Split Date: N/A
Key Statistics:
Enterprise Value: $ 4,910,000K Revenue (ttm) : $ 366,980K
Gross Profit: $ 1,280,000K
Earnings before Income Tax, Depreciation and Amortization: $ 771,100K
Enterprise Value/Revenue (ttm): 13.38 Revenue per Share: $ 3.16
Enterprise Value/EBITDA (ttm): 6.37 Qtrly Rev Growth (y to y):-57.50%
P/E Ratio (fwd projected): 12.39 P/E Ratio (current): 4.34
P/E Growth Ratio (5 yr expected): 5.74 Operating Margin: 155.56%
Price/Sales Ratio: 8.67 Profit Margin: 178.68%
Price/Book Value: 1.23 Book Value: $ 19.90/sh.
Return on Assets: 8.36% Net Income Avl to Common: $ 658,180K
Return on Equity: 30.14% Diluted Earnings/Share: $ 5.65
Qrtly Earnings Growth (yoy): 0.00%
Balance Sheet Items : Cash Flow Items (ttm):
(most recent qrtr) (trailing 12 mo.)
Total Cash: $ 10,600K Operating Cash Flow:$ 466,850K
Total Debt: $ 1,740,000K Lvgd Free Cash Flow:$ 54,790K
Total Debt/Equity: 0.00
Total Cash/Share: $ 0.08
Current Ratio: 2.05
Share Statistics: Stock Price History:
Shares Outstanding: 129,920K Stk 52-Week Change: 95.45%
Float: 115,910K S&P 500 52-Wk Chng: 29.87%
Sh. Short % of Float: 2.90% 50-Day Moving Avg: 24.31
Short Ratio: 1.60 200-Day Moving Avg: 21.44
% Held by Institutions: 21.30% Beta: 0.65
% Held by Insiders: 2.37%
Analysts' Estimates: Cur. Qtr Next Qtr Cur. Year Next Year
___________________________ Dec-09 Mar-10 Dec-09 Dec-10
Average Earnings Estimate 0.38 0.44 0.61 1.98
Average Revenue Estimate 204M 219M 860M 874M
Factors Comparing This Company to Its Industry Leader (1.0 = Average):
Long Term EPS Growth Rate (5 yr): 0.000 EPS Growth (Qrtly YoY): 0.000
PEG Ratio (ttm, 5 yr expected): 0.055 P/E Ratio (ttm): 0.006
Revenue Growth (Qrtly YoY): -.657
Annual Income Statements: All numbers in thousands)
Period Ending 31-Dec-08 31-Dec-07 31-Dec-06
Total Revenue 1,435,031 0 191,058
Cost of Revenue 151,672 12,596 22,961
Gross Profit 1,283,359 -12,596 168,097
Operating Expenses:
Research & Development 0 0 0
Selling, General & Administrative 138,826 145,715 39,993
Non-Recurring Expenses -48,258 3,231 0
Other Operating Expenses 195,529 105,201 24,173
Total Operating Expenses 0 0 0
Operating Income or Loss 997,262 -266,743 103,931
Income from Continuing Operations:
Total Other Income/Expenses Net -74,376 -31,903 -2,654
Earnings Before Interest & Taxes 922,886 -298,646 101,277
Interest Expense 94,517 62,130 25,494
Income Before Taxes 828,369 -360,776 75,783
Income Tax Expense 2,712 3,573 -3,402
Minority Interest 0 0 0
Net Income from Continuing Op.s 825,657 -364,349 79,185
Non-recurring Events:
Discontinued Operations 173,959 0 0
Extraordinary Items 0 0 0
Effect of Accounting Changes 0 0 0
Other Items 0 0 0
Net Income 999,616 -364,349 79,185
Preferred Stock & Other Adjustmnts 0 0 0
Net Income Avail To Common Shares 999,616 -364,349 79,185
Quarterly Income Statements: All numbers in thousands)
Period Ending 30-Sep-09 31-Mar-09 31-Dec-08 30-Jun-08
Total Revenue 18,965 242,661 1,043,981 238,660
Cost of Revenue 36,154 38,604 141,934 0
Gross Profit -17,189 204,057 902,047 238,660
Operating Expenses:
Research & Development 0 0 0 0
Selling, General & Adminis. 25,620 30,868 -59,474 57,563
Non-Recurring Expenses 31,841 -26,711 -48,258 2,475
Other Operating Expenses -22,020 52,104 47,883 914,817
Total Operating Expenses 0 0 0 0
Operating Income or Loss -52,630 147,796 961,896 -736,195
Income from Continuing Operations:
Total Other Income/Expenses Net -87,274 -11,964 -48,859 27,291
Earnings Before Int. & Taxes -120,075 135,832 913,037 -708,904
Interest Expense -37,671 14,409 23,318 16,241
Income Before Taxes -82,404 121,423 889,719 -725,145
Income Tax Expense 58 136 1,665 -164
Minority Interest 0 0 0 0
Net Income from Continuing Op.s -82,462 121,287 888,054 -724,981
Non-recurring Events:
Discontinued Operations -1,247 -1,886 452 12,839
Extraordinary Items 0 0 0 0
Effect of Accounting Changes 0 0 0 0
Other Items 0 0 0 0
Net Income -83,709 119,401 888,506 -712,142
Preferred Stock & Other Adj.s 0 0 0 0
Net Income Avail To Common Shs -83,709 119,401 888,506 -712,142
Annual Balance Sheets: All Numbers in Thousands
Period Ending 31-Dec-08 31-Dec-07 31-Dec-06
Current Assets:
Cash & Cash Equivalents 28,668 1,441 6,595
Short Term Investments 368,951 26,100 37,817
Net Receivables 144,882 138,716 22,468
Inventory 0 2,350 578
Other Current Assets 21,430 3,418 2,218
Total Current Assets 563,931 172,025 69,676
Long-Term Investments 493,705 0 70,435
Property, Plant & Equipt 3,650,666 3,523,500 754,043
Goodwill 0 64,419 0
Intangible Assets 0 0 0
Accumulated Amortization 0 0 0
Other Assets 13,718 36,625 20,086
Deferred Long Term Asset Charges 0 0 2,068
Total Assets 4,722,020 3,796,569 916,308
Current Liabilities:
Accounts Payable 190,825 218,304 14,843
Short/Current Long Term Debt 47,005 6,148 1,335
Other Current Liabilities 0 7,141 1,839
Total Current Liabilities 237,830 231,593 18,017
Long Term Debt 1,692,918 1,506,813 438,171
Other Liabilities 30,586 31,522 9,166
Deferred LT Liability Charges 0 0 0
Minority Interest 0 0 0
Negative Goodwill 0 0 0
Total Liabilities 1,961,334 1,769,928 465,354
Stockholder Equity:
Misc. Stocks Options Warrants 0 0 0
Redeemable Perferred Stock 0 0 0
Preferred Stock 0 0 0
Common Stock 2,109,089 2,374,660 0
Retained Earnings 651,597 0 16,330
Treasury Stock 0 0 0
Capital Surplus 0 0 0
Other Stockholder Equity 0 -348,019 434,624
Total Stockholder Equity 2,760,686 2,026,641 450,954
Net Tangible Assets 2,760,686 1,962,222 450,954
Quarterly Balance Sheets: All Numbers in Thousands
Period Ending 30-Sep-09 31-Mar-09 31-Dec-08 30-Jun-08
Current Assets:
Cash & Cash Equivalents 10,595 22,893 28,668 9,612
Short Term Investments 0 428,638 368,951 0
Net Receivables 98,150 110,561 144,882 274,645
Inventory 0 0 0 0
Other Current Assets 313,532 47,142 21,430 11,891
Total Current Assets 422,277 609,234 563,931 296,148
Long-Term Investments 213,130 480,067 493,705 0
Property, Plant & Equipt 3,739,077 3,670,667 3,650,666 4,191,191
Goodwill 0 0 0 69,674
Intangible Assets 0 0 0 0
Accumulated Amortization 0 0 0 0
Other Assets 64,679 12,950 13,718 17,414
Deferred LT Asset Charges 0 0 0 73,890
Total Assets 4,439,163 4,772,918 4,722,020 4,574,427
Current Liabilities:
Accounts Payable 157,570 160,173 190,825 197,786
Current Portion LT Debt 48,042 35,724 47,005 354,765
Other Current Liabilities 0 0 0 0
Total Current Liabilities 205,612 195,897 237,830 626,441
Long Term Debt 1,739,492 1,734,282 1,692,918 2,970,525
Other Liabilities 35,613 33,352 30,586 37,383
Deferred LT Liab. Charges 44,945 0 0 0
Minority Interest 0 0 0 0
Negative Goodwill 0 0 0 0
Total Liabilities 2,025,662 1,963,531 1,961,334 3,634,349
Stockholder Equity:
Misc. Options, WarrantS 0 0 0 0
Redeemable Perferred Stock 0 0 0 0
Preferred Stock 0 0 0 0
Common Stock 0 0 2,109,089 0
Retained Earnings 0 0 651,597 0
Treasury Stock 0 0 0 0
Capital Surplus 0 0 0 0
Other Stockholder Equity 2,413,501 2,809,387 0 940,078
Total Stockholder Equity 0 2,809,387 2,760,686 940,078
Net Tangible Assets 0 2,809,387 2,760,686 870,404
Annual Cash Flow: All Numbers in Thousands
Period Ending 31-Dec-08 31-Dec-07 31-Dec-06
Net Income 999,616 119,401 79,185
Operating Activites:
Depreciation 217,330 104,120 29,035
Adjustments to Net Income -1,018,077 152,370 -114,546
Changes in Accounts Recv'bls 3,673 -106,227 -371
Changes in Liabilities -20,471 165,986 -2,941
Changes in Inventories 0 3,286 2,833
Changes in Other Op'ing Actv's 0 0 0
Total Cash Flow fr Operations 179,515 -44,814 -6,805
Investing Activities:
Capital Expenditures -933,136 -2,869,348 -531,651
Investments 0 0 0
Other Cash Flows fr Investing 0 0 0
Total Cash Flows fr Investing -35,550 -2,892,420 -551,631
Financing Acitivies:
Dividends Paid -289,915 -154,963 -32,056
Sale or Purchase of Stock -14,998 2,078,267 432,490
Net Borrowings 188,175 1,008,776 153,556
Other Cash Flows fr Financing 0 0 0
Total Cash Flows fr Financing -116,738 2,932,080 0
Effect of Exchange Rate Change 0 0 0
Change in Cash & Cash Equiv.s 27,227 -5,154 -4,446
Quarterly Cash Flow: All Numbers in Thousands
Period Ending 30-Sep-09 31-Mar-09 31-Dec-08 30-Jun-08
Net Income -83,709 119,401 888,506 -712,142
Operating Activites:
Depreciation 55,348 54,591 52,460 57,039
Adjustments to Net Income 83,449 -61,417 -898,738 748,375
Changes in Accounts Recv'bls 3,451 42,371 103,121 0
Changes in Liabilities 16,585 -39,826 -9,887 -19,403
Changes in Inventories 0 0 0 0
Changes in Other Oper'g Acts -3,274 -20,150 1,265 -6,212
Total Cash Flow f Operations 71,850 94,970 136,727 -617
Investing Activities:
Capital Expenditures -144,616 -70,751 -104,898 -136,149
Investments 0 0 0 0
Other Cash Flows fr Investing 33 11,934 153,453 76,560
Total Cash Flows fr Investing -144,583 -58,817 48,555 -59,589
Financing Acitivies:
Dividends Paid 144,994 -72,538 -72,584 -72,566
Sale or Purchase of Stock 0 -2,465 -13,017 -191
Net Borrowings 132,664 33,075 -118,282 141,499
Other Cash Flows fr Financing -221,430 0 0 0
Total Cash Flows fr Financing 56,228 -41,928 -203,883 68,742
Effect of Exchange Rate Chg 0 0 0 0
Change in Cash & Cash Equiv. 0 0 0 0
LINE Linn Energy, LLC [Indices near +3.0 or near zero,
or < zero bear special attention.]
P/E Ratio Tests:
Current P/E Ratio < 28? 3.0000 P/E Ratio > 5? 0.0000
P/E Ratio Vs Growth Rate: 3.0000 Forward P/E Ratio < 28? 2.2599
Sales Tests:
Price/Sales Ratio < 2.3? 0.2653 Inventory/Sales < 5%? 1.0000
Sales < $1 billion? 0.6968 Operating Margin < 7.5%? 0.0482
Balance Sheet Tests:
Debt/Equity < 0.40? 1.0000 Long-Term Debt Service: 1.6307
LTD Being Reduced? 0.6000 Short-Term Debt Service: 3.0000
Current Ratio > 2? 1.0270 Working Capital >= 1.5? 0.9738
Leverage Ratio < 20%? 0.5328 Debt / Assets < 1? 2.7893
Quick Ratio > 1? 0.5289 Inventory Turnover > 1? 1.0000
Shares Out Decreasing? 1.2000 Market Cap.> 1.5 Billion? 0.4702
Profit Margin > 7.5%? 3.0000
Income Tests:
Dividend Yield > 2.0%? 0.5825 EPS Annual Growth > 10%? 0.0000
Enterprise Value/Revenue: 3.0000 EPS 5-yr Growth > 20%? 0.1600
Enterprise Value/EBITDA: 0.9097 EPS Growth Consistent? 1.2000
EPS Qrtly Growth > 10%? 0.0000 Collection < 45 days? 1.2211
Rev. Qtrly Growth > 15%? -3.0000 Gross Pft/Cur. LTD < 1? 3.0000
EPS Annual Growth > 10%? 0.0000 Borrowing Int. Rate< 6%? 3.0000
Stock Performance Tests:
Volatility > 25%? 3.0000 % Held by Insiders < 5%? 2.1097
Beta > 1.25? 0.5200 % Held by Institut. < 50? 2.3474
50 Da MA > 200 Da MA? 0.3510 % Held by Institut. > 30? 0.7100
52-Wk Change vs. S&P 500: 1.9914 Short Ratio > 5? 0.3200
Price/Book Value < 3? 2.7700 Short % of Float > 20? 0.1450
Return on Assets > 17%? 0.4918 Average Volume > 100,000? 3.0000
Cash Flow Tests:
Oper. C.F. > Lever'd C.F: 3.0000 Positive Free Cash Flow? 1.0000
Positive Oper. Cash Flow? 1.0000 Price to C.F./sh. Ratio: 3.0000
Cash Flow / Assets >.10? 0.1234
LINE Linn Energy, LLC Overall Zenith Index: 1.3669
Financial Statements |
Financial Ratios |
. . . . . . . . . . . . 1 = Highest , 10 = Lowest
Market Grader |
Intrinsic Value |
Intrinsic Value by Discounted Cash Flow Method:
Stock Scout |
We find "Scout" to be a bit biased toward the high end, so anything under a 6 is considered a negative, 6 and above, positive.
Projected Earnings |
Research Reports |
Analysts' Opinions |
Insider Activity |
Institutional Activity |
Institutional Orders to Buy or Sell:
Sentiment |
Zenith uses the "sentiment" score above or below 50 to award a positive or negative point in the Decision Matrix.
Short Interest Ratio |
As the short interest rises as a percentage of average daily share volume (Days to Cover), this is considered a measure of negative sentiment. Similarly, a decrease in that percentage is considered positive sentiment.
Stock Report |
Management's Discussion of Results of Operations Excerpts |
Moving Average Chart |
Channeling Potential |
The summary below includes a value for `Degree,' which refers on a
scale of 1 to 10 the range of a channel in the period under consi-
deration compared to the total range of price movement. It also looks
for the last closing price to be within the channel, otherwise zeroed.
The `Index' is the `Degree' weighted for volatility. Generally, the
the higher the index, the more suitable is the stock for trading as
a `rolling stock' between channel high and low points.
Results for Linn Energy:
Symbol? LINE
Total Months Available: 46
Months in Cycle? 4
Months Covered by Periods: 12
Period 1 Period 2 Period 3
H1 L1 H2 L2 H3 L3
16.70 10.81 21.27 14.50 25.49 20.91
RANGE = 25.49 TO 10.81 Close = 24.49
CHANNEL = 20.91 TO 16.70 Degree = 3
Volatility = 17.19% Index = 5
Intraday Chart |
20 Days:
1 Day:
The following table details which MACD signals on the preceding chart are best taken. Originally, this was set up for a two-day span, but ten days gives a better sample. Unfortunately, with the 10-day span, the colored lines on the histogram are much harder to read. Both spans are shown above. Red turning into green on the histogram is a buy and green turning into red is a sell, but with the following conditions. The share price must have moved at least 0.2% away from the previous signal price in order to avoid whipsawing. More importantly, the +/- magnitude of the MACD (the blue line, which crosses the red line at signal time) must be greater than the minimum required magnitude indicated below. Otherwise, the signal is ignored. LINE Minimum Magnitude MACD for Action = ± 0.0250 Ticker Day Time Hist. MACD Sig Line Act Price Profit LINE 12 08:05 0.0001 -0.0302 -0.0303 B 24.53 0.00 LINE 12 08:19 -0.0007 -0.0271 -0.0264 S 24.45 -0.32 LINE 12 09:06 0.0027 -0.0324 -0.0350 B 24.35 0.10 LINE 13 06:28 0.0118 0.0255 0.0137 24.60 -0.52 LINE 13 06:42 -0.0045 0.0370 0.0415 S 24.49 -0.52 LINE 13 07:24 0.0015 -0.0297 -0.0311 B 24.38 -0.07 LINE 13 09:41 -0.0009 0.0287 0.0296 S 24.58 0.75 LINE 16 05:05 -0.0027 0.0017 0.0044 24.50 1.24 LINE 16 07:03 0.0000 0.0291 0.0291 B 24.74 1.24 LINE 16 07:17 -0.0010 0.0312 0.0322 S 24.79 1.45 LINE 16 07:25 0.0003 0.0292 0.0289 B 24.84 1.24 LINE 16 10:57 -0.0020 0.0308 0.0328 S 24.94 1.65 LINE 16 12:51 0.0007 -0.0261 -0.0268 B 24.76 2.37 LINE 17 05:02 0.0090 -0.0034 -0.0124 24.80 2.93 LINE 17 09:42 -0.0015 0.0251 0.0265 S 24.73 2.93 LINE 18 06:30 -0.0033 -0.0017 0.0016 24.80 2.37 LINE 18 10:13 0.0006 -0.0260 -0.0266 B 24.61 2.37 LINE 18 06:30 -0.0033 -0.0017 0.0016 24.80 2.37 LINE 18 10:13 0.0006 -0.0260 -0.0266 B 24.61 2.37 LINE 19 06:30 -0.0057 0.0014 0.0071 24.60 3.73 LINE 20 11:11 -0.0001 0.0261 0.0262 S 24.34 3.73 LINE 23 05:03 0.0055 0.0286 0.0231 24.55 2.17 LINE 23 13:00 -0.0003 -0.0033 -0.0030 24.53 2.17
Stock Fetcher |
Point & Figure Chart |
Wall Street Analyzer |
Marketspace Chart |
Time Series Forecast |
Neural Network Prediction |
"Neurostock" can only track long trades. Therefore its performance, as tracked by itself on stocks which are consistently falling, may not appear as good as it could if each "sell" signal were a "short sale."
Ultimate Trading Systems |
The corresponding trades for the above chart are shown in tabular form below.
Recommendation |
| Factors | Weighted Points |
|---|---|
| News | + 1 |
| Comparison | - 1 |
| Industry | - 1 |
| Bond Issue | + 1 |
| Zenith Index | + 1 |
| GAAP vs. non-GAAP Earnings < 1% | - 1 |
| Cash Flow | + 1 |
| Ratios | + 1 |
| Market Grader | - 1 |
| Intrinsic Value DCF | + 1 |
| Intrinsic Value DDM | 0 |
| Stock Scout | + 1 |
| Projected Earnings | - 1 |
| Research Reports | - 1 |
| Analysts | + 1 |
| Executive Perquisites | + 1 |
| Insider Activity | 0 |
| Institutional Activity | + 1 |
| Management Reporting | + 1 |
| Short Interest | - 1 |
| Sentiment | + 1 |
| Standard & Poor's | - 1 |
| Moving Average | - 1 |
| Stock Fetcher | 0 |
| Point & Figure | + 1 |
| Wall Street Analyzer | + 1 |
| Marketspace Chart | + 1 |
| Time Series Chart | - 1 |
| Neural Network | 0 |
| Stock Options | + 1 |
| Ultimate Trading Systems | - 1 |
| Total | + 5 |
Place 1,200 shares of Linn Energy LLC (LINE) on the Active List.
