UPDATE: J.P. Morgan Initiates LinnCo LLC with Overweight Rating on Benefits of Growing MLP

In a report published Wednesday, J.P. Morgan initiated coverage on LinnCo LLC

with an Overweight rating and $43.00 price target. J.P. Morgan noted, “LNCO units represent a new, unique structure that is able to preserve the benefits of efficient MLP tax treatment within a C-Corporation wrapper, with limited tax drag. By generally avoiding the pitfalls associated with K-1s, partnership tax treatment (state filing requirements), and Unrelated Business Taxable Income (UBTI), LINE is able to widen the investor base to those who have not traditionally invested in MLPs. We believe LNCO's high yield and underlying growth offers a compelling proposition to dividend investors, especially versus other yield-oriented securities.” LinnCo LLC closed on Tuesday at $37.00.