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3 Shares the FTSE Should Beat Today

Alan Oscroft
July 25, 2012

LONDON -- While the FTSE 100 (INDEX: ^FTSE  ) muddles along, just 11 points up to 5,510 after losing all its recent gains due to the realization that everything in euroland is not actually coming up roses after all. The markets seem to be paying little attention to the interim reporting season that is upon us.

And though we have seen good results from some, a number of FTSE constituents are not doing so well. We look at three whose shares have dipped today.

Struggling Yell Group saw 36% of the valued wiped off its shares this morning, as they slumped to just 1.1 pence after the local business directory operator turned in disastrous results for the quarter ending June 30.

With revenue down 15% to 331 million pounds, EBITDA down 36% to 71 million pounds, free cash flow down 47%, and the firm struggling under net debt of 2.1 billion pounds, Yell announced that it is seeking a "new capital structure," which may result in a dilution of current shareholders interests; basically, it needs a massive cash injection, and that's likely to leave current owners with little.

Tullow (LSE: TLW.L  )