3 Shares the FTSE Should Beat Today
LONDON -- The FTSE 100 (INDEX: ^FTSE) opened down, but quickly recovered and is now just going sideways again. It's moved within a range of only about 20 points all week. And at 5,773 points, it's just three points down on Thursday's close.
But that's just an aggregate of all the companies in the index, and individuals are still moving up and down every day. We look at three members of the various FTSE indices whose shares have fallen on news today.
Trucking firm Stobart (ISE: STOB.L) dropped 4.3 pence (3.6%) to 114.8 pence on the release of a pre-close statement saying that current economic conditions are "slowing growth in the transport sector", and that "short term performance in transport is lower than market expectations".
Those expectations had the City forecasting a 4.9% dividend for the year to February 2013 from earnings of 10.3 pence per share, but we should probably expect that to be cut back now. The shares are down 8% since Aug. 21, and 18% since their 52-week high in March.
Shares in troubled South African miner Lonmin (ISE: LMI.L) fell 17.5 pence (2.7%) after it announced that chief executive Ian Farmer is to take time off due to illness, and will not be back working full time for "some months".
But the bigger problem for Lonmin has been the recent unrest at its Marikana mine, which led to the deaths of at least 34 protesters and two police officers. That gave the shares a new downward push, helping send them crashing more than 50% over the past 12 months.
Faroe Petroleum (ISE: FPM.L) lost 14.25 pence (8.9%) to 145 pence, after results from its Cooper well flow test disappointed. Although hydrocarbons were found in the exploration of four targeted formations, the stuff failed to flow to the surface, and pressure tests showed insufficient flow within the reservoir. The well is to be plugged and abandoned.
The fall today reversed the recent rise on the back of hopes for the new discovery, and the shares are now down 19% from their 52-week high of 179 pence, set on April 30.
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