3 FTSE shares being crushed this month

FTSE 100 LSEThe FTSE 100 is up 33 points (0.6%) to 5,660 as I write, on hopes that European leaders and the European Central bank will come good on their promises to do what it takes to save the euro.

But even if our big blue-chip shares are stabilising as a result, some individual companies have seen their share prices slump this month. Here are three from the FTSE indices that have suffered a torrid July, but that might just be looking like bargains now...
Shares in Ferrexpo have suffered another poor month, and are currently down 15% from their end-of-June price of 215p, to 183p. That adds to a pretty bad year all round, with the shares having peaked at 366p in early February, meaning they've lost exactly 50% since then.

The iron ore processor and dealer's troubles stem from lowering expectations related to the global slump in demand for metals, minerals and other commodities, which has also affected the mining sector. But at today's price, and even with forecasts suggesting a 30% fall in earnings per share this year, the shares are on a very low price-to-earnings (P/E) ratio of 4.2, falling to 3.6 for 2013 -- and there's no real debt on the books.

Can the shares really fall much further? We might well be at a nice point for a recovery now.

Kesa Electricals didn't shrug off its woes when it got rid of UK high-street chain Comet, and the shares have had another bad month, falling 11.25p (23%) over the month to 38.25p, due to the continuing dire economic conditions afflicting much of Europe.

The firm, which owns the Darty and Datart chains in addition to several other European brands, has now seen its shares drop from a year high of 131p, an overall 70% fall.

But again, things could be overdone, at least with a long-term view, as current forecasts suggest a reasonably well-covered dividend of 7.4% for 2013, and a P/E of under 8.

British engineering has been out of favour for a while, and Renold is one firm in the sector that has had a bad month as a result, falling 15% from July's high point of 35.5p to today's 30.3p. But looking at the bigger picture, July might just be a blip in an otherwise nice recovery.

In May, the industrial chain and gear manufacturer reported revenues up 9.6% with adjusted earnings per share more than doubled from 2p to 4.2p. Net debt rose in absolute terms, but fell as a proportion of EBITDA. There was no dividend to be paid, but the firm did say it "will consider future dividend policy in the light of performance and, in particular, free cash flow from the business".

The debt on the balance sheet is a problem, but with forecasts putting the shares on a forward P/E of only 5.7, there's room for some risk to be taken there.

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