What is happening was slowly going up, past week down 25% Good entry or further down.

I hope the Septics get the $700 billion loan through in the next few days otherwise I can see the FTSE tanking.

TIPPED.....

Front::Tips

Buy Yell (YELL) at 39.475p 21/Jan/2010
Says cautious, long-term blue chip investor Robert Sutherland Smith of UK350.com.


Yellow is a colour with some unappealing associations; yellow fever, the yellow streak. We can include the yellow brick road on the basis that the Wizard of Oz had much in common with Fred Goodwin. To this sad roll call of yellows we may add the Yellow Group Plc (YELL) as one of the nation's most dismal equity performers. It is of course the company that supplies the famous Yellow Pages business and service directories.


The Yellow Group is a one time growth story gone horribly wrong. Too many acquisitions and too much debt with little of net tangible worth for ordinary shareholders in the balance sheet with which to support a share price that has been falling like an alpine mountainside since early 2007. Then the share price reached a peak of a penny under 600p, clocking up a 329p gain in the preceding five years. By
late 2008 everything had gone wrong with it. A notable too highly geared company
linked to the retreating advertising market, with large numbers of suddenly
dating, printed business directories in a new digital, internet age, the share
price only stopped falling when it halted at 12p. It recovered to 80p but
recently relapsed to half that price. So at 39.475p, I think the time has come
to look at its prospects once more.



First, this is still a business with sales revenue last year worth over 2.4
billion pounds: more than two and a half times the current market capitalisation
of its equity at 920 million pounds. Even if, as is the case, that revenue may
be predicted to shrink a bit in forward estimates of performance, it is still a
huge disparity.



Second, following the rights issue last November, the company offers considerably more underlying equity value than it did previously, although remaining highly geared. The next and first post' rights issue balance sheet for the year to 31 March 2010 will be published In the first quarter of next year. We know that it will have the benefit of some 650 million pounds of gross new capital; an amount that is 70% of the current market capitalisation. If this new capital is shown as cash in the balance sheet, it means on a crude pro forma basis that the shares are selling on an estimated forward share price to cash multiple of well under two times. However, part of that cash will inevitably be put to work in the business either as replacement of debt, new working capital, or investment. The company's enterprise value could grow to an estimated 6.5 billion pounds assuming that it is not used to pay down debt. At 6.5 billion pounds the enterprise value will be some seven times the current market value of the equity. In good trading times, advantageous gearing for equity holders. Shareholder funds should roughly double, on my estimate, to about 1.2 billion pounds representing an estimate of some 51p a share. In other words, the equity is selling at a circa 23% discount to shareholder equity assets.




Third, the interim results to 31 March last, prior to the rights, offered some attractions. Although reported revenue fell 4% and ebitda (what I call trading profit) dropped 14% to GBP297 million, operating cash actually rose 18% to GBP400 million and free cash stood at GBP225 million. The loveliness of a thing sometimes alters with perspective. From the perspective of a depressed equity market capitalisation of 920 million pounds those first six months numbers look wonderfully attractive at 3 times (six months only) ebitda, 2.3 times the six months only operating cash and 4 times six months free cash. If that is not remarkable equity value, then I will eat my hat, as they used to say when men obviously consumed hats, before Health and Safety forbade the practice.

Forward estimates
for the current year to 31 March 2010 two months to go expect last year's reported pre tax loss of 1 billion pounds to be transformed into a pre tax profit of 204 million pounds and an estimated 225 million pounds next year. The related earnings per share are estimated at 13.6p for this year falling to a smaller post rights 8.7p next year. That puts the shares on forward price earnings ratios of
2.9 times and 4.5 times respectively. With these shares at the bottom of the
company's now improving fortunes and the advertising market cycle, Yellow equity
looks ripe for recovery and excellent long term investment returns. BUY.

Key Data

EPIC: YELL
Market: Full
Spread: 38.39p 38.55p (.415%)

BROKER CALL: UBS a buyer of Yell ahead of the Feb 4 figures
28 January, 2010 08:06:26 AM


Broker sets an ultra-bullish 60p a share price target. Adds: 'Market expectations for Yell both near-term, and longer-term remain extremely low. Whilst we remain cautious on the structural risks, we believe the market under-estimates the potential for some cyclical recovery. Yell trades on 6.5x our below consensus 2010E annualised EBITDA, falling to <5x by 2012E.'

Broker Buy note out late yesterday.....

Yell Group PLC

FORECASTS
2010 2011

Date Rec Pre-tax () EPS (p) DPS (p) Pre-tax () EPS (p) DPS (p)

Exane BNP Paribas
17-03-10 BUY 107.00 11.26 219.00 9.71

Broker buy targets ranging from 45p up to 60p.


Date Broker name New Price Old price target New price target Broker change

05-Feb-10 Barclays Capital Overweight 42.50p 65.00p - Reiteration

05-Feb-10 Canaccord Adams Buy 42.50p 45.00p 50.00p Upgrade

28-Jan-10 UBS Buy 35.15p 60.00p - Reiteration

15-Jan-10 UBS Buy 38.00p 48.00p 60.00p Upgrade

Yell were recommended as a buy in the Sunday Post last Sunday 21 March. They said Yell could be one of the best performing shares of the year. Anyone like to comment.

lovely upgrade for YELL just out.....

target 73.2p upside 84.8%

Yell Group Communications Buy 73.2 39.61 84.8% AlphaValue

Broker BUY reco late yesterday....

Yell Group PLC

FORECASTS
2010 2011

Date Rec Pre-tax () EPS (p) DPS (p) Pre-tax () EPS (p) DPS (p)

Exane BNP Paribas
25-03-10 BUY 107.00 11.26 219.00 9.71

(hemscott premium)

Looks like its going on a positive run.

Directories group Yell jumps 3% after ratings upgrade Guardian - Market Forces Live - Apr 09, 2010

Yell Group plc (YELL) - Carlo Castelli at S&P Credit Research

S&P credit analyst Carlo Castelli said:The outlook revision reflects our view that Yell's liquidity has improved significantly and is now adequate following a debt refinancing, covenant reset and sizeable rights issue late in 2009.

Going very well again today. I suppose the next resistance point at 56/58p will be te first target.

Deutsche Bank today sold close to two million shares

Broker upgrade this morning....

new SP target 65p.

14-Apr-10 Yell Group YELL UBS Buy 52.15p 60.00p 65.00p Reiteration

Interesting.....

http://blog.kelseygroup.com/index.php/2010/05/06/yell-updates-iyp-goes-more-visual/

Results on the 18th......

22.04.10

Broker Snap

JPMorgan Cazenove lifts Yell Group price target to 68p from 46p. The brokerage removes the 30% discount it applied to fair value, as it now thinks the market is prepared to fairly value the shares. JPM notes the shares have increased significantly in recent week but reckons there could be further upside in the short term. Expects the company to post strong results on May 18 and reckons it will have continued better advertising revenues versus traditional media peers.

Another broker very confident going up to results........

14.04.10 UBS lifts Yell Group price target to 65p from 60p and adds the stock to its Most Preferred list.

UBS expects strong momentum to continue and reckons the near-term cyclical rebound may be better than consensus currently assumes. "Equally, whilst we would expect no new cost savings plans to be announced, we believe there is sufficient flexibility on costs...to ensure consensus estimates are, at the least, well underpinned."

The bank adds that the company's FY results on May 18 should reassure. Buy rating.

Interesting TA.

I reckon positive with fundies backing we might see a rise again when the 'power that might be' back to recent highs.

certainly this broker thinks its undervalued.......

Yell Group Communications Buy 74.4 49.98 48.9% AlphaValue

Target 74.4p with upside of 48.9%.

hey sticky - sure hope you don't hold any of these as i see the figures were truly VILE ...... peeps won't be yelling; they'll be hollering blue murder and sending a lynch mob after the CEO, resigned or not

lot of director buying today???? mean anything..

Sanjeev Shah, manager of Fidelity Special Situations, used stockmarket options to protect the 3 billion fund against market falls two months ago but is relaxing the strategy as he sees the market has become 'oversold'.

Shah, who succeeded Anthony Bolton two-and-a-half years ago, said he bought a FTSE put option giving him the right to sell the index at specified 'strike' price to provide protection if the market fell, which it duly did as the Greek's financial woes turned into a eurozone crisis.

Shah said the cost of the put purchase had been funded by selling a call 'higher up' the FTSE and buying a put 'lower down' the index. The money made from these meant the net result was protection for the fund at zero cost, he said. Figures from Lipper appear to back this up as Special Situations has gained 3.3% over the past month, placing it thirteenth out of 310 funds in the UK All Companies sector. The average fund in the sector is flat over the period.

Speaking at the Fidelity FundsNetwork Investment Forum in London, Shah added he had closed 40% of this protection in recent days as 'market is getting oversold'.

Shah also revealed he had invested a 'large chunk' of his own money into the fund yesterday.

He anticipated a 'change of leadership in the market place' but said going forward it would not be led by commodity stocks.

Shah, who has continued the fund's focus on overlooked stocks and value investing, said the current turmoil was generating lots of stock picking opportunities. This week he has exploited a big fall in the share price of Yell by buying more stock. The Yellow Pages publisher has been a favourite stock since it restructured and raised money via a rights issue last year.

He has devoted 5% of the fund to recently gained powers to short stocks, mostly against miners. He admitted he had taken the position too early but said it had started to come good.

http://www.citywire.co.uk/personal/-/news/markets-companies-and-funds/content.aspx?ID=401470

BROKER CALL: Life in the Yell business model - Merrill
24 May, 2010 06:55:30 AM

Bank of America does its post results analysis and concludes there is still some life in the business model of the directories group. Rates the stock a buy with a 54p a share price target (current price 35p). Analyst Richard Menzies-Gow tells us: 'As we had hoped, Yell's first Investor Day for three years provided ample evidence to suggest the business can yet survive the current maelstrom of cyclical and structural pressures. Yell is well advanced in repositioning itself from product-centric publisher to marketing solutions provider for SMEs, and benefits to retention rates and ARPA are already apparent. The group's technological
expertise and scale benefits should not be underestimated, while its sales force remains a key strategic asset. As it expands its product and service offering, Yell's addressable market is growing.'