Inmarsat slips on caution ahead of investor day

Satellite operator Inmarsat has come down to earth ahead of an investor day next week. Its shares have been flying high in recent times, partly on hopes for its Global Xpress super-fast broadband network which will be delivered by the (yet to be launched) Inmarsat-5 satellite. Indeed last week it was lifted by a positive note from Jefferies based on the prospects for Global Xpress . But now it has fallen 7p at 587p after HSBC downgraded from overweight to neutral and cut its target price from 650p to 640p ahead of the 9 October presentation by the company. The bank said it was time to be cautious: We are sceptical regarding management's ability to offer full visibility on the Global Xpress ramp up one year ahead of first launch.