Inmarsat dips as Citi downgrades to neutral

Inmarsat shares dipped on Friday after Citigroup downgraded the stock to ‘neutral’ from ‘buy’ but retained its £11.50 target price.

It said the company has performed strongly, outperforming the telecoms sector by 19% over the last six months and 37% over the last 12 months.

“We see considerable long term, untapped potential in Aviation but note that commercial availability is still some way off for the European Aviation network,” it noted.

“We see potential for upside to near term capex depending on the company’s launch plans, during a period that previously had been expected to be the investment lull part of the cycle.”

Shares in Inmarsat were down 15.88p (1.41%) to 1,107.12 at 1456 GMT.