Will Inmarsat continue falling, or will it rise again back to October high of 524p?

• Inmarsat shares have fallen over 6% today after company published Q3 results.
• The satellite data provider left FY guidance unchanged after beating Q3 estimates, suggesting a less profitable fourth quarter.
• Currently trading at 429p (at time of writing).
• Shares -28.7% from 2018 highs; +37.7% from 2018 lows; -12.3% year-to-date.
• Recent share price range: Nov lows 411p; Oct highs 524p.
• Can the stock recover to yesterday’s highs?
• Source: Dow Jones, Bloomberg, FT, Company News

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Trading Inmarsat – An Example

Let’s say you feel that the stock is a bargain and you think it could bounce back to recent highs of 524p. You decide to buy exposure to £10,000 worth of Inmarsat using a CFD, at the current price of 429p. To do this, you need £2,000.

Let’s assume Inmarsat recovers back to 524p (+22.1%). Your profit would be £2210, from your initial investment of £2000.

Conversely, let’s assume you open the above position, and place a stop-loss at 7% from the current price. Inmarsat falls 7% and hits your stop-loss. Your loss would be £700.

This is provided for information purposes only. It should not be taken as a recommendation.