One to watch: Inmarsat

In the current, rather febrile market climate this is not the time for a company to announced what appeared to be disappointing operational activity guidance. Unfortunately, in the latest trading update, the market was disappointed by the second quarter results, with a concern that some of the company's important areas were seeing slower revenue growth.

Nevertheless, Inmarsat's diverse trading profile, with marine, air and military applications are showing considerable potential. The very sharp fall in this FTSE 100 constituent's rating looks harsh. The shares are now trading on a prospective p/e of around eight and offer a dividend yield of more than 6 per cent.

The company remains a world class satellite operator with a solid management and strong strategic trading position. In these volatile markets, there could be some investing opportunities in the days ahead.

Inmarsat

389.7p -9.5p

Scotsman says BUY

• The value of your investment could fall and you may get back less than you invested. You should take professional advice if you have any doubt on the suitability of this stock for your portfolio.

BROKER SNAPS

Xstrata

1,000p -42p

Broker says BUY

MINING giant Xstrata has been "over sold", according to RBS Equities. The broker pointed out: "Xstrata has the greatest leverage in our mining coverage universe. Unlike industrial metals, where prices have collapsed, coal prices remain firm: 27 per cent of (Xstrata's] first-half earnings were from coal."

Prudential

567p -45p

Broker says OUTPERFORM

INSURER Prudential "offers the rare combination of strong growth in both sales and cashflow", RBC Capital Markets said. RBC added: "By 2013, each of Prudential's business units should have a balance sheet that could withstand an economic crisis on its own and generate enough cashflow to be self sufficient."