This paper gives the results of a dynamical analysis of the Globesat gravity gradient stabilized satellite in a 500 km circular orbit. The linearized equations of motion are developed and the stability of the satellite is investigated. The satellite is equipped with magnetic torquers for the purpose of providing attitude correction torques. These correction torques can be used to effect large changes in orientation and for producing small impulses for damping residual librational motions. The analysis shows that such a satellite can be captured into a gravity gradient stabilized mode, and that residual motions can be damped to small steady state values