Cogent Communications (NASDAQ:CCOI) Stock Price Down 6.6% – Here’s Why

Shares of Cogent Communications Holdings, Inc. (NASDAQ:CCOI) were down 6.6% during mid-day trading on Monday . The stock traded as low as $12.50 and last traded at $12.5190. Approximately 355,689 shares traded hands during trading, a decline of 71% from the average daily volume of 1,211,597 shares. The stock had previously closed at $13.41.

Analyst Upgrades and Downgrades

CCOI has been the subject of a number of research reports. TD Cowen reaffirmed a “buy” rating on shares of Cogent Communications in a report on Monday, June 22nd. Weiss Ratings downgraded shares of Cogent Communications from a “sell (d+)” rating to a “sell (d)” rating in a research report on Wednesday, May 20th. Royal Bank Of Canada decreased their price target on shares of Cogent Communications from $22.00 to $18.00 and set a “sector perform” rating for the company in a report on Wednesday, May 6th. UBS Group lowered their price objective on shares of Cogent Communications from $21.00 to $17.00 and set a “neutral” rating for the company in a research report on Tuesday, May 5th. Finally, Wall Street Zen upgraded shares of Cogent Communications from a “strong sell” rating to a “sell” rating in a research note on Saturday. Three research analysts have rated the stock with a Buy rating, seven have given a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat, the stock presently has an average rating of “Hold” and an average price target of $24.90.

Cogent Communications Price Performance

The firm has a market capitalization of $695.11 million, a P/E ratio of -3.91 and a beta of 0.77. The firm’s fifty day moving average price is $17.69 and its 200-day moving average price is $20.48.

Cogent Communications (NASDAQ:CCOI) last released its earnings results on Monday, May 4th. The technology company reported ($0.83) earnings per share for the quarter, topping analysts’ consensus estimates of ($1.03) by $0.20. Cogent Communications had a negative return on equity of 842.48% and a negative net margin of 17.53%.The firm had revenue of $239.19 million during the quarter, compared to the consensus estimate of $241.31 million. During the same period in the prior year, the firm posted ($1.09) earnings per share. The firm’s revenue for the quarter was down 3.2% compared to the same quarter last year. Analysts expect that Cogent Communications Holdings, Inc. will post -4.25 earnings per share for the current year.

Cogent Communications Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Tuesday, June 2nd. Stockholders of record on Monday, May 18th were given a dividend of $0.02 per share. This represents a $0.08 dividend on an annualized basis and a dividend yield of 0.6%. The ex-dividend date was Monday, May 18th. Cogent Communications’s dividend payout ratio is -2.25%.

Insiders Place Their Bets

In related news, CFO Thaddeus Gerard Weed sold 4,850 shares of Cogent Communications stock in a transaction dated Tuesday, June 16th. The stock was sold at an average price of $16.79, for a total value of $81,431.50. Following the transaction, the chief financial officer owned 197,900 shares of the company’s stock, valued at approximately $3,322,741. This trade represents a 2.39% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, VP Henry W. Kilmer sold 2,400 shares of the business’s stock in a transaction dated Monday, June 15th. The stock was sold at an average price of $17.01, for a total value of $40,824.00. Following the sale, the vice president owned 38,600 shares in the company, valued at approximately $656,586. The trade was a 5.85% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. 4.20% of the stock is owned by insiders.

Institutional Inflows and Outflows

Institutional investors have recently made changes to their positions in the company. Parallel Advisors LLC lifted its position in shares of Cogent Communications by 208.6% in the 1st quarter. Parallel Advisors LLC now owns 1,432 shares of the technology company’s stock valued at $27,000 after acquiring an additional 968 shares in the last quarter. Quarry LP acquired a new stake in Cogent Communications during the 3rd quarter valued at $27,000. Caitong International Asset Management Co. Ltd acquired a new stake in Cogent Communications during the 4th quarter valued at $28,000. Hantz Financial Services Inc. lifted its holdings in shares of Cogent Communications by 313.9% in the fourth quarter. Hantz Financial Services Inc. now owns 1,486 shares of the technology company’s stock valued at $32,000 after purchasing an additional 1,127 shares in the last quarter. Finally, Kestra Advisory Services LLC purchased a new stake in shares of Cogent Communications in the fourth quarter valued at $43,000. 92.45% of the stock is owned by hedge funds and other institutional investors.

Cogent Communications Company Profile

Cogent Communications (NASDAQ:CCOI) is a multinational Internet service provider specializing in high-speed Internet access and data transport services. The company operates one of the largest Tier 1 IP networks in the world, offering wholesale and enterprise customers reliable, low-latency connectivity. Cogent’s core services include dedicated Internet access, Ethernet transport, wavelength services, and MPLS-based IP Virtual Private Networks, all delivered over its privately owned, fiber-optic backbone.

In addition to network connectivity, Cogent provides data center colocation and managed services designed to support businesses with demanding bandwidth and redundancy requirements.