Cogent Communications (NASDAQ:CCOI) Hits New 1-Year Low – Here’s Why

Cogent Communications Holdings, Inc. (NASDAQ:CCOI)’s stock price hit a new 52-week low during trading on Tuesday . The company traded as low as $12.12 and last traded at $12.19, with a volume of 1424533 shares traded. The stock had previously closed at $12.99.

Wall Street Analyst Weigh In

Several analysts have issued reports on the stock. Royal Bank Of Canada cut 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 research report on Wednesday, May 6th. Weiss Ratings downgraded Cogent Communications from a “sell (d+)” rating to a “sell (d)” rating in a report on Wednesday, May 20th. TD Cowen reissued a “buy” rating on shares of Cogent Communications in a research note on Monday, June 22nd. JPMorgan Chase & Co. restated a “neutral” rating and set a $22.00 target price on shares of Cogent Communications in a report on Friday, May 29th. Finally, Wall Street Zen upgraded Cogent Communications from a “strong sell” rating to a “sell” rating in a research report on Saturday, June 27th. Three research analysts have rated the stock with a Buy rating, seven have issued a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat, the company presently has an average rating of “Hold” and a consensus price target of $24.90.

Cogent Communications Stock Performance

The firm has a market cap of $618.99 million, a PE ratio of -3.48 and a beta of 0.80. The company’s 50-day simple moving average is $16.33 and its two-hundred day simple moving average is $20.04.

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

Cogent Communications Dividend Announcement

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

Insider Activity at Cogent Communications

In related news, CFO Thaddeus Gerard Weed sold 4,850 shares of the stock in a transaction dated Tuesday, June 16th. The shares were sold at an average price of $16.79, for a total value of $81,431.50. Following the completion of the transaction, the chief financial officer directly owned 197,900 shares in the company, valued at $3,322,741. This trade represents a 2.39% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, VP Henry W. Kilmer sold 2,400 shares of the company’s stock in a transaction dated Monday, June 15th. The stock was sold at an average price of $17.01, for a total transaction of $40,824.00. Following the completion of the sale, the vice president owned 38,600 shares in the company, valued at approximately $656,586. This trade represents a 5.85% decrease in their position. The SEC filing for this sale provides additional information. Insiders own 4.20% of the company’s stock.

Institutional Investors Weigh In On Cogent Communications

A number of institutional investors have recently modified their holdings of the stock. Parallel Advisors LLC increased its stake in Cogent Communications by 208.6% during the 1st quarter. Parallel Advisors LLC now owns 1,432 shares of the technology company’s stock valued at $27,000 after purchasing an additional 968 shares in the last quarter. Quarry LP purchased a new position in Cogent Communications in the third quarter worth about $27,000. Caitong International Asset Management Co. Ltd purchased a new stake in Cogent Communications during the fourth quarter valued at approximately $28,000. Hantz Financial Services Inc. increased its stake in shares of Cogent Communications by 313.9% in the 4th quarter. Hantz Financial Services Inc. now owns 1,486 shares of the technology company’s stock worth $32,000 after purchasing an additional 1,127 shares in the last quarter. Finally, Kestra Advisory Services LLC purchased a new stake in Cogent Communications in the fourth quarter worth about $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.