Cogent Communications (NASDAQ:CCOI) Reaches New 12-Month Low – Here’s Why

Cogent Communications Holdings, Inc. (NASDAQ:CCOI)’s share price reached a new 52-week low on Wednesday . The company traded as low as $13.51 and last traded at $13.5660, with a volume of 167714 shares traded. The stock had previously closed at $14.16.

Wall Street Analysts Forecast Growth

CCOI has been the topic of several research analyst reports. UBS Group dropped their target price on Cogent Communications from $21.00 to $17.00 and set a “neutral” rating on the stock in a research note on Tuesday, May 5th. Royal Bank Of Canada lowered their price target on Cogent Communications from $22.00 to $18.00 and set a “sector perform” rating for the company in a report on Wednesday, May 6th. Wall Street Zen upgraded Cogent Communications from a “strong sell” rating to a “sell” rating in a research note on Sunday, April 26th. Weiss Ratings downgraded shares of Cogent Communications from a “sell (d+)” rating to a “sell (d)” rating in a report on Wednesday, May 20th. Finally, TD Cowen reaffirmed a “buy” rating on shares of Cogent Communications in a research report on Monday. 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. According to MarketBeat.com, the company presently has an average rating of “Hold” and a consensus target price of $24.90.

Cogent Communications Price Performance

The business’s fifty day moving average price is $18.63 and its two-hundred day moving average price is $20.75. The stock has a market capitalization of $682.61 million, a PE ratio of -3.86 and a beta of 0.77.

Cogent Communications (NASDAQ:CCOI) last issued its earnings results on Monday, May 4th. The technology company reported ($0.83) earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($1.03) by $0.20. The company had revenue of $239.19 million during the quarter, compared to analyst estimates of $241.31 million. Cogent Communications had a negative return on equity of 842.48% and a negative net margin of 17.53%.The firm’s quarterly revenue was down 3.2% on a year-over-year basis. During the same quarter last year, the business posted ($1.09) EPS. As a group, equities research analysts anticipate that Cogent Communications Holdings, Inc. will post -4.25 earnings per share for the current fiscal year.

Cogent Communications Announces Dividend

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

Insider Transactions at Cogent Communications

In related news, VP Henry W. Kilmer sold 2,400 shares of Cogent Communications 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 of the company’s stock, valued at $656,586. The trade was a 5.85% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, CFO Thaddeus Gerard Weed sold 4,850 shares of the company’s stock in a transaction that occurred on 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 sale, the chief financial officer owned 197,900 shares in the company, valued at approximately $3,322,741. This represents a 2.39% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders own 4.20% of the company’s stock.

Institutional Trading of Cogent Communications

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

About Cogent Communications

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.