Citigroup Has Lowered Expectations for Cogent Communications (NASDAQ:CCOI) Stock Price

Cogent Communications (NASDAQ:CCOI) had its price target cut by equities research analysts at Citigroup from $33.00 to $25.00 in a note issued to investors on Tuesday,Benzinga reports. The firm currently has a “neutral” rating on the technology company’s stock. Citigroup’s price target would suggest a potential upside of 35.21% from the stock’s current price.

Other equities research analysts also recently issued reports about the company. Wells Fargo & Company reissued an “equal weight” rating and issued a $27.00 target price (down from $45.00) on shares of Cogent Communications in a research note on Friday, November 7th. Weiss Ratings reiterated a “sell (d)” rating on shares of Cogent Communications in a research note on Wednesday, October 8th. KeyCorp cut their price objective on shares of Cogent Communications from $65.00 to $30.00 and set an “overweight” rating on the stock in a research report on Friday, November 7th. Royal Bank Of Canada reaffirmed a “sector perform” rating and issued a $40.00 target price (down from $74.00) on shares of Cogent Communications in a report on Friday, August 8th. Finally, UBS Group reiterated a “neutral” rating and issued a $27.00 target price (down previously from $50.00) on shares of Cogent Communications in a research note on Friday, November 7th. One equities research analyst has rated the stock with a Buy rating, five have issued a Hold rating and two have assigned a Sell rating to the company’s stock. According to MarketBeat, the stock currently has an average rating of “Reduce” and a consensus target price of $29.00.

Cogent Communications Trading Down 10.3%

NASDAQ:CCOI opened at $18.49 on Tuesday. The firm has a market capitalization of $908.25 million, a P/E ratio of -4.07 and a beta of 0.77. The company has a debt-to-equity ratio of 49.06, a current ratio of 2.31 and a quick ratio of 2.31. Cogent Communications has a one year low of $18.46 and a one year high of $85.18. The company’s 50-day simple moving average is $38.64 and its 200 day simple moving average is $43.65.

Cogent Communications (NASDAQ:CCOI) last released its earnings results on Thursday, November 6th. The technology company reported ($0.87) earnings per share (EPS) for the quarter, beating the consensus estimate of ($1.15) by $0.28. The firm had revenue of $241.95 million during the quarter, compared to analyst estimates of $246.13 million. Cogent Communications had a negative net margin of 21.57% and a negative return on equity of 117.56%. The business’s revenue was down 5.9% on a year-over-year basis. During the same period last year, the business earned ($1.33) earnings per share. As a group, analysts forecast that Cogent Communications will post -4.55 EPS for the current fiscal year.

Cogent Communications announced that its board has approved a share repurchase program on Thursday, August 7th that authorizes the company to repurchase $100.00 million in shares. This repurchase authorization authorizes the technology company to buy up to 4.6% of its shares through open market purchases. Shares repurchase programs are generally an indication that the company’s management believes its stock is undervalued.

Insiders Place Their Bets

In related news, Director Sheryl Lynn Kennedy sold 2,400 shares of the company’s stock in a transaction on Tuesday, November 11th. The stock was sold at an average price of $21.34, for a total transaction of $51,216.00. Following the completion of the sale, the director owned 10,012 shares in the company, valued at approximately $213,656.08. This represents a 19.34% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, VP Henry W. Kilmer sold 2,400 shares of the stock in a transaction dated Friday, September 5th. The shares were sold at an average price of $36.99, for a total value of $88,776.00. Following the completion of the transaction, the vice president directly owned 36,200 shares in the company, valued at approximately $1,339,038. This represents a 6.22% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last quarter, insiders have sold 6,800 shares of company stock valued at $212,692. Company insiders own 11.40% of the company’s stock.

Hedge Funds Weigh In On Cogent Communications

Several institutional investors have recently made changes to their positions in CCOI. Teacher Retirement System of Texas purchased a new stake in Cogent Communications during the first quarter valued at approximately $417,000. Nisa Investment Advisors LLC grew its position in shares of Cogent Communications by 5.1% during the 1st quarter. Nisa Investment Advisors LLC now owns 14,972 shares of the technology company’s stock valued at $918,000 after acquiring an additional 729 shares during the period. Xponance Inc. increased its stake in shares of Cogent Communications by 9.7% in the 1st quarter. Xponance Inc. now owns 3,497 shares of the technology company’s stock worth $214,000 after purchasing an additional 308 shares in the last quarter. Edgestream Partners L.P. raised its holdings in Cogent Communications by 30.1% in the 1st quarter. Edgestream Partners L.P. now owns 115,223 shares of the technology company’s stock worth $7,064,000 after purchasing an additional 26,673 shares during the period. Finally, SBI Securities Co. Ltd. lifted its position in Cogent Communications by 9.4% during the first quarter. SBI Securities Co. Ltd. now owns 5,702 shares of the technology company’s stock valued at $350,000 after purchasing an additional 488 shares in the last quarter. Institutional investors own 92.45% of the company’s stock.

About Cogent Communications

Cogent Communications Holdings, Inc, through its subsidiaries, provides high-speed Internet access, private network, and data center colocation space services in North America, Europe, Oceania, South America, and Africa. The company offers on-net Internet access and private network services to law firms, financial services firms, and advertising and marketing firms, as well as heath care providers, educational institutions and other professional services businesses, other Internet service providers, telephone companies, cable television companies, web hosting companies, media service providers, mobile phone operators, content delivery network companies, and commercial content and application service providers.