Cogent Communications (NASDAQ:CCOI) Hits New 12-Month Low – What’s Next?

Cogent Communications Holdings, Inc. (NASDAQ:CCOI)’s stock price hit a new 52-week low during mid-day trading on Friday . The company traded as low as $11.14 and last traded at $11.2050, with a volume of 178981 shares changing hands. The stock had previously closed at $11.71.

Analyst Ratings Changes

A number of equities research analysts recently weighed in on the company. JPMorgan Chase & Co. restated a “neutral” rating and set a $22.00 price objective on shares of Cogent Communications in a research note on Friday, May 29th. Citigroup cut their target price on Cogent Communications from $22.00 to $20.00 and set a “neutral” rating on the stock in a research note on Tuesday, May 19th. Royal Bank Of Canada cut their target price on Cogent Communications from $22.00 to $18.00 and set a “sector perform” rating on the stock in a research note on Wednesday, May 6th. TD Cowen reiterated a “buy” rating on shares of Cogent Communications in a report on Monday, June 22nd. Finally, Wells Fargo & Company decreased their price target on shares of Cogent Communications from $23.00 to $18.00 and set an “equal weight” rating for the company in a research report on Thursday, May 7th. Three investment analysts have rated the stock with a Buy rating, seven have issued a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat, the stock presently has an average rating of “Hold” and a consensus price target of $24.90.

Cogent Communications Stock Down 6.3%

The business has a 50-day moving average price of $15.29 and a 200-day moving average price of $19.57. The firm has a market capitalization of $549.38 million, a price-to-earnings ratio of -3.09 and a beta of 0.80.

Cogent Communications (NASDAQ:CCOI) last posted its quarterly earnings data 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 analysts’ expectations of $241.31 million. During the same quarter last year, the firm earned ($1.09) EPS. The business’s quarterly revenue was down 3.2% on a year-over-year basis. On average, equities research analysts forecast that Cogent Communications Holdings, Inc. will post -4.25 earnings per share for the current year.

Cogent Communications Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Tuesday, June 2nd. Shareholders of record on Monday, May 18th were issued a $0.02 dividend. This represents a $0.08 annualized dividend and a yield of 0.7%. The ex-dividend date of this dividend was Monday, May 18th. Cogent Communications’s dividend payout ratio (DPR) is currently -2.25%.

Insider Transactions at Cogent Communications

In other news, CFO Thaddeus Gerard Weed sold 4,850 shares of the company’s stock in a transaction dated Tuesday, June 16th. The shares were sold at an average price of $16.79, for a total transaction of $81,431.50. Following the transaction, the chief financial officer owned 197,900 shares in the company, valued at $3,322,741. This represents a 2.39% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, VP Henry W. Kilmer sold 2,400 shares of the stock in a transaction that occurred on Monday, June 15th. The shares were sold at an average price of $17.01, for a total transaction of $40,824.00. Following the completion of the transaction, the vice president directly 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. Additional details regarding this sale are available in the official SEC disclosure. 4.20% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Cogent Communications

Institutional investors and hedge funds have recently made changes to their positions in the stock. Turtle Creek Asset Management Inc. increased its position in shares of Cogent Communications by 64.9% in the 3rd quarter. Turtle Creek Asset Management Inc. now owns 4,603,933 shares of the technology company’s stock valued at $176,561,000 after acquiring an additional 1,811,222 shares during the period. Park West Asset Management LLC purchased a new position in Cogent Communications in the 4th quarter worth $30,380,000. Bank of America Corp DE lifted its position in Cogent Communications by 551.2% during the 3rd quarter. Bank of America Corp DE now owns 1,146,417 shares of the technology company’s stock worth $43,965,000 after acquiring an additional 970,367 shares during the period. MIG Capital LLC acquired a new stake in Cogent Communications during the 4th quarter worth about $12,272,000. Finally, First Trust Advisors LP grew its stake in Cogent Communications by 86.8% during the 4th quarter. First Trust Advisors LP now owns 1,177,398 shares of the technology company’s stock valued at $25,385,000 after purchasing an additional 547,188 shares during the last quarter. 92.45% of the stock is currently owned by institutional investors and hedge funds.

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.