Cogent Communications (NASDAQ:CCOI) Stock Price Up 9.3% – Here’s Why

by · The Markets Daily

Cogent Communications Holdings, Inc. (NASDAQ:CCOI – Get Free Report) shares traded up 9.3% on Wednesday . The stock traded as high as $9.83 and last traded at $9.8450. Approximately 1,244,792 shares changed hands during mid-day trading, a decline of 5% from the average daily volume of 1,308,055 shares. The stock had previously closed at $9.01.

Cogent Communications News Summary

Here are the key news stories impacting Cogent Communications this week:

  • Positive Sentiment: Cogent’s CEO, Dave Schaeffer, is scheduled to present at three upcoming investor conferences, potentially giving management an opportunity to address business trends, backlog conversion and investor concerns. Cogent Communications CEO to Present at Three Upcoming Conferences
  • Neutral Sentiment: Multiple firms announced or promoted the same pending class action involving investors who purchased or acquired Cogent securities from February 29, 2024, through May 1, 2026. Investors seeking lead-plaintiff status generally must act by September 21, 2026. The repeated notices increase visibility around the case but do not represent new findings by a court. Bernstein Liebhard shareholder alert
  • Negative Sentiment: The litigation creates potential legal costs, settlement or damages exposure, and additional uncertainty about Cogent’s disclosures and operating outlook. One law-firm notice links the allegations to an approximately 29% share-price decline, although the claims remain allegations and Cogent’s liability has not been established. Cogent Communications securities fraud class action

Analyst Ratings Changes

A number of brokerages have commented on CCOI. Weiss Ratings reissued a “sell (d)” rating on shares of Cogent Communications in a report on Monday, August 17th. JPMorgan Chase & Co. reaffirmed an “underweight” rating and issued a $9.00 price objective (down from $22.00) on shares of Cogent Communications in a research report on Wednesday, August 19th. Wells Fargo & Company reduced their price objective on Cogent Communications from $18.00 to $14.00 and set an “equal weight” rating for the company in a report on Friday, August 7th. TD Cowen dropped their price objective on shares of Cogent Communications from $34.00 to $30.00 and set a “buy” rating on the stock in a report on Friday, August 7th. Finally, KeyCorp lowered their price target on shares of Cogent Communications from $25.00 to $15.00 and set an “overweight” rating on the stock in a research report on Friday, August 7th. Three research analysts have rated the stock with a Buy rating, six have issued a Hold rating and two have assigned a Sell rating to the company’s stock. According to data from MarketBeat, the company currently has an average rating of “Hold” and an average price target of $19.55.

Get Our Latest Analysis on Cogent Communications

Cogent Communications Trading Up 9.5%

The company’s fifty day simple moving average is $11.75 and its 200 day simple moving average is $16.82. The stock has a market capitalization of $505.29 million, a P/E ratio of -10.28 and a beta of 0.77.

Cogent Communications (NASDAQ:CCOI – Get Free Report) last issued its quarterly earnings data on Thursday, August 6th. The technology company reported $1.38 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($1.00) by $2.38. Cogent Communications had a negative return on equity of 842.48% and a negative net margin of 4.73%.The company had revenue of $235.56 million for the quarter, compared to the consensus estimate of $239.55 million. During the same quarter last year, the business posted ($1.21) earnings per share. The firm’s revenue was down 4.4% compared to the same quarter last year. Equities research analysts predict that Cogent Communications Holdings, Inc. will post -3.01 earnings per share for the current year.

Cogent Communications Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Friday, September 4th. Investors of record on Friday, August 21st will be given a $0.02 dividend. This represents a $0.08 annualized dividend and a dividend yield of 0.8%. The ex-dividend date is Friday, August 21st. Cogent Communications’s dividend payout ratio is -8.33%.

Insider Buying and Selling

In other Cogent Communications news, VP Henry W. Kilmer sold 2,400 shares of Cogent Communications 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 sale, the vice president directly owned 38,600 shares in the company, valued at $656,586. The trade was a 5.85% decrease in their ownership of the stock. The sale 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 business’s stock in a transaction that occurred on Tuesday, June 16th. The stock was sold at an average price of $16.79, for a total transaction of $81,431.50. Following the completion of the transaction, the chief financial officer directly owned 197,900 shares of the company’s stock, valued at approximately $3,322,741. This represents a 2.39% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Company insiders own 4.20% of the company’s stock.

Institutional Investors Weigh In On Cogent Communications

Several hedge funds have recently added to or reduced their stakes in the company. FourWorld Capital Management LLC purchased a new stake in Cogent Communications in the first quarter worth $5,002,000. Granahan Investment Management LLC increased its stake in shares of Cogent Communications by 46.3% during the first quarter. Granahan Investment Management LLC now owns 317,447 shares of the technology company’s stock valued at $5,981,000 after purchasing an additional 100,422 shares in the last quarter. Redmond Asset Management LLC raised its stake in Cogent Communications by 45.8% during the fourth quarter. Redmond Asset Management LLC now owns 200,082 shares of the technology company’s stock valued at $4,314,000 after buying an additional 62,828 shares during the last quarter. Vanguard Group Inc. boosted its stake in Cogent Communications by 4.1% in the 4th quarter. Vanguard Group Inc. now owns 5,580,271 shares of the technology company’s stock worth $120,311,000 after purchasing an additional 217,450 shares in the last quarter. Finally, Harspring Capital Management LLC grew its holdings in shares of Cogent Communications by 60.3% during the fourth quarter. Harspring Capital Management LLC now owns 1,402,500 shares of the technology company’s stock valued at $30,238,000 after buying an additional 527,500 shares during the last quarter. Institutional investors own 92.45% of the company’s stock.

Cogent Communications Company Profile

(Get Free Report)

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.

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