Cogent Communications (CCOI) Raised to “Buy” at Zacks Investment Research

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Zacks Investment Research upgraded shares of Cogent Communications (NASDAQ:CCOI) from a hold rating to a buy rating in a research note published on Monday morning. The firm currently has $51.00 price objective on the technology company’s stock.

According to Zacks, “Cogent Communications Holdings Inc. specializes in providing businesses with high speed Internet access, Ethernet transport, and colocation services. It offers on-net Internet access services to bandwidth-intensive users and on-net services in carrier-neutral co-location facilities, company controlled data centers, and single-tenant office buildings. In addition, it offers off-net services to businesses that are connected to its network primarily by means of ‘last mile’ access service lines obtained from other carriers primarily in the form of point-to-point carrier Ethernet, TDM, POS, SDH, and/or carrier Ethernet circuits. Cogent Communications Holdings Inc., formerly known as Cogent Communications Group, Inc., is headquartered in Washington, the District of Columbia. “

Several other research analysts have also commented on the stock. BidaskClub lowered shares of Cogent Communications from a buy rating to a hold rating in a report on Saturday, September 22nd. William Blair restated an outperform rating on shares of Cogent Communications in a report on Monday, October 8th. BTIG Research lowered shares of Cogent Communications from a buy rating to a neutral rating in a report on Monday, October 8th. They noted that the move was a valuation call. Wells Fargo & Co increased their price target on shares of Cogent Communications from $48.00 to $50.00 and gave the stock a market perform rating in a research note on Friday, November 2nd. Finally, Royal Bank of Canada set a $48.00 price target on shares of Cogent Communications and gave the stock a hold rating in a research note on Tuesday, November 13th. One equities research analyst has rated the stock with a sell rating, five have given a hold rating and five have given a buy rating to the company’s stock. The company currently has a consensus rating of Hold and a consensus price target of $49.86.

NASDAQ CCOI traded down $0.16 during trading on Monday, hitting $48.44. The company had a trading volume of 1,351 shares, compared to its average volume of 326,058. Cogent Communications has a one year low of $35.75 and a one year high of $57.65. The firm has a market capitalization of $2.24 billion, a PE ratio of 127.76, a price-to-earnings-growth ratio of 6.35 and a beta of 0.58.

Cogent Communications (NASDAQ:CCOI) last issued its quarterly earnings data on Thursday, November 1st. The technology company reported $0.18 EPS for the quarter, topping the Thomson Reuters’ consensus estimate of $0.17 by $0.01. Cogent Communications had a net margin of 2.99% and a negative return on equity of 24.22%. The business had revenue of $130.00 million during the quarter, compared to analyst estimates of $132.09 million. During the same period in the prior year, the business earned $0.08 EPS. The company’s revenue for the quarter was up 5.7% on a year-over-year basis. Research analysts expect that Cogent Communications will post 0.66 EPS for the current year.

In related news, VP Henry W. Kilmer sold 3,000 shares of the stock in a transaction dated Thursday, December 6th. The shares were sold at an average price of $46.68, for a total value of $140,040.00. Following the completion of the transaction, the vice president now directly owns 31,200 shares in the company, valued at approximately $1,456,416. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, Director Tim Weingarten sold 2,500 shares of the stock in a transaction dated Thursday, November 8th. The stock was sold at an average price of $51.01, for a total transaction of $127,525.00. Following the completion of the transaction, the director now owns 21,111 shares of the company’s stock, valued at $1,076,872.11. The disclosure for this sale can be found here. Over the last quarter, insiders sold 12,550 shares of company stock valued at $604,603. 10.21% of the stock is owned by company insiders.

A number of hedge funds have recently made changes to their positions in CCOI. Pacer Advisors Inc. purchased a new stake in Cogent Communications during the 3rd quarter valued at about $218,000. Cambridge Investment Research Advisors Inc. purchased a new stake in Cogent Communications during the 3rd quarter valued at about $232,000. Neuberger Berman Group LLC purchased a new stake in Cogent Communications during the 3rd quarter valued at about $241,000. Virtu Financial LLC purchased a new stake in Cogent Communications during the 3rd quarter valued at about $264,000. Finally, Parametrica Management Ltd purchased a new stake in shares of Cogent Communications during the 3rd quarter valued at about $317,000. 91.55% of the stock is currently owned by institutional investors.

Cogent Communications Company Profile

Cogent Communications Holdings, Inc, through its subsidiaries, provides high-speed Internet access and Internet protocol communications services primarily to small and medium-sized businesses, communications service providers, and other bandwidth-intensive organizations in North America, Europe, and Asia.

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