Cogent Communications’ (CCOI) “Underweight” Rating Reiterated at JPMorgan Chase & Co.

JPMorgan Chase & Co. reissued their underweight rating on shares of Cogent Communications (NASDAQ:CCOI) in a research report released on Wednesday morning, MarketBeat.com reports. The firm currently has a $9.00 price objective on the technology company’s stock, down from their prior price objective of $22.00.

A number of other research firms have also weighed in on CCOI. TD Cowen cut their price objective on shares of Cogent Communications from $34.00 to $30.00 and set a “buy” rating for the company in a research report on Friday, August 7th. Royal Bank Of Canada decreased their target price on shares of Cogent Communications from $18.00 to $12.00 and set a “sector perform” rating on the stock in a research report on Thursday, August 13th. Weiss Ratings reaffirmed a “sell (d)” rating on shares of Cogent Communications in a research note on Monday. Wall Street Zen upgraded Cogent Communications from a “sell” rating to a “hold” rating in a report on Saturday, August 15th. Finally, KeyCorp reduced their price target on Cogent Communications from $25.00 to $15.00 and set an “overweight” rating on the stock in a research note on Friday, August 7th. Three research analysts have rated the stock with a Buy rating, six have given a Hold rating and two have given a Sell rating to the stock. Based on data from MarketBeat, the stock presently has a consensus rating of “Hold” and an average price target of $19.55.

Cogent Communications Trading Down 8.4%

Cogent Communications stock opened at $9.17 on Wednesday. The stock has a market cap of $469.65 million, a PE ratio of -9.55 and a beta of 0.80. The stock has a 50-day moving average price of $12.49 and a 200 day moving average price of $17.61. Cogent Communications has a 52 week low of $9.00 and a 52 week high of $45.69.

Cogent Communications (NASDAQ:CCOI) last released its earnings results on Thursday, August 6th. The technology company reported $1.38 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($1.00) by $2.38. Cogent Communications had a negative net margin of 4.73% and a negative return on equity of 842.48%. The company had revenue of $235.56 million for the quarter, compared to analyst estimates of $239.55 million. During the same period in the prior year, the firm earned ($1.21) EPS. The firm’s quarterly revenue was down 4.4% on a year-over-year basis. On average, equities analysts predict that Cogent Communications will post -2.7 EPS for the current year.

Cogent Communications Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, September 4th. Shareholders of record on Friday, August 21st will be paid a dividend of $0.02 per share. The ex-dividend date is Friday, August 21st. This represents a $0.08 annualized dividend and a yield of 0.9%. Cogent Communications’s dividend payout ratio is currently -8.33%.

Insider Activity

In other news, VP Henry W. Kilmer sold 2,400 shares of the firm’s stock in a transaction dated Monday, June 15th. The stock was sold at an average price of $17.01, for a total value of $40,824.00. Following the transaction, the vice president directly owned 38,600 shares in the company, valued at $656,586. This trade represents a 5.85% decrease in their position. 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 Cogent Communications stock in a transaction dated 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 transaction, the chief financial officer directly 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 disclosure for this sale is available in the SEC filing. Corporate insiders own 4.20% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the business. Vanguard Group Inc. increased its position in shares of Cogent Communications by 4.1% in the fourth quarter. Vanguard Group Inc. now owns 5,580,271 shares of the technology company’s stock worth $120,311,000 after acquiring an additional 217,450 shares in the last quarter. Turtle Creek Asset Management Inc. lifted its holdings in shares of Cogent Communications by 64.9% during 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 in the last quarter. State Street Corp lifted its holdings in shares of Cogent Communications by 6.8% during the 4th quarter. State Street Corp now owns 2,070,132 shares of the technology company’s stock valued at $44,632,000 after acquiring an additional 132,454 shares in the last quarter. Newtyn Management LLC boosted its position in Cogent Communications by 3.5% during the 2nd quarter. Newtyn Management LLC now owns 1,655,895 shares of the technology company’s stock worth $22,984,000 after purchasing an additional 55,895 shares during the period. Finally, Park West Asset Management LLC acquired a new stake in Cogent Communications in the 4th quarter valued at $30,380,000. 92.45% of the stock is owned by institutional investors and hedge funds.

Key Stories Impacting Cogent Communications

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

• Neutral Sentiment: Several law firms reminded shareholders that September 21, 2026 is the deadline to seek appointment as lead plaintiff in a securities class action covering investors who acquired Cogent securities from February 29, 2024, through May 1, 2026. The repeated notices largely represent procedural updates rather than new allegations. Kaplan Fox class action deadline notice
• Negative Sentiment: The lawsuit alleges violations of federal securities laws and questions whether company disclosures accurately represented Cogent’s growth prospects, including the interpretation of a key operating metric. The case is pending in federal court, and the allegations have not been proven. Hagens Berman Cogent class action alert
• Negative Sentiment: JPMorgan Chase & Co. assigned Cogent an “Underweight” rating, citing elevated leverage. The downgrade can weigh on the stock because high debt levels may limit financial flexibility and increase sensitivity to operating weakness and interest costs. JPMorgan Underweight rating
• Negative Sentiment: The legal overhang comes alongside weak recent fundamentals: Cogent’s latest quarterly revenue declined 4.4% year over year and fell short of analyst expectations, while analysts project a full-year loss. This combination of litigation risk, leverage concerns and pressured revenue is likely contributing to the stock’s decline toward its 12-month low.

Cogent Communications Company Profile

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.