Cogent Communications Holdings, Inc. (NASDAQ:CCOI) Sees Significant Growth in Short Interest

Cogent Communications Holdings, Inc. (NASDAQ:CCOI) saw a large growth in short interest during the month of December. As of December 31st, there was short interest totalling 3,620,000 shares, a growth of 15.3% from the December 15th total of 3,140,000 shares. Based on an average daily volume of 404,700 shares, the days-to-cover ratio is currently 8.9 days. Approximately 8.2% of the shares of the company are sold short.

Analysts Set New Price Targets

Several research firms have issued reports on CCOI. The Goldman Sachs Group increased their price objective on Cogent Communications from $62.00 to $71.00 and gave the stock a “neutral” rating in a research report on Friday, October 4th. UBS Group assumed coverage on shares of Cogent Communications in a report on Thursday, November 14th. They issued a “buy” rating and a $102.00 price target for the company. Two analysts have rated the stock with a sell rating, two have issued a hold rating, four have assigned a buy rating and one has issued a strong buy rating to the company’s stock. According to data from MarketBeat, the stock currently has an average rating of “Hold” and a consensus price target of $80.25.

Cogent Communications Price Performance

Shares of NASDAQ CCOI traded up $0.40 on Friday, hitting $72.60. The company’s stock had a trading volume of 217,042 shares, compared to its average volume of 399,608. The stock has a 50 day moving average of $77.32 and a 200-day moving average of $74.41. The company has a market capitalization of $3.56 billion, a price-to-earnings ratio of 93.08 and a beta of 0.40. Cogent Communications has a 12-month low of $50.80 and a 12-month high of $86.76. The company has a debt-to-equity ratio of 5.87, a current ratio of 2.03 and a quick ratio of 2.03.

Cogent Communications (NASDAQ:CCOI) last issued its quarterly earnings results on Thursday, November 7th. The technology company reported ($1.33) EPS for the quarter, topping analysts’ consensus estimates of ($1.34) by $0.01. Cogent Communications had a net margin of 3.73% and a negative return on equity of 36.31%. The business had revenue of $257.20 million during the quarter, compared to the consensus estimate of $258.69 million. During the same period in the previous year, the firm posted ($1.13) earnings per share. The company’s quarterly revenue was down 6.6% compared to the same quarter last year. As a group, research analysts predict that Cogent Communications will post -4.55 EPS for the current year.

Cogent Communications Increases Dividend

The business also recently disclosed a quarterly dividend, which was paid on Friday, December 6th. Stockholders of record on Friday, November 22nd were paid a dividend of $0.995 per share. The ex-dividend date of this dividend was Friday, November 22nd. This represents a $3.98 dividend on an annualized basis and a dividend yield of 5.48%. This is an increase from Cogent Communications’s previous quarterly dividend of $0.99. Cogent Communications’s dividend payout ratio is currently 510.26%.

Insider Buying and Selling at Cogent Communications

In related news, Director Lewis H. Ferguson sold 846 shares of the firm’s stock in a transaction dated Monday, November 18th. The shares were sold at an average price of $81.76, for a total value of $69,168.96. Following the completion of the sale, the director now owns 18,354 shares in the company, valued at $1,500,623.04. This trade represents a 4.41 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, VP Henry W. Kilmer sold 4,800 shares of the business’s stock in a transaction that occurred on Thursday, December 12th. The stock was sold at an average price of $75.61, for a total value of $362,928.00. Following the transaction, the vice president now owns 33,800 shares in the company, valued at $2,555,618. The trade was a 12.44 % decrease in their position. The disclosure for this sale can be found here. In the last ninety days, insiders have sold 24,136 shares of company stock worth $1,939,749. 11.40% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Cogent Communications

Hedge funds have recently modified their holdings of the stock. Itau Unibanco Holding S.A. purchased a new position in shares of Cogent Communications in the 3rd quarter worth $30,000. Blue Trust Inc. raised its holdings in shares of Cogent Communications by 204.5% in the 3rd quarter. Blue Trust Inc. now owns 405 shares of the technology company’s stock worth $31,000 after purchasing an additional 272 shares during the period. Hexagon Capital Partners LLC lifted its stake in shares of Cogent Communications by 72.9% in the 3rd quarter. Hexagon Capital Partners LLC now owns 536 shares of the technology company’s stock valued at $41,000 after purchasing an additional 226 shares in the last quarter. Northwestern Mutual Wealth Management Co. grew its holdings in shares of Cogent Communications by 127.5% during the 2nd quarter. Northwestern Mutual Wealth Management Co. now owns 787 shares of the technology company’s stock worth $44,000 after purchasing an additional 441 shares during the period. Finally, Quest Partners LLC acquired a new stake in Cogent Communications during the 3rd quarter worth approximately $46,000. 92.45% of the stock is owned by institutional investors and hedge funds.

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.