Cogent Communications Holdings, Inc. (NASDAQ:CCOI) Announces Quarterly Dividend of $0.02

Cogent Communications Holdings, Inc. (NASDAQ:CCOI) announced a quarterly dividend on Friday, May 1st. Stockholders of record on Monday, May 18th will be paid a dividend of 0.02 per share by the technology company on Tuesday, June 2nd. This represents a c) annualized dividend and a dividend yield of 0.5%. The ex-dividend date of this dividend is Monday, May 18th.

Cogent Communications has increased its dividend by an average of 0.0%annually over the last three years and has raised its dividend annually for the last 14 consecutive years. Cogent Communications has a dividend payout ratio of -3.4% meaning the company cannot currently cover its dividend with earnings alone and is relying on its balance sheet to cover its dividend payments. Research analysts expect Cogent Communications to earn ($3.30) per share next year, which means the company may not be able to cover its $0.08 annual dividend with an expected future payout ratio of -2.4%.

Cogent Communications Trading Up 2.3%

Shares of NASDAQ CCOI opened at $16.48 on Friday. The firm’s 50-day moving average price is $20.16 and its 200-day moving average price is $22.43. The stock has a market capitalization of $825.29 million, a price-to-earnings ratio of -4.64 and a beta of 0.85. Cogent Communications has a 12-month low of $14.82 and a 12-month high of $54.37.

Cogent Communications (NASDAQ:CCOI) last announced its earnings results on Monday, May 4th. The technology company reported ($0.83) earnings per share (EPS) for the quarter, beating the consensus estimate of ($1.03) by $0.20. Cogent Communications had a negative net margin of 17.53% and a negative return on equity of 842.48%. The firm had revenue of $239.19 million for the quarter, compared to analysts’ expectations of $241.31 million. During the same period in the prior year, the company earned ($1.09) EPS. The business’s revenue was down 3.2% compared to the same quarter last year. On average, equities analysts predict that Cogent Communications will post -3.9 EPS for the current fiscal year.

Wall Street Analyst Weigh In

Several analysts recently weighed in on CCOI shares. Royal Bank Of Canada decreased their price target on Cogent Communications from $22.00 to $18.00 and set a “sector perform” rating on the stock in a report on Wednesday, May 6th. Wells Fargo & Company decreased their price target on Cogent Communications from $23.00 to $18.00 and set an “equal weight” rating on the stock in a report on Thursday, May 7th. Weiss Ratings upgraded Cogent Communications from a “sell (e+)” rating to a “sell (d+)” rating in a report on Wednesday, May 6th. UBS Group decreased their price target on Cogent Communications from $21.00 to $17.00 and set a “neutral” rating on the stock in a report on Tuesday, May 5th. Finally, Wall Street Zen raised shares of Cogent Communications from a “strong sell” rating to a “sell” rating in a research report on Sunday, April 26th. Three equities research analysts have rated the stock with a Buy rating, seven have given a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, the company has an average rating of “Hold” and a consensus target price of $25.40.

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.