NasdaqGS:CCOI

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Cogent Communications Holdings

Executive Summary

Cogent Communications Holdings, Inc., through its subsidiaries, provides high-speed Internet access, private network, and data center colocation space services in North America, Europe, Asia, Australia, and Latin America.


Snowflake Analysis

Proven track record with moderate growth potential.


Similar Companies

Share Price & News

How has Cogent Communications Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: CCOI's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-12.8%

CCOI

-0.2%

US Telecom

0.5%

US Market


1 Year Return

24.1%

CCOI

-5.0%

US Telecom

18.7%

US Market

Return vs Industry: CCOI exceeded the US Telecom industry which returned -3.1% over the past year.

Return vs Market: CCOI exceeded the US Market which returned 20.1% over the past year.


Shareholder returns

CCOIIndustryMarket
7 Day-12.8%-0.2%0.5%
30 Day-16.1%3.2%4.9%
90 Day-8.6%7.3%19.8%
1 Year28.8%24.1%-0.2%-5.0%21.2%18.7%
3 Year79.2%59.9%11.3%-4.7%46.2%36.8%
5 Year193.1%140.8%27.2%-1.4%85.3%65.1%

Price Volatility Vs. Market

How volatile is Cogent Communications Holdings's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Cogent Communications Holdings undervalued compared to its fair value and its price relative to the market?

80.92x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: CCOI ($68.91) is trading above our estimate of fair value ($68)

Significantly Below Fair Value: CCOI is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: CCOI is poor value based on its PE Ratio (80.9x) compared to the US Telecom industry average (12.7x).

PE vs Market: CCOI is poor value based on its PE Ratio (80.9x) compared to the US market (19.2x).


Price to Earnings Growth Ratio

PEG Ratio: CCOI is poor value based on its PEG Ratio (3.3x)


Price to Book Ratio

PB vs Industry: CCOI has negative assets, so we can't compare its PB Ratio to the US Telecom industry average.


Next Steps

Future Growth

How is Cogent Communications Holdings forecast to perform in the next 1 to 3 years based on estimates from 14 analysts?

24.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CCOI's forecast earnings growth (24.5% per year) is above the savings rate (2.2%).

Earnings vs Market: CCOI's earnings (24.5% per year) are forecast to grow faster than the US market (24.1% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: CCOI's revenue (6% per year) is forecast to grow slower than the US market (9.5% per year).

High Growth Revenue: CCOI's revenue (6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if CCOI's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Cogent Communications Holdings performed over the past 5 years?

39.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CCOI has high quality earnings.

Growing Profit Margin: CCOI's current net profit margins (7.2%) are higher than last year (6.1%).


Past Earnings Growth Analysis

Earnings Trend: CCOI has become profitable over the past 5 years, growing earnings by 39.4% per year.

Accelerating Growth: CCOI's earnings growth over the past year (22.7%) is below its 5-year average (39.4% per year).

Earnings vs Industry: CCOI earnings growth over the past year (22.7%) exceeded the Telecom industry -13.5%.


Return on Equity

High ROE: CCOI's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.


Next Steps

Financial Health

How is Cogent Communications Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: CCOI has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.

Long Term Liabilities: CCOI has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.


Debt to Equity History and Analysis

Debt Level: CCOI has negative shareholder equity, which is a more serious situation than a high debt level.

Reducing Debt: CCOI's has negative shareholder equity, so we do not need to check if its debt has reduced over time.

Debt Coverage: CCOI's debt is not well covered by operating cash flow (17.9%).

Interest Coverage: CCOI's interest payments on its debt are not well covered by EBIT (1.9x coverage).


Balance Sheet


Next Steps

Dividend

What is Cogent Communications Holdings's current dividend yield, its reliability and sustainability?

4.09%

Current Dividend Yield


Upcoming Dividend Payment


Dividend Yield vs Market

Notable Dividend: CCOI's dividend (4.09%) is higher than the bottom 25% of dividend payers in the US market (1.59%).

High Dividend: CCOI's dividend (4.09%) is low compared to the top 25% of dividend payers in the US market (4.29%).


Stability and Growth of Payments

Stable Dividend: CCOI has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: CCOI's dividend payments have increased, but the company has only paid a dividend for 8 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (305.3%), CCOI's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: CCOI's dividends in 3 years are not forecast to be well covered by earnings (234.8% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

0.3yrs

Average management tenure


CEO

Dave Schaeffer (64 yo)

no data

Tenure

US$9,523,519

Compensation

Mr. David Schaeffer, also known as Dave, Ph.D., founded Cogent Communications Holdings, Inc., in August 1999 and serves as its Chairman, Chief Executive Officer and President. Mr. Schaeffer is a Founder of ...


CEO Compensation Analysis

Compensation vs Market: Dave's total compensation ($USD9.52M) is above average for companies of similar size in the US market ($USD5.74M).

Compensation vs Earnings: Dave's compensation has increased by more than 20% in the past year.


Leadership Team

NamePositionTenureCompensationOwnership
David Schaeffer
Founderno dataUS$9.52m9.98%
$ 319.1m
Raymond Kummer
CTO & VP of Optical Transport Engineeringno dataUS$953.89k0.094%
$ 3.0m
James Bubeck
Chief Revenue Officer & VP of Global Sales4.83yrsUS$1.01m0.084%
$ 2.7m
Thaddeus Weed
Senior Vice President – Audit & Operations0.42yrUS$1.66m0.16%
$ 5.1m
Timothy O'Neill
Vice President of Field Engineeringno dataUS$973.49k0.073%
$ 2.3m
Sean Wallace
VP, CFO & Treasurer0.25yrno data0.026%
$ 838.7k
John Chang
Chief Legal Officerno datano data0.057%
$ 1.8m
Vincent Teissier
Director of Business Developmentno datano datano data
Jean-Michel Slagmuylder
Chief Financial Officer for European Operations0.25yrno data0.020%
$ 638.8k
Ried Zulager
Secretaryno datano datano data

0.3yrs

Average Tenure

58yo

Average Age

Experienced Management: CCOI's management team is not considered experienced ( 0.3 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
David Schaeffer
Founderno dataUS$9.52m9.98%
$ 319.1m
Steven Brooks
Independent Director16.83yrsUS$375.07k0.067%
$ 2.1m
Carolyn Katz
Independent Director0.75yrUS$101.91k0.015%
$ 489.1k
Marc Montagner
Lead Independent Director0.50yrUS$376.07k0.11%
$ 3.4m
Lewis Ferguson
Independent Director1.83yrsUS$376.07k0.021%
$ 668.2k
Sheryl Kennedy
Independent Director0.75yrUS$101.91k0.011%
$ 366.9k
David Bath
Independent Director13.75yrsUS$374.07k0.039%
$ 1.2m

1.3yrs

Average Tenure

64yo

Average Age

Experienced Board: CCOI's board of directors are not considered experienced ( 1.3 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: CCOI insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Cogent Communications Holdings, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Cogent Communications Holdings, Inc.
  • Ticker: CCOI
  • Exchange: NasdaqGS
  • Founded: 1999
  • Industry: Alternative Carriers
  • Sector: Telecom
  • Market Cap: US$3.199b
  • Shares outstanding: 45.77m
  • Website: https://www.cogentco.com

Number of Employees


Location

  • Cogent Communications Holdings, Inc.
  • 2450 North Street NW
  • Washington
  • District Of Columbia
  • 20037
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CCOINasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDFeb 2002
OGM1DB (Deutsche Boerse AG)YesCommon StockDEEURFeb 2002
CCOI *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNFeb 2002

Biography

Cogent Communications Holdings, Inc., through its subsidiaries, provides high-speed Internet access, private network, and data center colocation space services in North America, Europe, Asia, Australia, an ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/08/13 23:31
End of Day Share Price2020/08/13 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.