← Back to All US Stocks

CCOI Stock Analysis - COGENT COMMUNICATIONS HOLDINGS, INC. AI Rating

CCOI Nasdaq Communications Services, NEC DE CIK: 0001158324
Recently Updated • Analysis: Mar 22, 2026 • SEC Data: 2025-12-31
AI Rating
STRONG SELL
92% Confidence

📊 CCOI Key Takeaways

Revenue: $975.8M
Net Margin: -18.7%
Free Cash Flow: $-198.1M
Current Ratio: 2.04x
Debt/Equity: N/A
EPS: $-3.80
AI Rating: STRONG SELL with 92% confidence

Investment Thesis

Cogent Communications faces severe financial distress with negative stockholders' equity of -$63.8M, indicating liabilities exceed assets. The company is burning cash with negative operating cash flow (-$10.6M) and free cash flow (-$198.1M), while revenue declined 5.8% YoY and net losses widened to -$182.2M. Deteriorating profitability combined with unsustainable capital expenditure and negative interest coverage presents imminent financial risk.

CCOI Strengths

  • + Adequate liquidity with current ratio of 2.04x providing near-term operational flexibility
  • + Cash reserves of $148.5M offer temporary buffer for operations and debt service
  • + Active insider trading activity (16 Form 4 filings in 90 days) suggests some management confidence

CCOI Risks

  • ! Negative stockholders' equity of -$63.8M indicates insolvency risk and potential equity dilution or default
  • ! Negative free cash flow of -$198.1M annually is unsustainable; company burning cash despite $187.6M capex investment
  • ! Operating cash flow negative at -$10.6M with net losses of -$182.2M demonstrates fundamental business deterioration
  • ! Operating margin of -10.4% with negative interest coverage ratio of -0.8x indicates inability to service debt obligations
  • ! Revenue decline of 5.8% YoY in mature telecom sector suggests competitive pressures and market share losses

Key Metrics to Watch

CCOI Financial Metrics

Revenue
$975.8M
Net Income
$-182.2M
EPS (Diluted)
$-3.80
Free Cash Flow
$-198.1M
Total Assets
$3.1B
Cash Position
$148.5M

💡 AI Analyst Insight

Strong liquidity with a 2.04x current ratio provides a solid financial cushion.

CCOI Profitability Ratios

Gross Margin N/A
Operating Margin -10.4%
Net Margin -18.7%
ROE N/A
ROA -5.9%
FCF Margin -20.3%

CCOI vs Default Sector

How COGENT COMMUNICATIONS HOLDINGS, INC. compares to Default sector averages

Net Margin
CCOI -18.7%
vs
Sector Avg 12.0%
CCOI Sector
ROE
CCOI 0.0%
vs
Sector Avg 15.0%
CCOI Sector
Current Ratio
CCOI 2.0x
vs
Sector Avg 1.8x
CCOI Sector
Debt/Equity
CCOI 0.0x
vs
Sector Avg 0.7x
CCOI Sector

Sector benchmarks are approximate industry averages. Actual sector performance may vary.

CCOI Balance Sheet & Liquidity

Current Ratio
2.04x
Quick Ratio
2.04x
Debt/Equity
N/A
Debt/Assets
102.1%
Interest Coverage
-0.82x
Long-term Debt
$1.7B

CCOI 5-Year Financial Trend

CCOI 5-year financial data: Year 2021: Revenue $589.8M, Net Income N/A, EPS $0.81. Year 2022: Revenue $599.6M, Net Income N/A, EPS $0.13. Year 2023: Revenue $940.9M, Net Income N/A, EPS $1.03. Year 2024: Revenue $1.0B, Net Income N/A, EPS $0.11. Year 2025: Revenue $1.0B, Net Income $1.3B, EPS $26.62.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: COGENT COMMUNICATIONS HOLDINGS, INC.'s revenue has grown significantly by 76% over the 5-year period, indicating strong business expansion. The most recent EPS of $26.62 reflects profitable operations.

CCOI Growth Metrics (YoY)

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
-20.3%
Free cash flow / Revenue

CCOI Quarterly Performance

Quarterly financial performance data for COGENT COMMUNICATIONS HOLDINGS, INC. including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q3 2025 $241.9M -$41.5M $-0.87
Q2 2025 $246.2M -$32.3M $-0.68
Q1 2025 $247.0M N/A $-1.09
Q3 2024 $257.2M N/A $-1.20
Q2 2024 $239.8M N/A $-0.68
Q3 2023 $150.0M N/A $0.09
Q2 2023 $148.5M N/A $0.24
Q1 2023 $149.2M N/A $0.02

Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.

CCOI Capital Allocation

Operating Cash Flow
-$10.6M
Cash generated from operations
Stock Buybacks
$16.7M
Shares repurchased (TTM)
Capital Expenditures
$187.6M
Investment in assets
Dividends Paid
$150.1M
Returned to shareholders

CCOI SEC Filings

Access official SEC EDGAR filings for COGENT COMMUNICATIONS HOLDINGS, INC. (CIK: 0001158324)

📋 Recent SEC Filings

Date Form Document Action
Mar 20, 2026 DEF 14A tm261415-1_def14a.htm View →
Mar 9, 2026 4 xslF345X05/form4-03092026_120343.xml View →
Mar 5, 2026 4 xslF345X05/form4-03052026_090346.xml View →
Mar 5, 2026 4 xslF345X05/form4-03052026_090327.xml View →
Mar 5, 2026 4 xslF345X05/form4-03052026_090344.xml View →

Frequently Asked Questions about CCOI

What is the AI rating for CCOI?

COGENT COMMUNICATIONS HOLDINGS, INC. (CCOI) has an AI rating of STRONG SELL with 92% confidence, based on fundamental analysis of SEC EDGAR filings.

What are CCOI's key strengths?

Adequate liquidity with current ratio of 2.04x providing near-term operational flexibility. Cash reserves of $148.5M offer temporary buffer for operations and debt service.

What are the risks of investing in CCOI?

Negative stockholders' equity of -$63.8M indicates insolvency risk and potential equity dilution or default. Negative free cash flow of -$198.1M annually is unsustainable; company burning cash despite $187.6M capex investment.

What is CCOI's revenue and growth?

COGENT COMMUNICATIONS HOLDINGS, INC. reported revenue of $975.8M.

Does CCOI pay dividends?

COGENT COMMUNICATIONS HOLDINGS, INC. pays dividends, with $150.1M distributed to shareholders in the trailing twelve months.

Where can I find CCOI SEC filings?

Official SEC filings for COGENT COMMUNICATIONS HOLDINGS, INC. (CIK: 0001158324) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is CCOI's EPS?

COGENT COMMUNICATIONS HOLDINGS, INC. has a diluted EPS of $-3.80.

How is the AI analysis conducted?

Our AI (Claude) analyzes publicly available SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports to evaluate financial health, profitability ratios, balance sheet strength, and growth metrics.

Disclaimer: This analysis is generated by Claude AI based on publicly available SEC EDGAR filings. It does not include stock price data and should not be considered financial advice. All fundamental data is sourced from SEC public domain filings. Always conduct your own research and consult with a qualified financial advisor before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: Mar 22, 2026 | Data as of: 2025-12-31 | Powered by Claude AI