Internet service provider Cogent Communications (NASDAQ:CCOI) will be reporting results this Thursday before market hours. Here’s what investors should know.
Cogent missed analysts’ revenue expectations last quarter, reporting revenues of $239.2 million, down 3.2% year on year. It was a strong quarter for the company, with a beat of analysts’ EPS estimates.
Is Cogent a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, the market is expecting Cogent’s revenue to decline 2.7% year on year, improving from the 5.5% decrease it recorded in the same quarter last year.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business will stay the course heading into earnings.
Looking at Cogent’s peers in the telecommunication services segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Lumen’s revenues decreased 9.3% year on year, beating analysts’ expectations by 2.4%, and Viasat reported a revenue decline of 1.2%, falling short of estimates by 4.4%.
Read our full analysis of Lumen’s results here and Viasat’s results here.
There has been positive sentiment among investors in the telecommunication services segment, with share prices up 7.8% on average over the last month. Cogent is up 9.4% during the same time and is heading into earnings with an average analyst price target of $21.27 (compared to the current share price of $13.33).
WHILE YOU’RE HERE: The Next Palantir? One satellite company captures images of every point on Earth. Every single day. The Pentagon wants it. Hedge funds are using it to beat earnings. You’ve probably never heard of it.
This is what the early days of Palantir looked like before it became a giant. Same playbook. Different technology. If you missed Palantir, you need to see this. Claim The Stock Ticker for Free HERE.