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Cogeco Q2 Results Highlight U.S. Drag, Canadian Strength and Transformation Progress

Story Highlights
  • Cogeco’s Q2 revenue and adjusted EBITDA fell as U.S. telecom weakness outweighed modest Canadian growth and a shift toward internet-only customers.
  • Rising free cash flow, lower capital intensity and scaling wireless and digital brands signal progress in Cogeco’s three-year transformation and competitive positioning.
  • Looking for the best stocks to buy? Follow the recommendations of top-performing analysts.
Cogeco Q2 Results Highlight U.S. Drag, Canadian Strength and Transformation Progress

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An announcement from Cogeco Communications ( (TSE:CCA) ) is now available.

Cogeco Communications reported second-quarter fiscal 2026 results showing a 5.3% year-on-year decline in consolidated revenue to $693.6 million and a matching 5.3% drop in adjusted EBITDA, driven primarily by weakness in its American telecommunications segment amid subscriber losses, a shift to internet-only plans and intense pricing pressure. Canadian operations continued to grow modestly, with higher internet subscriptions lifting revenue and adjusted EBITDA, while free cash flow rose 33% and capital intensity fell due to lower network spending, supporting management’s view that its three-year transformation, AI-driven efficiency efforts, expansion of wireless in both countries and the launch of U.S. digital brand “welo” are gradually improving competitiveness and setting up better performance in the second half of the year.

The most recent analyst rating on (TSE:CCA) stock is a Hold with a C$77.00 price target. To see the full list of analyst forecasts on Cogeco Communications stock, see the TSE:CCA Stock Forecast page.

Spark’s Take on CCA Stock

According to Spark, TipRanks’ AI Analyst, CCA is a Outperform.

The score is driven by strong valuation (low P/E and high dividend yield) and solid underlying profitability/cash generation. It is held back by modest-to-negative revenue and free-cash-flow momentum and a leveraged balance sheet, while technicals show an uptrend but with overbought conditions that add near-term risk.

To see Spark’s full report on CCA stock, click here.

More about Cogeco Communications

Cogeco Communications Inc. is a Canadian telecommunications provider offering internet, video, wireline phone and growing wireless services in Canada and the U.S. The company operates through Canadian and American telecom segments and is pursuing a three-year transformation program and network expansion to strengthen competitiveness in increasingly internet-focused markets.

Average Trading Volume: 194,733

Technical Sentiment Signal: Strong Buy

Current Market Cap: C$2.88B

For detailed information about CCA stock, go to TipRanks’ Stock Analysis page.

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