TD Cowen analyst Gregory Williams maintained a Buy rating on Cogent Comms today and set a price target of $77.00.
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Gregory Williams has given his Buy rating due to a combination of factors that highlight both challenges and opportunities for Cogent Comms. Despite a reduction in the price target from $93.00 to $77.00, Williams remains optimistic about the company’s ability to capture market share in the fiber Waves business, particularly in the AI sector. This optimism is grounded in the potential for growth, even though the business has shown sluggish performance in the second quarter of 2025.
Another factor contributing to the Buy rating is the ongoing data center sales process. While the valuation of $10 million per megawatt might be unrealistic, there is still significant interest from potential buyers. This interest, combined with the possibility of leasing the facilities, presents a strategic opportunity for Cogent Comms. Leasing could offer tax advantages, and the company is actively considering this option alongside sales, which could provide incremental upside.
Based on the recent corporate insider activity of 106 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of CCOI in relation to earlier this year.