Cogeco Communications (TSE:CCA) Hits New 12-Month Low - Here's Why

Key Points

• Cogeco Communications shares hit a new 52-week low, falling to C$58.42 before recovering to C$60.58. The stock remains below its 50-day and 200-day moving averages.
• Analyst sentiment is cautiously positive, with a consensus “Moderate Buy” rating and an average price target of C$73.22, well above the recent trading price. Several firms, however, recently lowered their targets.
• The company reported C$2.35 in quarterly EPS and C$696.68 million in revenue, while declaring a quarterly dividend of C$0.987, equivalent to an annualized 6.5% yield.

Cogeco Communications Inc. (TSE:CCA - Get Free Report)'s stock price hit a new 52-week low during trading on Wednesday . The stock traded as low as C$58.42 and last traded at C$60.58, with a volume of 176190 shares traded. The stock had previously closed at C$59.10.

Analyst Ratings Changes

A number of brokerages recently weighed in on CCA. Desjardins set a C$68.00 price target on shares of Cogeco Communications and gave the company a "hold" rating in a research report on Wednesday, July 15th. Royal Bank Of Canada dropped their price objective on Cogeco Communications from C$74.00 to C$70.00 and set a "sector perform" rating on the stock in a report on Friday, July 10th. Canaccord Genuity Group cut their target price on Cogeco Communications from C$74.00 to C$70.00 and set a "buy" rating on the stock in a research report on Monday, April 13th. Scotiabank reduced their target price on Cogeco Communications from C$74.25 to C$72.00 and set a "sector perform" rating for the company in a report on Monday, April 13th. Finally, TD raised Cogeco Communications from a "hold" rating to a "buy" rating and decreased their target price for the company from C$85.00 to C$83.00 in a research report on Monday, April 13th. One equities research analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating and four have given a Hold rating to the company's stock. According to MarketBeat, Cogeco Communications currently has a consensus rating of "Moderate Buy" and a consensus target price of C$73.22.

Cogeco Communications Stock Up 2.5%

The business's fifty day moving average price is C$63.64 and its 200 day moving average price is C$66.47. The firm has a market capitalization of C$2.55 billion, a price-to-earnings ratio of -2.29, a PEG ratio of 4.77 and a beta of 0.93. The company has a current ratio of 0.47, a quick ratio of 0.49 and a debt-to-equity ratio of 241.79.

Cogeco Communications (TSE:CCA - Get Free Report) last issued its quarterly earnings results on Wednesday, July 15th. The company reported C$2.35 earnings per share for the quarter. The firm had revenue of C$696.68 million during the quarter. Cogeco Communications had a negative net margin of 39.56% and a negative return on equity of 38.76%. On average, equities analysts expect that Cogeco Communications Inc. will post 8.4900498 EPS for the current year.

Cogeco Communications Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Wednesday, August 12th. Investors of record on Wednesday, August 12th will be given a $0.987 dividend. This represents a $3.95 annualized dividend and a yield of 6.5%. The ex-dividend date is Wednesday, July 29th. Cogeco Communications's payout ratio is -14.69%.

Cogeco Communications Company Profile

Cogeco Communications Inc is a leading telecommunications provider committed to bringing people together through powerful communications and entertainment experiences. We provide world-class Internet, wireless, video and wireline phone services to 1.6 million residential and business subscribers in Canada and thirteen states in the United States. Our services are marketed under the Cogeco and oxio brands in Canada, and under the Breezeline brand in the U.S. We take pride in our strong presence in the communities we serve and in our commitment to a sustainable future.

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