Cogeco Communications (TSE:CCA) Shares Down 6.2% - What's Next?

Key Points

• Shares fell 6.2% intraday to C$63.93 (low C$62.40) from a prior close of C$68.12, on light volume about 77% below the average trading day.
• Analysts are mixed—two Buy and four Hold ratings produce a consensus "Hold" with an average price target of C$75.28, while recent actions include TD Securities downgrading the stock and trimming targets at several firms.
• Recent results showed C$1.96 EPS and C$693.6M revenue for the quarter, but the company has low liquidity (quick ratio 0.49, current ratio 0.40) and high leverage (debt-to-equity 143.75) with a P/E of 8.49.

Shares of Cogeco Communications Inc. (TSE:CCA - Get Free Report) were down 6.2% during trading on Friday . The company traded as low as C$62.40 and last traded at C$63.93. Approximately 43,212 shares traded hands during trading, a decline of 77% from the average daily volume of 185,324 shares. The stock had previously closed at C$68.12.

Analysts Set New Price Targets

A number of analysts recently commented on CCA shares. Royal Bank Of Canada boosted their price objective on shares of Cogeco Communications from C$76.00 to C$77.00 and gave the stock a "sector perform" rating in a report on Thursday. Canaccord Genuity Group decreased their price objective on shares of Cogeco Communications from C$76.00 to C$74.00 and set a "buy" rating on the stock in a report on Monday. TD Securities downgraded shares of Cogeco Communications from a "buy" rating to a "hold" rating and decreased their price objective for the stock from C$100.00 to C$85.00 in a report on Thursday, March 26th. Canadian Imperial Bank of Commerce boosted their price objective on shares of Cogeco Communications from C$68.00 to C$71.00 in a report on Friday, January 16th. Finally, Desjardins decreased their price objective on shares of Cogeco Communications from C$72.00 to C$71.00 and set a "hold" rating on the stock in a report on Tuesday. Two investment analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the stock. According to data from MarketBeat.com, Cogeco Communications presently has a consensus rating of "Hold" and an average price target of C$75.28.

Cogeco Communications Trading Down 6.9%

The company has a quick ratio of 0.49, a current ratio of 0.40 and a debt-to-equity ratio of 143.75. The firm has a market cap of C$2.61 billion, a price-to-earnings ratio of 8.49, a price-to-earnings-growth ratio of 4.77 and a beta of 0.89. The business has a 50 day moving average of C$70.45 and a 200 day moving average of C$67.81.

Cogeco Communications (TSE:CCA - Get Free Report) last posted its quarterly earnings data on Thursday, April 9th. The company reported C$1.96 EPS for the quarter. The business had revenue of C$693.56 million for the quarter. Cogeco Communications had a return on equity of 9.79% and a net margin of 10.79%. On average, research analysts forecast that Cogeco Communications Inc. will post 8.4900498 earnings per share for the current fiscal year.

Cogeco Communications Company Profile

Cogeco Communications Inc is a communication corporation. The company is a cable operator in North America operating in Canada. It provides residential and business customers with internet, video, and telephony services with broadband fibre networks. The reportable segments of the company are Canadian broadband services and American broadband services. In internet services, the company offers internet packages with download speeds of up to 120mbps. In video services, the company provides digital tier services, pay-per-view channels, video on-demand services, and 4k television, and telephony services include using internet protocol to transport digitized voice signals.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.