Cogeco Communications (TSE:CCA) Sets New 12-Month Low - Here's What Happened

Key Points

• Cogeco Communications shares fell 2.8% to C$53.90, reaching a new 52-week low of C$53.87. The stock remains below its 50-day and 200-day moving averages.
• Analysts have reduced several price targets, though the stock retains a consensus “Moderate Buy” rating and an average target of C$73.11, well above its current price.
• The company reported quarterly revenue of C$696.68 million and EPS of C$2.35, while maintaining a quarterly dividend of C$0.987, equivalent to a 7.4% annualized yield.

Cogeco Communications Inc. (TSE:CCA - Get Free Report) shares reached a new 52-week low on Monday. The company traded as low as C$53.87 and last traded at C$53.90, with a volume of 11875 shares trading hands. The stock had previously closed at C$54.80.

Wall Street Analyst Weigh In

CCA has been the subject of a number of analyst reports. Desjardins set a C$68.00 price target on Cogeco Communications and gave the stock a "hold" rating in a research note on Wednesday, July 15th. Royal Bank Of Canada lowered 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 research report on Friday, July 10th. Finally, National Bank Financial lowered their price objective on Cogeco Communications from C$70.00 to C$69.00 and set a "sector perform" rating on the stock in a research report on Monday, August 31st. 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. According to data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus price target of C$73.11.

Cogeco Communications Stock Down 2.8%

The company has a quick ratio of 0.49, a current ratio of 0.47 and a debt-to-equity ratio of 241.79. The company has a market capitalization of C$2.24 billion, a PE ratio of -2.02, a PEG ratio of 4.77 and a beta of 0.97. The company's 50 day moving average is C$59.72 and its two-hundred day moving average is C$63.68.

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

Cogeco Communications Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Wednesday, August 12th. Stockholders of record on Wednesday, August 12th were issued a $0.9870 dividend. This represents a $3.95 annualized dividend and a dividend yield of 7.4%. The ex-dividend date of this dividend was 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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