Cogent Communications Revenue vs. Price To Earning

CCOI Stock  USD 77.29  1.86  2.47%   
Based on Cogent Communications' profitability indicators, Cogent Communications Group is performing exceptionally good at this time. It has a great probability to showcase excellent profitability results in January. Profitability indicators assess Cogent Communications' ability to earn profits and add value for shareholders.
 
Total Revenue  
First Reported
2000-12-31
Previous Quarter
260.4 M
Current Value
257.2 M
Quarterly Volatility
64.1 M
 
Housing Crash
 
Credit Downgrade
 
Yuan Drop
 
Covid
As of now, Cogent Communications' Days Of Sales Outstanding is increasing as compared to previous years. As of now, Cogent Communications' Net Income From Continuing Ops is increasing as compared to previous years. The Cogent Communications' current Interest Income is estimated to increase to about 37.5 M, while Accumulated Other Comprehensive Income is forecasted to increase to (13.7 M).
For Cogent Communications profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Cogent Communications to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Cogent Communications Group utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Cogent Communications's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Cogent Communications Group over time as well as its relative position and ranking within its peers.
  
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Is Diversified Telecommunication Services space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Cogent Communications. If investors know Cogent will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Cogent Communications listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
228.092
Dividend Share
3.88
Earnings Share
0.68
Revenue Per Share
20.531
Quarterly Revenue Growth
(0.09)
The market value of Cogent Communications is measured differently than its book value, which is the value of Cogent that is recorded on the company's balance sheet. Investors also form their own opinion of Cogent Communications' value that differs from its market value or its book value, called intrinsic value, which is Cogent Communications' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Cogent Communications' market value can be influenced by many factors that don't directly affect Cogent Communications' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Cogent Communications' value and its price as these two are different measures arrived at by different means. Investors typically determine if Cogent Communications is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Cogent Communications' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.

Cogent Communications Price To Earning vs. Revenue Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Cogent Communications's current stock value. Our valuation model uses many indicators to compare Cogent Communications value to that of its competitors to determine the firm's financial worth.
Cogent Communications Group is rated below average in revenue category among its peers. It is number one stock in price to earning category among its peers . The ratio of Revenue to Price To Earning for Cogent Communications Group is about  5,655,259 . As of now, Cogent Communications' Total Revenue is increasing as compared to previous years. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Cogent Communications' earnings, one of the primary drivers of an investment's value.

Cogent Communications' Earnings Breakdown by Geography

Cogent Revenue vs. Competition

Cogent Communications Group is rated below average in revenue category among its peers. Market size based on revenue of Communication Services industry is currently estimated at about 175.6 Trillion. Cogent Communications adds roughly 940.92 Million in revenue claiming only tiny portion of stocks in Communication Services industry.

Cogent Price To Earning vs. Revenue

Revenue is income that a firm generates from business activities such us rendering services or selling goods to customers. It is a crucial part of a business and an essential item when evaluating a company's financial statements. Revenues from a firm's primary business operations can be reported on the income statement as sales revenue, net sales, or simply sales, depending on the industry in which a given company operates.

Cogent Communications

Revenue

 = 

Money Received

-

Discounts and Returns

 = 
940.92 M
Revenue is typically recorded when cash or cash equivalents are exchanged for services or goods and can include products or services discounts, promotions, as well as early payments on invoices or services rendered in advance.
Price to Earnings ratio is typically used for current valuation of a company and is one of the most popular ratios that investors monitor daily. Holding a low PE stock is less risky because when a company's profitability falls, it is likely that earnings will also go down as well. In other words, if you start from a lower position, your downside risk is limited. There are also some investors who believe that low Price to Earnings ratio reflects the low pricing because a given company is in trouble. On the other hand, a higher PE ratio means that investors are paying more for each unit of profit.

Cogent Communications

P/E

 = 

Market Value Per Share

Earnings Per Share

 = 
166.38 X
Generally speaking, the Price to Earnings ratio gives investors an idea of what the market is willing to pay for the company's current earnings.

Cogent Price To Earning Comparison

Cogent Communications is currently under evaluation in price to earning category among its peers.

Cogent Communications Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Cogent Communications, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Cogent Communications will eventually generate negative long term returns. The profitability progress is the general direction of Cogent Communications' change in net profit over the period of time. It can combine multiple indicators of Cogent Communications, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
Last ReportedProjected for Next Year
Accumulated Other Comprehensive Income-14.4 M-13.7 M
Operating Income-129.3 M-122.9 M
Income Before Tax1.2 B1.3 B
Total Other Income Expense Net1.3 B1.4 B
Net Income1.3 B1.3 B
Income Tax Expense-54 M-51.3 M
Net Income Applicable To Common Shares4.6 M4.4 M
Net Income From Continuing Ops1.3 B1.3 B
Non Operating Income Net Other-35.7 M-33.9 M
Interest Income35.7 M37.5 M
Net Interest Income-71.1 M-74.6 M
Change To Netincome60.8 M63.9 M
Net Income Per Share 26.88  28.22 
Income Quality 0.01  0.01 
Net Income Per E B T 1.04  0.58 

Cogent Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on Cogent Communications. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Cogent Communications position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Cogent Communications' important profitability drivers and their relationship over time.

Use Cogent Communications in pair-trading

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Cogent Communications position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Cogent Communications will appreciate offsetting losses from the drop in the long position's value.

Cogent Communications Pair Trading

Cogent Communications Group Pair Trading Analysis

The ability to find closely correlated positions to Cogent Communications could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Cogent Communications when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Cogent Communications - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Cogent Communications Group to buy it.
The correlation of Cogent Communications is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Cogent Communications moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Cogent Communications moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Cogent Communications can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.
Pair CorrelationCorrelation Matching

Use Investing Themes to Complement your Cogent Communications position

In addition to having Cogent Communications in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

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When determining whether Cogent Communications offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Cogent Communications' financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Cogent Communications Group Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Cogent Communications Group Stock:
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You can also try the Idea Optimizer module to use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio .
To fully project Cogent Communications' future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Cogent Communications at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include Cogent Communications' income statement, its balance sheet, and the statement of cash flows.
Potential Cogent Communications investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Cogent Communications investors may work on each financial statement separately, they are all related. The changes in Cogent Communications's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Cogent Communications's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.