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Investor Insights

This summary was created by AI, based on 6 opinions in the last 12 months.

Cogeco Communications (CCA-T) is facing an uncertain future as it deals with tough competition in the US broadband market and struggles with its US assets. The company is generating better cash flow and has a high dividend yield, but there are concerns about its ability to compete with larger peers like AT&T and Verizon. Despite a cheap share price and potential for growth in the Canadian market, Cogeco Communications has several overhangs that are clouding its outlook.

Consensus
Mixed
Valuation
Fair Value
PAST TOP PICK
(A Top Pick Dec 19/23, Down 5%)

He bought it for the dividend, which grows 10% annually. All the telcos are down because they've had to borrow to upgrade to 5G, and rates have been high. Especially if rates decline, a lot of their debt will fall in the next 2 years and this oligopoly will enjoy profitablility.

Cable
WAIT

Uncertain future, with RCI.B divesting its stake. Tough times with US broadband. Rogers is now in their backyard and ready to compete. Question marks, reflected in the share price. Won't see big dividend growth. Will investing in wireless give them more earnings? Wait a couple of quarters. Yield is 5.6%.

Cable
TOP PICK

Pays a 6.3% dividend that's growing 10% annually vs. other telcos at 5%. CCA generates better cash flow. The knock is that CCA deals a lot in the US where consumers hop from one carrier to another in search of cheaper phone deals. They're gaining some market share in the US to compete with AT&T and Verizon.

(Analysts’ price target is $71.30)
Cable
HOLD

Cheap share price at the moment.
Does not own shares.
Space looking attractive as interest rate come down.
Seem to be struggling with US assets.
Better names in sector (BCE etc.)

Cable
DON'T BUY

The US was a growth driver for them, but are facing more competition there. US telcos are falling as a whole. Also, in Canada there could be the launch of a wireless service without launching a network. And Rogers owns a big stake in CCA, so will Rogers delever following the Shaw deal? These are three overhands that have pressured shares. He prefers CCA's larger peers. Also, telecoms remain weakness.

Cable
WAIT

Extremely compelling on stock price and valuation. You'll probably do OK if you buy now, but lots of overhangs. Intense competition for broadband in US, losing subscribers. Growth is anemic. Debating whether to roll out wireless. Clouds on horizon.

Cable
WEAK BUY

Not a high multiple. Increase in subscriptions. Tailwinds as they build out their network. US side has some issues, and these need to be sorted. Canadian part has done well. Owning here won't hurt you. Yield is 4.6%.

Cable
DON'T BUY

Cheap, nice dividend. Lots of competition from BCE with the fibre to home rollout, and from US markets. Doesn't see growth. Rogers is cheap and has been ignored, so that's the one to go to, followed by Telus.

Cable
DON'T BUY

It enjoyed a bump with the Rogers-Shaw deal greenlight. The last 6 months have seen 3 short-lived uptrends, but an overall downtrend since January. This needs to show an uptrend, or else it'll go sideways.

Cable
premium

This is a Panic-proof Portfolio opinion which is available only for Premium members

Curated by Michael O'Reilly since 2020.
1550+ opinions with 4.81 rating (one of the best performing expert).

PAST TOP PICK
(A Top Pick Jan 26/23, Down 10.7%)Stockchase Research Editor: Michael O’Reilly

Our PAST TOP PICK with CCA has triggered its stop at $61.  To remain disciplined, we recommend covering the position at this time. 

Cable
DON'T BUY

Prefers Quebecor. They rejected an approach from shareholder Rogers, so it's unclear what Cogeco's long-term future. Is overlooked by Bay Street. Has lagged the TSX the past decade. Pays a decent 4% yield. But they lack wireless and entertainment unlike its peers. And they're not in the major Canadian markets.

Cable
premium

This is a Panic-proof Portfolio opinion which is available only for Premium members

Curated by Michael O'Reilly since 2020.
1550+ opinions with 4.81 rating (one of the best performing expert).

TOP PICK
Stockchase Research Editor: Michael O'Reilly This TOP PICK is the 8th largest hybrid fibre cable operator in North American with customers in Quebec, Ontario 13 US states serving 1.6 million customers. It just launched a streaming TV service to integrate live tv, dvr and steaming apps with a single interface. It trades 1.2x book value and 2.7x cash flow. We like that cash reserves are growing while debt is being retired and stocks bought back. It pays a good yield, backed by a payout ratio under 33% of cash flow. We recommend a stop-loss at $61, looking to achieve $90 -- upside potential over 31%. Yield 4.6% (Analysts’ price target is $89.71)
Cable
HOLD
Family controlled business. Recent bid for $125 per share on entire business turned down. USA communication business' have been impacted by change in digital preferences (no more T.V.'s). Well managed company.
Cable
BUY

Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. Has surprised investors with a good acquisition of WOW. The deal added 200,000 internet and 61,000 video customers. This has added scale while diversifying the business. Significant growth opportunities. Unlock Premium - Try 5i Free

Cable
BUY

Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. Their latest quarter results were good. They beat expectations on revenue and EPS. REvenue was up 8% and free cash flow rose 14.2%. No concerns around the earnings report. Unlock Premium - Try 5i Free

Cable
Showing 1 to 15 of 76 entries

Cogeco Communications(CCA-T) Rating

Ranking : 3 out of 5

Bullish - Buy Signals / Votes : 1

Neutral - Hold Signals / Votes : 1

Bearish - Sell Signals / Votes : 1

Total Signals / Votes : 3

Stockchase rating for Cogeco Communications is calculated according to the stock experts' signals. A high score means experts mostly recommend to buy the stock while a low score means experts mostly recommend to sell the stock.

Cogeco Communications(CCA-T) Frequently Asked Questions

What is Cogeco Communications stock symbol?

Cogeco Communications is a Canadian stock, trading under the symbol CCA-T on the Toronto Stock Exchange (CCA-CT). It is usually referred to as TSX:CCA or CCA-T

Is Cogeco Communications a buy or a sell?

In the last year, 3 stock analysts published opinions about CCA-T. 1 analyst recommended to BUY the stock. 1 analyst recommended to SELL the stock. The latest stock analyst recommendation is . Read the latest stock experts' ratings for Cogeco Communications.

Is Cogeco Communications a good investment or a top pick?

Cogeco Communications was recommended as a Top Pick by on . Read the latest stock experts ratings for Cogeco Communications.

Why is Cogeco Communications stock dropping?

Earnings reports or recent company news can cause the stock price to drop. Read stock experts’ recommendations for help on deciding if you should buy, sell or hold the stock.

Is Cogeco Communications worth watching?

3 stock analysts on Stockchase covered Cogeco Communications In the last year. It is a trending stock that is worth watching.

What is Cogeco Communications stock price?

On 2024-07-23, Cogeco Communications (CCA-T) stock closed at a price of $62.07.