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Cogent Communications Holdings (CCOI) Faces Securities Class Action Scrutinizing Wavelength Backlog as “Illusory,” Case Alleges – HBSS
GlobeNewswire Inc.·
Cogent Communications Holdings faces a securities class action lawsuit alleging the company materially misrepresented its optical wavelength backlog as an indicator of future revenue growth. The complaint claims the backlog was illusory, with customers unable or unwilling to accept delivery. Stock price declined significantly after the company revealed a 20% sequential backlog decline in February 2025, admitted most funnel opportunities fell out in May 2025, and ceased providing backlog data in February 2026.
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