Head-To-Head Analysis: Juma Technology (OTCMKTS:JUMT) versus Cogent Communications (NASDAQ:CCOI)

Cogent Communications (NASDAQ:CCOI) and Juma Technology (OTCMKTS:JUMT) are both communication services companies, but which is the superior business? We will contrast the two companies based on the strength of their risk, earnings, profitability, analyst recommendations, institutional ownership, valuation and dividends.

Institutional and Insider Ownership

92.4% of Cogent Communications shares are owned by institutional investors. 4.2% of Cogent Communications shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Risk and Volatility

Cogent Communications has a beta of 0.8, meaning that its stock price is 20% less volatile than the S&P 500. Comparatively, Juma Technology has a beta of 0.27, meaning that its stock price is 73% less volatile than the S&P 500.

Valuation and Earnings

This table compares Cogent Communications and Juma Technology”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Cogent Communications	$975.77 million	0.48	-$182.17 million	($0.96)	-9.55
Juma Technology	N/A	N/A	N/A	N/A	N/A

Juma Technology has lower revenue, but higher earnings than Cogent Communications.

Profitability

This table compares Cogent Communications and Juma Technology’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Cogent Communications	-4.73%	-842.48%	-4.86%
Juma Technology	N/A	N/A	N/A

Analyst Ratings

This is a summary of recent ratings and price targets for Cogent Communications and Juma Technology, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Cogent Communications	2	6	3	0	2.09
Juma Technology	0	0	0	0	0.00

Cogent Communications presently has a consensus target price of $19.55, suggesting a potential upside of 113.20%. Given Cogent Communications’ stronger consensus rating and higher possible upside, analysts clearly believe Cogent Communications is more favorable than Juma Technology.

Summary

Cogent Communications beats Juma Technology on 7 of the 10 factors compared between the two stocks.

About Cogent Communications

Cogent Communications Holdings, Inc., through its subsidiaries, provides high-speed Internet access, private network, and data center colocation space services in North America, Europe, Oceania, South America, and Africa. The company offers on-net Internet access and private network services to law firms, financial services firms, and advertising and marketing firms, as well as heath care providers, educational institutions and other professional services businesses, other Internet service providers, telephone companies, cable television companies, web hosting companies, media service providers, mobile phone operators, content delivery network companies, and commercial content and application service providers. It also provides Internet access and private network services to customers that are not located in buildings directly connected to its network; and on-net services to customers located in buildings that are physically connected to its network. In addition, the company offers off-net services to corporate customers using other carriers' circuits to provide the last mile portion of the link from the customers' premises to the network. Further, it operates data centers that allow its customers to collocate their equipment and access the network. It serves primarily to small and medium-sized businesses, communications service providers, and other bandwidth-intensive organizations. Cogent Communications Holdings, Inc. was founded in 1999 and is headquartered in Washington, the District of Columbia.

About Juma Technology

Juma Technology Corp., through its subsidiary, Nectar Services Corp., provides a suite of software services for the management, monitoring, and call routing of an entity's voice and data systems. The company offers Converged Management Platform, an intelligent distributed platform that converges the monitoring of voice and data equipment, and the remote management of the various layers of a client's network and systems infrastructure to provide a view of the health and status of an entire network. Its Converged Management Platform is provided as a service to managed service providers in enabling them to monitor and manage their end-clients' facilities, as well as sold by managed service providers or channel partners directly to IT buyers within businesses and enterprises. The company also provides Enterprise Session Management, a managed services software solution that enables carrier class routing and session management functionality for enterprise or business customers. In addition, it offers a hosted telephony service that allows small to medium sized businesses to gain the features and functionality larger firms without purchasing a corporate private branch exchange. The company provides its software services for voice and data networks through a sales channel program of voice over Internet protocol and data integration firms. Juma Technology Corp. was incorporated in 2004 and is headquartered in Farmingdale, New York.