Shares of internet provider Cogent Communications CCOI.O fell 5% to $9.6 in premarket trading.
J.P. Morgan downgraded the rating to "underweight" from "neutral" and cut its price target to $9 from $22.
The brokerage said continued revenue pressure from the runoff of legacy Sprint contracts and ongoing execution issues in Waves, the company's optical networking business, are weighing on the stock. It said customer installations and adoption have been slower than expected.
"With the data center monetization catalyst now largely behind us, we believe investor focus will increasingly shift back to these core operating and balance sheet concerns," J.P. Morgan said.
Twelve analysts rate the stock "hold" on average; the median price target is $13, according to data compiled by LSEG.
Up to the last close, the stock had fallen 53% year to date.
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