Kaplan Fox Files Class Action Against Cogent Communications
News related to:Cogent Communications Holdings, Inc · 1 min read
Kaplan Fox & Kilsheimer LLP, a nationally recognized law firm, has announced the filing of a class action lawsuit against Cogent Communications Holdings, Inc. (CCOI), on behalf of investors who purchased the company’s securities between February 29, 2024, and May 1, 2026.
According to the lawsuit, Cogent Communications Holdings, Inc., represented during the Class Period that the demand for optical wavelengths in its newly acquired wireline business was exceptionally strong and rapidly growing. However, the complaint alleges that the order backlog the company routinely publicized was largely illusory. This was confirmed when most of the purported backlog failed to materialize into paying customers, even after the company’s network had been fully repurposed.
On May 4, 2026, Cogent’s CEO and Chairman of the Board, David Schaeffer, acknowledged that the company had seen customers pushing back on the acceptance of wavelengths. Following this revelation, Cogent’s stock price plummeted by $6.79 per share, or 29%, to close at $16.37 per share.
Kaplan Fox & Kilsheimer LLP, with offices in New York, Oakland, Los Angeles, Chicago, and New Jersey, is urging investors who have suffered losses to contact the firm. The deadline for investors to move the court to serve as a lead plaintiff is September 21, 2026.
The firm, founded in 1956, has a history of prosecuting complex litigation, including securities, antitrust, and consumer protection actions. Kaplan Fox has secured some of the largest recoveries in the history of securities litigation, such as a $2.425 billion recovery on behalf of Bank of America shareholders and a $475 million settlement in In re Merrill Lynch.