High-quality crystals of CoTeO₄ were grown by application of chemical vapor transport reactions in closed silica ampoules, starting from polycrystalline material in a temperature gradient 640°C → 580°C with TeCl₄ as transport agent. Crystal structure analysis of CoTeO₄ from single crystal X-ray data revealed a dirutile-type structure with Co^II and Te^VI atoms at crystallographically distinct sites, each with point group symmetry . The statistical significance and accuracy of the previously reported structural model based on powder data with the ordered arrangement of Co and Te cations was noticeably improved. CoTeO₄ does not undergo a structural phase transition upon heating, but decomposes stepwise (Co₂Te₃O₈ as intermediate phase) to Co₃TeO₆ as the only crystalline phase stable above 770°C. Temperature-dependent magnetic susceptibility and dielectric measurements suggest antiferromagnetic ordering at ∼50 K. Optical absorption spectroscopy and computational studies reveal wide-band semiconductive behavior for CoTeO₄. The experimentally determined band gap of ∼2.42 eV is also found for CdS, which is frequently used in photovoltaic systems but is hazardous to the environment. Hence, CoTeO₄ might be a possible candidate to replace CdS in this regard.