Open Text Co. (NASDAQ:OTEX) Receives Average Rating of “Moderate Buy” from Analysts

Shares of Open Text Co. (NASDAQ:OTEX) (TSE:OTC) have received a consensus rating of “Moderate Buy” from the six research firms that are presently covering the firm, Marketbeat reports. Three investment analysts have rated the stock with a hold rating and three have assigned a buy rating to the company. The average 12 month price objective among analysts that have issued a report on the stock in the last year is $46.67.

A number of equities analysts have recently commented on the stock. Citigroup raised their price objective on shares of Open Text from $41.00 to $44.00 in a research report on Wednesday, June 21st. CIBC increased their price objective on Open Text from $41.00 to $42.00 and gave the stock a “neutral” rating in a research report on Friday, August 4th. BMO Capital Markets boosted their target price on Open Text from $48.00 to $50.00 and gave the stock an “outperform” rating in a research report on Monday, August 7th. StockNews.com began coverage on shares of Open Text in a research note on Thursday, August 17th. They issued a “buy” rating on the stock. Finally, Barclays increased their target price on Open Text from $43.00 to $44.00 and gave the company an “equal weight” rating in a research note on Friday, August 4th.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of OTEX. ClariVest Asset Management LLC grew its holdings in shares of Open Text by 0.4% during the 1st quarter. ClariVest Asset Management LLC now owns 70,570 shares of the software maker’s stock worth $2,718,000 after acquiring an additional 250 shares during the period. Wetherby Asset Management Inc. lifted its position in Open Text by 2.2% during the first quarter. Wetherby Asset Management Inc. now owns 12,622 shares of the software maker’s stock valued at $487,000 after buying an additional 272 shares during the period. Signaturefd LLC boosted its holdings in shares of Open Text by 1.5% during the 2nd quarter. Signaturefd LLC now owns 19,850 shares of the software maker’s stock valued at $825,000 after buying an additional 297 shares in the last quarter. Janiczek Wealth Management LLC grew its position in shares of Open Text by 12.2% in the 2nd quarter. Janiczek Wealth Management LLC now owns 3,637 shares of the software maker’s stock worth $151,000 after buying an additional 395 shares during the period. Finally, Cerity Partners LLC increased its stake in shares of Open Text by 3.3% in the 2nd quarter. Cerity Partners LLC now owns 14,492 shares of the software maker’s stock worth $602,000 after acquiring an additional 467 shares in the last quarter. Hedge funds and other institutional investors own 64.53% of the company’s stock.

Open Text Stock Performance

Shares of OTEX stock opened at $38.57 on Thursday. Open Text has a 12 month low of $24.91 and a 12 month high of $43.25. The stock has a market capitalization of $10.46 billion, a P/E ratio of 68.88 and a beta of 1.04. The company has a current ratio of 0.71, a quick ratio of 0.71 and a debt-to-equity ratio of 2.13. The firm’s 50 day moving average is $39.74 and its 200 day moving average is $39.34.

Open Text (NASDAQ:OTEX) (TSE:OTC) last posted its quarterly earnings results on Thursday, August 3rd. The software maker reported $0.79 EPS for the quarter, missing analysts’ consensus estimates of $0.84 by ($0.05). Open Text had a return on equity of 19.55% and a net margin of 3.35%. The company had revenue of $1.49 billion during the quarter, compared to the consensus estimate of $1.51 billion. On average, sell-side analysts anticipate that Open Text will post 4.26 earnings per share for the current year.

Open Text Cuts Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, September 22nd. Investors of record on Friday, September 1st will be issued a dividend of $0.25 per share. The ex-dividend date of this dividend is Thursday, August 31st. This represents a $1.00 dividend on an annualized basis and a yield of 2.59%. Open Text’s dividend payout ratio is currently 178.57%.

Open Text Company Profile

Open Text Corporation provides information management software and solutions. The company offers content services, which includes content collaboration and intelligent capture to records management, collaboration, e-signatures, and archiving; and operates experience cloud platform that provides customer experience and web content management, digital asset management, customer analytics, AI and insights, e-discovery, digital fax, omnichannel communications, secure messaging, and voice of customer, as well as customer journey, testing, and segmentation.