Open Text Co. (NASDAQ:OTEX) Stock Holdings Lifted by Two Sigma Investments LP

Two Sigma Investments LP lifted its position in Open Text Co. (NASDAQ:OTEX) (TSE:OTC) by 483.2% during the 4th quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor owned 72,906 shares of the software maker’s stock after acquiring an additional 60,406 shares during the period. Two Sigma Investments LP’s holdings in Open Text were worth $2,065,000 as of its most recent SEC filing.

Several other institutional investors have also made changes to their positions in the company. Blue Trust Inc. increased its stake in Open Text by 40.8% in the 4th quarter. Blue Trust Inc. now owns 1,373 shares of the software maker’s stock valued at $39,000 after buying an additional 398 shares during the period. Choreo LLC acquired a new position in Open Text in the 4th quarter valued at approximately $564,000. Livforsakringsbolaget Skandia Omsesidigt acquired a new position in Open Text in the 4th quarter valued at approximately $2,810,000. Vest Financial LLC acquired a new position in Open Text in the 4th quarter valued at approximately $267,000. Finally, Wilmington Savings Fund Society FSB increased its stake in Open Text by 15.2% in the 4th quarter. Wilmington Savings Fund Society FSB now owns 17,253 shares of the software maker’s stock valued at $489,000 after buying an additional 2,270 shares during the period. 70.37% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analyst Weigh In

Several research analysts have weighed in on OTEX shares. National Bankshares dropped their price objective on shares of Open Text from $38.00 to $34.00 and set a “sector perform” rating on the stock in a research note on Friday, April 25th. Scotiabank decreased their target price on shares of Open Text from $35.00 to $30.00 and set a “sector perform” rating for the company in a research report on Monday, April 28th. UBS Group decreased their target price on shares of Open Text from $32.00 to $28.00 and set a “neutral” rating for the company in a research report on Friday, May 2nd. Royal Bank of Canada decreased their target price on shares of Open Text from $31.00 to $30.00 and set a “sector perform” rating for the company in a research report on Tuesday, April 22nd. Finally, Barclays decreased their target price on shares of Open Text from $36.00 to $29.00 and set an “equal weight” rating for the company in a research report on Monday, April 21st. One investment analyst has rated the stock with a sell rating, eight have given a hold rating and three have given a buy rating to the stock. Based on data from MarketBeat, Open Text currently has a consensus rating of “Hold” and a consensus price target of $32.30.

Open Text Price Performance

Shares of Open Text stock opened at $28.09 on Monday. The firm has a fifty day simple moving average of $26.43 and a 200-day simple moving average of $27.58. The company has a current ratio of 0.87, a quick ratio of 0.87 and a debt-to-equity ratio of 1.50. Open Text Co. has a 1-year low of $22.79 and a 1-year high of $34.20. The stock has a market capitalization of $7.27 billion, a price-to-earnings ratio of 11.42 and a beta of 1.15.

Open Text (NASDAQ:OTEX) (TSE:OTC) last issued its quarterly earnings data on Wednesday, April 30th. The software maker reported $0.82 earnings per share for the quarter, topping analysts’ consensus estimates of $0.81 by $0.01. Open Text had a net margin of 12.21% and a return on equity of 23.23%. The business had revenue of $1.25 billion during the quarter, compared to analysts’ expectations of $1.28 billion. During the same period in the previous year, the company earned $0.94 earnings per share. Open Text’s revenue for the quarter was down 13.3% on a year-over-year basis. On average, sell-side analysts expect that Open Text Co. will post 3.45 earnings per share for the current year.

Open Text Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, June 20th. Stockholders of record on Friday, June 6th will be paid a $0.2625 dividend. This represents a $1.05 dividend on an annualized basis and a dividend yield of 3.74%. The ex-dividend date of this dividend is Friday, June 6th. Open Text’s payout ratio is 42.86%.

About Open Text

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.