Critical Survey: Open Text (NASDAQ:OTEX) & Prologic Mgmt (OTCMKTS:PRLO)

Prologic Mgmt (OTCMKTS:PRLO) and Open Text (NASDAQ:OTEX) are both computer and technology companies, but which is the superior investment? We will contrast the two businesses based on the strength of their institutional ownership, dividends, profitability, risk, valuation, earnings and analyst recommendations.

Analyst Recommendations

This is a summary of recent ratings for Prologic Mgmt and Open Text, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Prologic Mgmt	0	0	0	0	0.00
Open Text	1	7	2	0	2.10

Open Text has a consensus price target of $33.10, indicating a potential upside of 0.64%. Given Open Text’s stronger consensus rating and higher possible upside, analysts clearly believe Open Text is more favorable than Prologic Mgmt.

Profitability

This table compares Prologic Mgmt and Open Text’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Prologic Mgmt	N/A	N/A	N/A
Open Text	8.43%	22.52%	6.72%

Valuation & Earnings

This table compares Prologic Mgmt and Open Text”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Prologic Mgmt	N/A	N/A	N/A	N/A	N/A
Open Text	$5.17 billion	1.62	$435.87 million	$1.65	19.93

Open Text has higher revenue and earnings than Prologic Mgmt.

Insider and Institutional Ownership

70.4% of Open Text shares are owned by institutional investors. 31.4% of Prologic Mgmt shares are owned by company insiders. Comparatively, 10.6% of Open Text shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Summary

Open Text beats Prologic Mgmt on 8 of the 9 factors compared between the two stocks.

About Prologic Mgmt

Prologic Management Systems, Inc. does not have significant operations. Prior to February 2004, the company provided systems integration services, technology products, and related services. Prologic Management Systems was co-founded by James M. Heim in 1984. The company is based in Tucson, Arizona.

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. It also provides cybersecurity cloud solutions to protect, prevent, detect, respond and quickly recover from threats across endpoints, network, applications, IT infrastructure and data, AI-led threat intelligence; and to protect critical information and processes through threat intelligence, forensics, identity, encryption, and cloud-based application security. In addition, the company offers business network cloud for digital supply chains and secure e-commerce ecosystems including digitize and automate procure-to-pay and order-to-cash processes; IT operations management cloud for automation and advancement of IT support and asset management; and analytics & AI cloud solutions that offers artificial intelligence with practical usage to provide organizations with actionable insights and better automation, such as visualizations, advanced natural language processing and understanding, and integrated computer vision capabilities. In addition, it provides application automation cloud, developers cloud, and services. Further, it has strategic partnerships with SAP SE, Google Cloud, Amazon AWS, Microsoft Corporation, Oracle Corporation, Salesforce.com Corporation, DXC Technology Company, Accenture plc, Capgemini Technology Services SAS, Deloitte Consulting LLP, Hewlett Packard Enterprises, and Tata Consultancy Services. Open Text Corporation was incorporated in 1991 and is headquartered in Waterloo, Canada.