Open Text Corporation (NASDAQ:OTEX) Given Consensus Rating of “Hold” by Analysts

Open Text Corporation (NASDAQ:OTEX) (TSE:OTC) has earned an average recommendation of “Hold” from the fourteen analysts that are covering the company, Marketbeat reports. Eleven equities research analysts have rated the stock with a hold rating and three have given a buy rating to the company. The average 12 month price target among brokerages that have issued a report on the stock in the last year is $39.25.

Several research firms recently commented on OTEX. Scotiabank raised shares of Open Text from a “sector perform” rating to an “outperform” rating and raised their price target for the stock from $35.00 to $50.00 in a research note on Wednesday, September 24th. National Bank Financial raised shares of Open Text from a “sector perform” rating to an “outperform” rating and set a $45.00 target price on the stock in a research report on Monday, September 15th. Weiss Ratings reaffirmed a “hold (c+)” rating on shares of Open Text in a research note on Monday, December 29th. Zacks Research cut Open Text from a “strong-buy” rating to a “hold” rating in a research note on Monday, January 5th. Finally, UBS Group lifted their target price on Open Text from $32.00 to $38.00 and gave the company a “neutral” rating in a research report on Friday, November 7th.

Hedge Funds Weigh In On Open Text

Large investors have recently added to or reduced their stakes in the company. CIBC Private Wealth Group LLC purchased a new position in shares of Open Text in the 3rd quarter worth approximately $33,000. Sagard Holdings Management Inc. acquired a new stake in Open Text in the second quarter valued at approximately $30,000. MAI Capital Management grew its holdings in Open Text by 58.7% in the second quarter. MAI Capital Management now owns 1,595 shares of the software maker’s stock worth $47,000 after purchasing an additional 590 shares during the last quarter. Cromwell Holdings LLC increased its position in shares of Open Text by 27.4% during the second quarter. Cromwell Holdings LLC now owns 1,635 shares of the software maker’s stock worth $48,000 after purchasing an additional 352 shares in the last quarter. Finally, WealthCollab LLC increased its position in shares of Open Text by 39.5% during the second quarter. WealthCollab LLC now owns 1,640 shares of the software maker’s stock worth $48,000 after purchasing an additional 464 shares in the last quarter. 70.37% of the stock is currently owned by institutional investors.

Open Text Price Performance

Shares of OTEX stock opened at $32.77 on Friday. The stock has a 50 day moving average price of $33.67 and a 200 day moving average price of $33.59. Open Text has a 52-week low of $22.79 and a 52-week high of $39.90. The company has a debt-to-equity ratio of 1.60, a quick ratio of 0.87 and a current ratio of 0.87. The firm has a market capitalization of $8.25 billion, a P/E ratio of 17.16 and a beta of 1.08.

Open Text (NASDAQ:OTEX) (TSE:OTC) last released its earnings results on Wednesday, November 5th. The software maker reported $1.05 earnings per share for the quarter, topping analysts’ consensus estimates of $1.00 by $0.05. Open Text had a return on equity of 23.44% and a net margin of 9.60%.The business had revenue of $1.31 billion for the quarter, compared to analyst estimates of $1.27 billion. During the same quarter last year, the firm posted $0.93 earnings per share. The business’s revenue was up 1.5% compared to the same quarter last year. As a group, sell-side analysts predict that Open Text will post 3.45 earnings per share for the current year.

Open Text Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Friday, December 19th. Stockholders of record on Friday, December 5th were given a $0.275 dividend. This represents a $1.10 annualized dividend and a dividend yield of 3.4%. The ex-dividend date of this dividend was Friday, December 5th. Open Text’s payout ratio is presently 57.59%.

Open Text Company Profile

Open Text Corporation is a Canadian enterprise information management (EIM) software company that develops solutions for organizations seeking to manage, protect and extract insight from their unstructured and structured data. The company’s platform encompasses document management, records management, digital asset management and archiving, enabling companies to govern information across its lifecycle.

Open Text’s product suite includes content services, business process management, customer experience management, analytics and security products.