Open Text Corporation (NASDAQ:OTEX) Receives Average Recommendation of “Hold” from Brokerages

Shares of Open Text Corporation (NASDAQ:OTEX) (TSE:OTC) have been assigned an average recommendation of “Hold” from the fourteen analysts that are presently covering the firm, MarketBeat reports. Eleven equities research analysts have rated the stock with a hold rating and three have issued a buy rating on the company. The average 12-month price target among brokerages that have covered the stock in the last year is $35.75.

Several research analysts recently weighed in on the stock. Weiss Ratings restated a “hold (c+)” rating on shares of Open Text in a report on Monday, December 29th. TD Securities upgraded shares of Open Text to a “hold” rating in a research note on Monday, February 2nd. Barclays dropped their target price on shares of Open Text from $39.00 to $30.00 and set an “equal weight” rating on the stock in a research report on Friday, February 6th. Raymond James Financial reduced their target price on Open Text from $48.00 to $42.00 and set an “outperform” rating for the company in a report on Friday, February 6th. Finally, Citigroup decreased their price target on Open Text from $36.00 to $26.00 and set a “neutral” rating for the company in a research report on Friday, February 6th.

Open Text Stock Down 2.1%

NASDAQ OTEX traded down $0.53 on Monday, reaching $25.03. The company had a trading volume of 164,150 shares, compared to its average volume of 2,149,536. The company has a quick ratio of 0.94, a current ratio of 0.94 and a debt-to-equity ratio of 1.57. The company’s fifty day moving average is $27.62 and its 200 day moving average is $32.72. Open Text has a 52-week low of $22.44 and a 52-week high of $39.90. The stock has a market capitalization of $6.27 billion, a P/E ratio of 14.72 and a beta of 1.08.

Open Text (NASDAQ:OTEX) (TSE:OTC) last posted its quarterly earnings data on Thursday, February 5th. The software maker reported $1.13 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.04 by $0.09. The firm had revenue of $1.32 billion for the quarter, compared to the consensus estimate of $1.29 billion. Open Text had a net margin of 8.42% and a return on equity of 23.60%. The business’s revenue for the quarter was down .6% compared to the same quarter last year. During the same period in the previous year, the firm earned $1.11 EPS. Sell-side analysts anticipate that Open Text will post 3.45 earnings per share for the current fiscal year.

Open Text Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, March 20th. Shareholders of record on Friday, March 6th will be paid a $0.275 dividend. This represents a $1.10 dividend on an annualized basis and a yield of 4.4%. The ex-dividend date is Friday, March 6th. Open Text’s dividend payout ratio is 64.71%.

Institutional Investors Weigh In On Open Text

A number of hedge funds have recently made changes to their positions in OTEX. Sagard Holdings Management Inc. bought a new position in Open Text during the second quarter valued at about $30,000. CIBC Private Wealth Group LLC bought a new stake in Open Text in the third quarter worth about $33,000. MAI Capital Management boosted its stake in Open Text by 58.7% in the second quarter. MAI Capital Management now owns 1,595 shares of the software maker’s stock valued at $47,000 after acquiring an additional 590 shares during the last quarter. WealthCollab LLC boosted its stake in Open Text by 39.5% in the second quarter. WealthCollab LLC now owns 1,640 shares of the software maker’s stock valued at $48,000 after acquiring an additional 464 shares during the last quarter. Finally, Caitong International Asset Management Co. Ltd grew its position in shares of Open Text by 5,096.8% during the 4th quarter. Caitong International Asset Management Co. Ltd now owns 1,611 shares of the software maker’s stock valued at $52,000 after acquiring an additional 1,580 shares during the period. 70.37% of the stock is currently owned by institutional investors.

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.