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

Shares of Open Text Co. (NASDAQ:OTEX) (TSE:OTC) have been assigned a consensus rating of “Hold” from the eleven research firms that are covering the company, Marketbeat reports. Six analysts have rated the stock with a hold rating and five have given a buy rating to the company. The average 12 month target price among analysts that have issued ratings on the stock in the last year is $41.50.

Several brokerages recently weighed in on OTEX. Raymond James reduced their price target on Open Text from $55.00 to $48.00 and set an “outperform” rating for the company in a research report on Friday, May 3rd. StockNews.com upgraded Open Text from a “hold” rating to a “buy” rating in a research report on Saturday, May 11th. BMO Capital Markets cut Open Text from an “outperform” rating to a “market perform” rating and reduced their price target for the company from $50.00 to $38.00 in a research report on Friday, May 3rd. National Bankshares reduced their price target on Open Text from $60.00 to $50.00 and set an “outperform” rating for the company in a research report on Friday, May 3rd. Finally, Citigroup reduced their price target on Open Text from $37.00 to $32.00 and set a “neutral” rating for the company in a research report on Wednesday, June 26th.

Open Text Trading Up 0.4 %

Shares of NASDAQ:OTEX opened at $31.54 on Wednesday. Open Text has a 52-week low of $27.54 and a 52-week high of $45.47. The stock has a market cap of $8.51 billion, a price-to-earnings ratio of 50.87 and a beta of 1.12. The company has a quick ratio of 1.40, a current ratio of 1.40 and a debt-to-equity ratio of 2.01. The business has a 50-day moving average price of $29.87 and a 200-day moving average price of $35.85.

Open Text (NASDAQ:OTEX) (TSE:OTC) last announced its quarterly earnings data on Thursday, May 2nd. The software maker reported $0.84 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.81 by $0.03. Open Text had a return on equity of 24.45% and a net margin of 2.85%. The firm had revenue of $1.45 billion during the quarter, compared to analysts’ expectations of $1.43 billion. Equities analysts predict that Open Text will post 3.79 EPS for the current year.

Open Text Increases Dividend

The company also recently declared a quarterly dividend, which was paid on Tuesday, June 18th. Stockholders of record on Friday, May 31st were paid a $0.435 dividend. The ex-dividend date was Friday, May 31st. This is a positive change from Open Text’s previous quarterly dividend of $0.25. This represents a $1.74 dividend on an annualized basis and a dividend yield of 5.52%. Open Text’s payout ratio is currently 161.29%.

Institutional Trading of Open Text

A number of institutional investors have recently made changes to their positions in the company. Value Partners Investments Inc. boosted its stake in shares of Open Text by 17.5% in the second quarter. Value Partners Investments Inc. now owns 2,291,818 shares of the software maker’s stock worth $68,846,000 after acquiring an additional 341,073 shares during the last quarter. Price T Rowe Associates Inc. MD boosted its stake in shares of Open Text by 3.7% in the first quarter. Price T Rowe Associates Inc. MD now owns 29,585 shares of the software maker’s stock worth $1,149,000 after acquiring an additional 1,056 shares during the last quarter. Bank of Nova Scotia Trust Co. boosted its stake in shares of Open Text by 60.6% in the first quarter. Bank of Nova Scotia Trust Co. now owns 18,576 shares of the software maker’s stock worth $721,000 after acquiring an additional 7,007 shares during the last quarter. 1832 Asset Management L.P. boosted its stake in shares of Open Text by 19.6% in the first quarter. 1832 Asset Management L.P. now owns 2,873,895 shares of the software maker’s stock worth $111,593,000 after acquiring an additional 471,825 shares during the last quarter. Finally, Guardian Capital Advisors LP boosted its stake in shares of Open Text by 146.4% in the first quarter. Guardian Capital Advisors LP now owns 132,312 shares of the software maker’s stock worth $5,138,000 after acquiring an additional 78,617 shares during the last quarter. 70.37% of the stock is owned by institutional investors and hedge funds.

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.