Open Text Co. (NASDAQ:OTEX) Shares Acquired by JARISLOWSKY FRASER Ltd

JARISLOWSKY FRASER Ltd increased its stake in shares of Open Text Co. (NASDAQ:OTEX) (TSE:OTC) by 5.1% in the second quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The firm owned 15,702,510 shares of the software maker’s stock after purchasing an additional 767,822 shares during the period. Open Text makes up approximately 2.9% of JARISLOWSKY FRASER Ltd’s investment portfolio, making the stock its 8th largest holding. JARISLOWSKY FRASER Ltd owned about 5.86% of Open Text worth $471,415,000 as of its most recent SEC filing.

Other institutional investors have also made changes to their positions in the company. Letko Brosseau & Associates Inc. grew its stake in shares of Open Text by 11.9% during the fourth quarter. Letko Brosseau & Associates Inc. now owns 2,863,290 shares of the software maker’s stock worth $120,929,000 after purchasing an additional 304,677 shares during the period. Vanguard Group Inc. grew its stake in shares of Open Text by 1.3% during the first quarter. Vanguard Group Inc. now owns 10,344,910 shares of the software maker’s stock worth $401,693,000 after purchasing an additional 135,812 shares during the period. Forge First Asset Management Inc. acquired a new stake in shares of Open Text during the first quarter worth $2,305,000. Norges Bank acquired a new stake in shares of Open Text during the fourth quarter worth $139,600,000. Finally, FIL Ltd grew its stake in Open Text by 25.7% in the fourth quarter. FIL Ltd now owns 9,058,024 shares of the software maker’s stock valued at $380,696,000 after acquiring an additional 1,853,891 shares during the period. 70.37% of the stock is owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

OTEX has been the subject of a number of research analyst reports. Jefferies Financial Group decreased their target price on Open Text from $42.00 to $35.00 and set a “buy” rating for the company in a research note on Friday, August 2nd. CIBC decreased their target price on Open Text from $36.00 to $33.00 and set a “neutral” rating for the company in a research note on Friday, July 19th. National Bank Financial cut Open Text from an “outperform” rating to a “sector perform” rating in a research note on Friday, August 2nd. Barclays decreased their target price on Open Text from $38.00 to $36.00 and set an “equal weight” rating for the company in a research note on Monday, August 5th. Finally, Citigroup decreased their target price on Open Text from $37.00 to $32.00 and set a “neutral” rating for the company in a research note on Wednesday, June 26th. Eight research analysts have rated the stock with a hold rating and five have issued a buy rating to the company. According to data from MarketBeat.com, Open Text has an average rating of “Hold” and an average target price of $38.60.

Open Text Stock Performance

Shares of Open Text stock opened at $31.82 on Thursday. The firm has a market cap of $8.53 billion, a price-to-earnings ratio of 51.32 and a beta of 1.11. The stock’s 50-day moving average is $31.33 and its 200-day moving average is $32.65. Open Text Co. has a one year low of $27.50 and a one year high of $45.47. The company has a debt-to-equity ratio of 1.51, a current ratio of 0.81 and a quick ratio of 0.81.

Open Text (NASDAQ:OTEX) (TSE:OTC) last released its earnings results on Thursday, August 1st. The software maker reported $0.98 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.93 by $0.05. Open Text had a return on equity of 25.00% and a net margin of 8.06%. The business had revenue of $1.36 billion for the quarter, compared to analyst estimates of $1.41 billion. During the same quarter in the prior year, the company posted $0.79 earnings per share. Open Text’s revenue was down 8.6% on a year-over-year basis. Equities analysts predict that Open Text Co. will post 3.23 earnings per share for the current fiscal year.

Open Text Cuts Dividend

The business also recently announced a quarterly dividend, which will be paid on Friday, September 20th. Investors of record on Friday, August 30th will be issued a dividend of $0.192 per share. The ex-dividend date of this dividend is Friday, August 30th. This represents a $0.77 annualized dividend and a yield of 2.41%. Open Text’s payout ratio is presently 169.35%.

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.