Open Text Co. (NASDAQ:OTEX) Given Consensus Recommendation of “Hold” by Analysts

Open Text Co. (NASDAQ:OTEX) (TSE:OTC) has been given a consensus rating of “Hold” by the twelve ratings firms that are presently covering the company, Marketbeat reports. Eight equities research analysts have rated the stock with a hold rating and four have issued a buy rating on the company. The average 12 month price target among brokers that have covered the stock in the last year is $38.60.

A number of equities research analysts recently issued reports on OTEX shares. National Bank Financial downgraded Open Text from an “outperform” rating to a “sector perform” rating in a research report on Friday, August 2nd. Barclays decreased their price objective on shares of Open Text from $38.00 to $36.00 and set an “equal weight” rating on the stock in a research report on Monday, August 5th. BMO Capital Markets dropped their target price on shares of Open Text from $38.00 to $33.00 and set a “market perform” rating for the company in a research report on Friday, August 2nd. Jefferies Financial Group decreased their price target on shares of Open Text from $42.00 to $35.00 and set a “buy” rating on the stock in a report on Friday, August 2nd. Finally, Citigroup dropped their price objective on shares of Open Text from $37.00 to $32.00 and set a “neutral” rating for the company in a report on Wednesday, June 26th.

Hedge Funds Weigh In On Open Text

Several institutional investors and hedge funds have recently bought and sold shares of OTEX. BNP Paribas Financial Markets raised its stake in shares of Open Text by 57.7% during the fourth quarter. BNP Paribas Financial Markets now owns 11,888 shares of the software maker’s stock valued at $500,000 after acquiring an additional 4,351 shares during the last quarter. Dimensional Fund Advisors LP increased its holdings in Open Text by 1.3% during the 4th quarter. Dimensional Fund Advisors LP now owns 656,340 shares of the software maker’s stock valued at $27,580,000 after purchasing an additional 8,603 shares during the period. Assetmark Inc. bought a new position in Open Text during the 4th quarter valued at approximately $48,000. EverSource Wealth Advisors LLC grew its position in shares of Open Text by 18.0% in the 4th quarter. EverSource Wealth Advisors LLC now owns 2,186 shares of the software maker’s stock worth $92,000 after buying an additional 334 shares during the last quarter. Finally, Ontario Teachers Pension Plan Board purchased a new position in shares of Open Text during the fourth quarter valued at approximately $516,000. 70.37% of the stock is currently owned by institutional investors.

Open Text Price Performance

Shares of NASDAQ OTEX opened at $32.76 on Monday. The company has a debt-to-equity ratio of 1.51, a quick ratio of 0.81 and a current ratio of 0.81. Open Text has a fifty-two week low of $27.50 and a fifty-two week high of $45.47. The stock has a market cap of $8.84 billion, a PE ratio of 52.84 and a beta of 1.11. The stock has a fifty day moving average of $31.38 and a 200-day moving average of $32.53.

Open Text (NASDAQ:OTEX) (TSE:OTC) last issued its quarterly earnings data on Thursday, August 1st. The software maker reported $0.98 EPS for the quarter, beating the consensus estimate of $0.93 by $0.05. Open Text had a net margin of 8.06% and a return on equity of 25.00%. The company had revenue of $1.36 billion during the quarter, compared to analysts’ expectations of $1.41 billion. During the same quarter in the previous year, the company earned $0.79 earnings per share. Open Text’s revenue for the quarter was down 8.6% on a year-over-year basis. Equities research analysts anticipate that Open Text will post 3.23 earnings per share for the current year.

Open Text Cuts Dividend

The business also recently announced a quarterly dividend, which was paid on Friday, September 20th. Stockholders of record on Friday, August 30th were paid a $0.192 dividend. This represents a $0.77 dividend on an annualized basis and a dividend yield of 2.34%. The ex-dividend date of this dividend was Friday, August 30th. Open Text’s dividend payout ratio (DPR) is presently 169.35%.

Open Text Company Profile

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.