Massachusetts Financial Services Co. MA Trims Holdings in Open Text Co. (NASDAQ:OTEX)

Massachusetts Financial Services Co. MA decreased its stake in shares of Open Text Co. (NASDAQ:OTEX) (TSE:OTC) by 85.1% during the second quarter, according to the company in its most recent disclosure with the SEC. The institutional investor owned 6,854 shares of the software maker’s stock after selling 39,100 shares during the quarter. Massachusetts Financial Services Co. MA’s holdings in Open Text were worth $206,000 at the end of the most recent reporting period.

Other institutional investors have also recently added to or reduced their stakes in the company. Optiver Holding B.V. purchased a new position in Open Text during the fourth quarter worth approximately $27,000. Headlands Technologies LLC acquired a new stake in Open Text during the first quarter worth $32,000. Ridgewood Investments LLC acquired a new stake in Open Text during the second quarter worth $30,000. Assetmark Inc. acquired a new stake in Open Text during the fourth quarter worth $48,000. Finally, EverSource Wealth Advisors LLC increased its stake in Open Text by 18.0% during the fourth quarter. EverSource Wealth Advisors LLC now owns 2,186 shares of the software maker’s stock worth $92,000 after acquiring an additional 334 shares during the last quarter. Hedge funds and other institutional investors own 70.37% of the company’s stock.

Analysts Set New Price Targets

Several research firms have issued reports on OTEX. Jefferies Financial Group cut 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. BMO Capital Markets cut their target price on Open Text from $38.00 to $33.00 and set a “market perform” rating for the company in a research note on Friday, August 2nd. National Bankshares cut Open Text from an “outperform” rating to a “sector perform” rating and set a $38.00 price objective for the company. in a research note on Friday, August 2nd. National Bank Financial cut Open Text from an “outperform” rating to a “sector perform” rating in a research note on Friday, August 2nd. Finally, CIBC dropped their price objective 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. Eight investment analysts have rated the stock with a hold rating and five have assigned a buy rating to the company’s stock. According to MarketBeat.com, the stock presently has an average rating of “Hold” and a consensus price target of $38.60.

Open Text Trading Up 1.0 %

OTEX opened at $33.10 on Tuesday. Open Text Co. has a 12 month low of $27.50 and a 12 month high of $45.47. The stock has a market capitalization of $8.93 billion, a price-to-earnings ratio of 53.39 and a beta of 1.11. The company has a debt-to-equity ratio of 1.51, a current ratio of 0.81 and a quick ratio of 0.81. The business has a fifty day moving average price of $31.42 and a 200 day moving average price of $32.49.

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

Open Text Cuts Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, September 20th. Shareholders of record on Friday, August 30th were issued a dividend of $0.192 per share. This represents a $0.77 dividend on an annualized basis and a yield of 2.32%. The ex-dividend date of this dividend was Friday, August 30th. Open Text’s dividend payout ratio (DPR) is 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.