Bridges Investment Management Inc. Buys New Stake in Open Text Co. (NASDAQ:OTEX)

Bridges Investment Management Inc. purchased a new position in shares of Open Text Co. (NASDAQ:OTEX) (TSE:OTC) in the 2nd quarter, Holdings Channel reports. The firm purchased 41,570 shares of the software maker’s stock, valued at approximately $1,249,000.

Several other hedge funds also recently bought and sold shares of OTEX. EverSource Wealth Advisors LLC lifted its stake in shares of Open Text by 18.0% during the fourth quarter. EverSource Wealth Advisors LLC now owns 2,186 shares of the software maker’s stock valued at $92,000 after buying an additional 334 shares during the period. Chase Investment Counsel Corp lifted its stake in shares of Open Text by 6.9% during the 1st quarter. Chase Investment Counsel Corp now owns 8,232 shares of the software maker’s stock worth $319,000 after purchasing an additional 528 shares during the period. Optiver Holding B.V. acquired a new stake in shares of Open Text during the fourth quarter worth $27,000. Headlands Technologies LLC purchased a new stake in shares of Open Text in the first quarter valued at $32,000. Finally, Vanguard Personalized Indexing Management LLC increased its stake in Open Text by 5.3% in the second quarter. Vanguard Personalized Indexing Management LLC now owns 17,436 shares of the software maker’s stock valued at $524,000 after purchasing an additional 874 shares during the last quarter. Hedge funds and other institutional investors own 70.37% of the company’s stock.

Analyst Ratings Changes

A number of brokerages have issued reports on OTEX. BMO Capital Markets decreased their price target on Open Text from $38.00 to $33.00 and set a “market perform” rating on the stock in a research note on Friday, August 2nd. National Bank Financial cut shares of Open Text from an “outperform” rating to a “sector perform” rating in a research report on Friday, August 2nd. National Bankshares downgraded shares of Open Text from an “outperform” rating to a “sector perform” rating and set a $38.00 target price for the company. in a report on Friday, August 2nd. Jefferies Financial Group cut their price target on shares of Open Text from $42.00 to $35.00 and set a “buy” rating on the stock in a research note on Friday, August 2nd. Finally, Barclays lowered their price objective on shares of 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. Eight analysts have rated the stock with a hold rating and five have assigned a buy rating to the stock. According to data from MarketBeat.com, Open Text currently has an average rating of “Hold” and an average price target of $38.60.

Open Text Stock Performance

NASDAQ:OTEX opened at $32.76 on Friday. The firm’s fifty day simple moving average is $31.38 and its 200 day simple moving average is $32.60. The company has a current ratio of 0.81, a quick ratio of 0.81 and a debt-to-equity ratio of 1.51. Open Text Co. has a twelve month low of $27.50 and a twelve month high of $45.47. The firm has a market capitalization of $8.84 billion, a price-to-earnings ratio of 52.84 and a beta of 1.11.

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, topping analysts’ consensus estimates of $0.93 by $0.05. Open Text had a return on equity of 25.00% and a net margin of 8.06%. The company had revenue of $1.36 billion for the quarter, compared to analysts’ expectations of $1.41 billion. During the same quarter in the previous year, the firm posted $0.79 earnings per share. The firm’s quarterly revenue was down 8.6% on a year-over-year basis. As a group, equities research analysts expect that Open Text Co. will post 3.23 earnings per share for the current fiscal year.

Open Text Cuts Dividend

The business also recently declared a quarterly dividend, which was paid on Friday, September 20th. Shareholders of record on Friday, August 30th were issued a $0.192 dividend. This represents a $0.77 dividend on an annualized basis and a yield of 2.34%. The ex-dividend date was Friday, August 30th. Open Text’s dividend 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.