UBS Group Issues Positive Forecast for Open Text (NASDAQ:OTEX) Stock Price

Open Text (NASDAQ:OTEX) (TSE:OTC) had its price objective hoisted by UBS Group from $25.00 to $27.00 in a research report sent to investors on Friday,Benzinga reports. The firm currently has a neutral rating on the software maker’s stock.

OTEX has been the topic of several other research reports. Weiss Ratings reaffirmed a “hold (c-)” rating on shares of Open Text in a research report on Wednesday, June 24th. National Bank Financial dropped their price target on Open Text from $45.00 to $33.00 and set an “outperform” rating for the company in a report on Wednesday, May 27th. Wall Street Zen downgraded Open Text from a “strong-buy” rating to a “buy” rating in a research note on Tuesday, July 28th. Barclays upped their price objective on Open Text from $25.00 to $27.00 and gave the company an “equal weight” rating in a report on Monday, May 11th. Finally, Scotia dropped their target price on Open Text from $40.00 to $33.00 and set a “sector outperform” rating for the company in a report on Friday. Three analysts have rated the stock with a Buy rating and eleven have assigned a Hold rating to the company. According to MarketBeat, Open Text has an average rating of “Hold” and an average price target of $32.46.

Open Text Price Performance

Shares of NASDAQ OTEX opened at $24.94 on Friday. The company has a quick ratio of 0.94, a current ratio of 0.94 and a debt-to-equity ratio of 1.56. The business’s 50 day moving average price is $23.05 and its two-hundred day moving average price is $23.61. The company has a market cap of $6.04 billion, a PE ratio of 9.67 and a beta of 1.03. Open Text has a twelve month low of $19.77 and a twelve month high of $39.90.

Open Text (NASDAQ:OTEX) (TSE:OTC) last issued its quarterly earnings data on Thursday, August 6th. The software maker reported $1.23 earnings per share for the quarter, beating the consensus estimate of $1.02 by $0.21. Open Text had a net margin of 12.26% and a return on equity of 25.80%. The company had revenue of $1.33 billion for the quarter, compared to analyst estimates of $1.29 billion. During the same period in the prior year, the firm earned $0.97 earnings per share. The company’s revenue was up 2.9% on a year-over-year basis. On average, analysts predict that Open Text will post 4.32 EPS for the current year.

Open Text Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, September 18th. Shareholders of record on Friday, September 4th will be given a $0.28 dividend. This is a boost from Open Text’s previous quarterly dividend of $0.28. This represents a $1.12 dividend on an annualized basis and a yield of 4.5%. The ex-dividend date is Friday, September 4th. Open Text’s dividend payout ratio (DPR) is presently 53.66%.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently made changes to their positions in OTEX. BlackRock Inc. acquired a new stake in shares of Open Text in the 2nd quarter valued at approximately $46,144,000. Deutsche Bank AG bought a new position in Open Text in the 2nd quarter valued at approximately $7,174,000. Mitsubishi UFJ Asset Management Co. Ltd. bought a new position in Open Text in the 2nd quarter valued at approximately $1,973,000. Plato Investment Management Ltd acquired a new stake in Open Text in the second quarter valued at approximately $1,177,000. Finally, Global Retirement Partners LLC bought a new stake in shares of Open Text during the second quarter worth $34,000. Institutional investors own 70.37% of the company’s stock.

Key Headlines Impacting Open Text

Here are the key news stories impacting Open Text this week:

• Positive Sentiment: Fiscal Q4 EPS of $1.23 exceeded the $1.02 consensus estimate, while revenue of $1.33 billion topped expectations of $1.29 billion. Revenue increased 2.9% year over year, cloud revenue rose 6.0% to $503 million, and adjusted EBITDA increased 26.8%. OpenText Reports Fourth Quarter and Fiscal Year 2026 Financial Results
• Positive Sentiment: Scotia maintained a “sector outperform” rating and sees substantial potential upside, although it reduced its price target to $33 from $40. Citigroup also raised its target to $28 from $25, implying more modest upside, while retaining a “neutral” rating. Analyst Ratings
• Positive Sentiment: OpenText announced a quarterly dividend of $0.28 per share, representing an approximately 4.4% annualized yield. The dividend may support the stock’s appeal to income-focused investors.

Open Text Company Profile

Open Text Corporation is a Canadian enterprise information management (EIM) software company that develops solutions for organizations seeking to manage, protect and extract insight from their unstructured and structured data. The company’s platform encompasses document management, records management, digital asset management and archiving, enabling companies to govern information across its lifecycle.

Open Text’s product suite includes content services, business process management, customer experience management, analytics and security products.