Analysts Set Open Text Corporation (NASDAQ:OTEX) PT at $32.46

Open Text Corporation (NASDAQ:OTEX) (TSE:OTC) has been given a consensus recommendation of “Hold” by the fourteen research firms that are currently covering the firm, Marketbeat Ratings reports. One analyst has rated the stock with a sell recommendation, ten have assigned a hold recommendation and three have given a buy recommendation to the company. The average 12-month price objective among brokers that have covered the stock in the last year is $32.4583.

A number of analysts recently commented on the stock. UBS Group upped their price target on shares of Open Text from $25.00 to $27.00 and gave the company a “neutral” rating in a research note on Friday, August 7th. Zacks Research cut Open Text from a “hold” rating to a “strong sell” rating in a report on Friday, August 21st. National Bank Financial cut their target price on Open Text from $45.00 to $33.00 and set an “outperform” rating for the company in a research note on Wednesday, May 27th. Scotia decreased their price target on Open Text from $40.00 to $33.00 and set a “sector outperform” rating on the stock in a research report on Friday, August 7th. Finally, Weiss Ratings reaffirmed a “hold (c-)” rating on shares of Open Text in a report on Wednesday, June 24th.

Open Text Stock Performance

Shares of OTEX stock opened at $22.58 on Friday. The company has a debt-to-equity ratio of 1.43, a current ratio of 0.81 and a quick ratio of 0.81. The firm has a 50-day moving average of $24.06 and a 200-day moving average of $23.26. Open Text has a one year low of $19.77 and a one year high of $39.90. The company has a market cap of $5.46 billion, a P/E ratio of 8.75 and a beta of 1.02.

Open Text (NASDAQ:OTEX) (TSE:OTC) last released its quarterly earnings results on Thursday, August 6th. The software maker reported $1.23 earnings per share for the quarter, topping the consensus estimate of $1.02 by $0.21. Open Text had a net margin of 12.26% and a return on equity of 25.76%. The business had revenue of $1.33 billion for the quarter, compared to analysts’ expectations of $1.29 billion. During the same period in the previous year, the company earned $0.97 earnings per share. The firm’s revenue for the quarter was up 2.9% compared to the same quarter last year. Equities research analysts forecast that Open Text will post 3.72 EPS for the current fiscal year.

Open Text Increases Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Friday, September 18th. Stockholders of record on Friday, September 4th were issued a dividend of $0.28 per share. The ex-dividend date of this dividend was Friday, September 4th. This is a positive change from Open Text’s previous quarterly dividend of $0.28. This represents a $1.12 annualized dividend and a dividend yield of 5.0%. Open Text’s payout ratio is presently 43.41%.

Institutional Trading of Open Text

Several hedge funds and other institutional investors have recently bought and sold shares of OTEX. Kimelman & Baird LLC bought a new stake in Open Text in the second quarter worth $27,000. Global Retirement Partners LLC bought a new position in Open Text during the 2nd quarter worth approximately $34,000. Caitong International Asset Management Co. Ltd increased its stake in Open Text by 5,096.8% in the 4th quarter. Caitong International Asset Management Co. Ltd now owns 1,611 shares of the software maker’s stock worth $52,000 after purchasing an additional 1,580 shares during the period. Allworth Financial LP bought a new stake in Open Text in the second quarter valued at approximately $53,000. Finally, PNC Financial Services Group Inc. boosted its stake in shares of Open Text by 23.0% during the first quarter. PNC Financial Services Group Inc. now owns 4,117 shares of the software maker’s stock valued at $92,000 after purchasing an additional 769 shares during the period. Hedge funds and other institutional investors own 70.37% of the company’s stock.

About Open Text

Open Text Corporation (NASDAQ: OTEX) is a Canadian software company that develops enterprise information management solutions. Its products help organizations capture, manage, secure, govern and exchange business information across content, processes and communications.

The company offers software and services through areas that include content management, business process automation, customer experience management, business-to-business integration, data protection and cybersecurity. OpenText’s portfolio supports cloud and on-premises deployments and is designed for use by businesses, governments and other large organizations.

Founded in 1991 and headquartered in Waterloo, Ontario, OpenText serves customers internationally across a broad range of industries and geographies.