Open Text Rating Increased to Buy at Paradigm Capital (OTEX)
Open Text (NASDAQ:OTEX) was upgraded by investment analysts at Paradigm Capital from a “hold” rating to a “buy” rating in a note issued to investors on Monday, AnalystRatingsNetwork reports. The firm currently has a $84.00 price target on the stock, up from their previous price target of $75.00. Paradigm Capital’s target price would indicate a potential upside of 18.88% from the company’s current price.
The analysts wrote, “We are upgrading OpenText to a Buy (was Hold) due to valuation, along with several potential short and mid-term catalysts, and increasing our target to $84.00 (was $75.00). Since we downgraded OpenText to a Hold in late June, the stock has been relatively flat. Nonetheless, we have decided to upgrade the stock and increase our target price for several reasons.”
Several other analysts have also recently commented on the stock. Analysts at BMO Capital Markets reiterated a “market perform” rating on shares of Open Text (NASDAQ:OTEX) in a research note to investors on Monday, August 19th. They now have a $67.00 price target on the stock, up previously from $66.00. Separately, analysts at RBC Capital reiterated an “outperform” rating on shares of Open Text (NASDAQ:OTEX) in a research note to investors on Thursday, August 1st. They now have a $85.00 price target on the stock. Finally, analysts at Cantor Fitzgerald downgraded shares of Open Text (NASDAQ:OTEX) from a “buy” rating to a “hold” rating in a research note to investors on Thursday, August 1st. They now have a $69.00 price target on the stock.
Two analysts have rated the stock with a sell rating, four have given a hold rating and six have given a buy rating to the company. The company presently has a consensus rating of “Hold” and an average price target of $71.83.
Open Text (NASDAQ:OTEX) traded up 1.02% on Monday, hitting $71.384. 62,540 shares of the company’s stock traded hands. Open Text has a 52 week low of $50.51 and a 52 week high of $73.77. The stock’s 50-day moving average is $68.91 and its 200-day moving average is $64.98. The company has a market cap of $4.170 billion and a P/E ratio of 28.15.
Open Text (NASDAQ:OTEX) last released its earnings data on Wednesday, July 31st. The company reported $1.43 EPS for the quarter, beating the Thomson Reuters consensus estimate of $1.42 by $0.01. The company had revenue of $347.30 million for the quarter, compared to the consensus estimate of $361.05 million. During the same quarter in the prior year, the company posted $1.17 earnings per share. The company’s quarterly revenue was up 13.6% on a year-over-year basis. On average, analysts predict that Open Text will post $5.76 earnings per share for the current fiscal year.
The company also recently announced a quarterly dividend, which is scheduled for Friday, September 20th. Investors of record on Friday, August 30th will be paid a dividend of $0.30 per share. This represents a $1.20 annualized dividend and a dividend yield of 1.70%. The ex-dividend date is Wednesday, August 28th.
Open Text Corporation (NASDAQ:OTEX), is engaged in providing a suite of information management software products.
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