Franklin Resources Inc. Lowers Stock Holdings in Open Text Corporation $OTEX

Franklin Resources Inc. cut its stake in shares of Open Text Corporation (NASDAQ:OTEX) (TSE:OTC) by 15.8% during the second quarter, according to the company in its most recent Form 13F filing with the SEC. The firm owned 136,272 shares of the software maker’s stock after selling 25,631 shares during the quarter. Franklin Resources Inc. owned approximately 0.05% of Open Text worth $3,984,000 at the end of the most recent reporting period.

Other large investors have also recently modified their holdings of the company. MAI Capital Management grew its stake in Open Text by 58.7% in the second quarter. MAI Capital Management now owns 1,595 shares of the software maker’s stock worth $47,000 after purchasing an additional 590 shares in the last quarter. Cromwell Holdings LLC lifted its holdings in shares of Open Text by 27.4% in the 2nd quarter. Cromwell Holdings LLC now owns 1,635 shares of the software maker’s stock worth $48,000 after buying an additional 352 shares during the period. Headlands Technologies LLC grew its position in shares of Open Text by 360.6% during the 1st quarter. Headlands Technologies LLC now owns 2,888 shares of the software maker’s stock worth $73,000 after buying an additional 2,261 shares in the last quarter. United Services Automobile Association purchased a new position in shares of Open Text during the first quarter valued at $213,000. Finally, Callan Family Office LLC bought a new stake in shares of Open Text in the second quarter valued at about $250,000. Hedge funds and other institutional investors own 70.37% of the company’s stock.

Analysts Set New Price Targets

Several research analysts have issued reports on OTEX shares. TD Cowen reiterated a “hold” rating and set a $40.00 target price on shares of Open Text in a report on Friday, October 3rd. Scotiabank upgraded shares of Open Text from a “sector perform” rating to an “outperform” rating and increased their price objective for the company from $35.00 to $50.00 in a research note on Wednesday, September 24th. Jefferies Financial Group boosted their price objective on shares of Open Text from $33.00 to $35.00 and gave the stock a “hold” rating in a research note on Thursday, November 6th. TD Securities cut Open Text from a “buy” rating to a “hold” rating and increased their target price for the company from $35.00 to $40.00 in a research report on Friday, October 3rd. Finally, Royal Bank Of Canada boosted their price target on Open Text from $30.00 to $35.00 and gave the stock a “sector perform” rating in a research report on Tuesday, September 2nd. One research analyst has rated the stock with a Strong Buy rating, three have given a Buy rating and ten have assigned a Hold rating to the company. Based on data from MarketBeat.com, the company presently has a consensus rating of “Hold” and an average target price of $39.42.

Open Text Price Performance

NASDAQ OTEX opened at $33.73 on Tuesday. The firm’s fifty day simple moving average is $36.77 and its two-hundred day simple moving average is $32.64. The firm has a market capitalization of $8.50 billion, a P/E ratio of 20.44 and a beta of 1.14. The company has a current ratio of 0.80, a quick ratio of 0.80 and a debt-to-equity ratio of 1.61. Open Text Corporation has a 12-month low of $22.79 and a 12-month high of $39.90.

Open Text (NASDAQ:OTEX) (TSE:OTC) last issued its quarterly earnings data on Wednesday, November 5th. The software maker reported $1.05 EPS for the quarter, beating the consensus estimate of $1.00 by $0.05. Open Text had a return on equity of 22.52% and a net margin of 8.43%.The firm had revenue of $1.31 billion during the quarter, compared to analyst estimates of $1.27 billion. During the same quarter in the prior year, the business posted $0.93 EPS. The business’s revenue for the quarter was up 1.5% compared to the same quarter last year. Analysts forecast that Open Text Corporation will post 3.45 EPS for the current fiscal year.

Open Text Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, December 19th. Stockholders of record on Friday, December 5th will be paid a dividend of $0.275 per share. The ex-dividend date is Friday, December 5th. This represents a $1.10 dividend on an annualized basis and a dividend yield of 3.3%. Open Text’s payout ratio is presently 57.59%.

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.