Open Text Corporation (NASDAQ:OTEX) Receives Consensus Rating of “Hold” from Brokerages

Open Text Corporation (NASDAQ:OTEX) (TSE:OTC) has earned a consensus recommendation of “Hold” from the fourteen research firms that are presently covering the firm, Marketbeat reports. Eleven research analysts have rated the stock with a hold recommendation and three have issued a buy recommendation on the company. The average 12-month price target among brokerages that have covered the stock in the last year is $35.75.

Several analysts have recently issued reports on the stock. Royal Bank Of Canada reduced their target price on shares of Open Text from $33.00 to $30.00 and set a “sector perform” rating for the company in a research note on Friday, February 6th. Weiss Ratings restated a “hold (c+)” rating on shares of Open Text in a report on Monday, December 29th. Barclays reduced their price objective on shares of Open Text from $39.00 to $30.00 and set an “equal weight” rating for the company in a research report on Friday, February 6th. Citigroup decreased their price objective on shares of Open Text from $36.00 to $26.00 and set a “neutral” rating for the company in a research note on Friday, February 6th. Finally, Canadian Imperial Bank of Commerce dropped their target price on shares of Open Text from $40.00 to $37.00 and set a “neutral” rating on the stock in a research report on Friday, January 16th.

Open Text Stock Up 0.8%

Shares of NASDAQ:OTEX opened at $22.25 on Friday. The business’s 50 day moving average is $25.00 and its 200 day moving average is $31.78. Open Text has a 12-month low of $21.82 and a 12-month high of $39.90. The stock has a market cap of $5.46 billion, a price-to-earnings ratio of 13.09 and a beta of 1.08. The company has a quick ratio of 0.94, a current ratio of 0.94 and a debt-to-equity ratio of 1.57.

Open Text (NASDAQ:OTEX) (TSE:OTC) last released its quarterly earnings results on Thursday, February 5th. The software maker reported $1.13 EPS for the quarter, beating analysts’ consensus estimates of $1.04 by $0.09. Open Text had a return on equity of 23.60% and a net margin of 8.42%.The business had revenue of $1.32 billion during the quarter, compared to analyst estimates of $1.29 billion. Open Text’s quarterly revenue was down .6% compared to the same quarter last year. During the same period in the prior year, the firm posted $1.11 EPS. On average, sell-side analysts forecast that Open Text will post 3.45 earnings per share for the current fiscal year.

Open Text Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Friday, March 20th. Investors of record on Friday, March 6th were issued a dividend of $0.275 per share. This represents a $1.10 dividend on an annualized basis and a yield of 4.9%. The ex-dividend date was Friday, March 6th. Open Text’s dividend payout ratio (DPR) is 64.71%.

Institutional Inflows and Outflows

Institutional investors have recently bought and sold shares of the business. CIBC Private Wealth Group LLC purchased a new stake in shares of Open Text during the 3rd quarter valued at $33,000. Sagard Holdings Management Inc. purchased a new position in shares of Open Text in the 2nd quarter worth about $30,000. MAI Capital Management boosted its holdings in shares of Open Text by 58.7% in the 2nd quarter. MAI Capital Management now owns 1,595 shares of the software maker’s stock worth $47,000 after buying an additional 590 shares during the last quarter. Caitong International Asset Management Co. Ltd grew its position in Open Text by 5,096.8% during the fourth quarter. Caitong International Asset Management Co. Ltd now owns 1,611 shares of the software maker’s stock valued at $52,000 after buying an additional 1,580 shares during the period. Finally, WealthCollab LLC grew its position in Open Text by 39.5% during the second quarter. WealthCollab LLC now owns 1,640 shares of the software maker’s stock valued at $48,000 after buying an additional 464 shares during the period. Institutional investors own 70.37% of the company’s stock.

About Open Text

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.