StockNews.com Downgrades Open Text (NASDAQ:OTEX) to Hold

Open Text (NASDAQ:OTEX) (TSE:OTC) was downgraded by analysts at StockNews.com from a “buy” rating to a “hold” rating in a note issued to investors on Monday.

Other equities analysts have also recently issued reports about the company. National Bankshares lowered their price target on Open Text from $38.00 to $34.00 and set a “sector perform” rating for the company in a report on Friday, April 25th. BMO Capital Markets lowered their target price on shares of Open Text from $30.00 to $28.00 and set a “market perform” rating for the company in a research note on Friday, May 2nd. Royal Bank of Canada decreased their price objective on shares of Open Text from $31.00 to $30.00 and set a “sector perform” rating on the stock in a report on Tuesday, April 22nd. UBS Group lowered their price objective on shares of Open Text from $32.00 to $28.00 and set a “neutral” rating for the company in a research report on Friday, May 2nd. Finally, TD Securities cut their target price on Open Text from $38.00 to $35.00 and set a “buy” rating on the stock in a research report on Sunday, February 9th. One research analyst has rated the stock with a sell rating, nine have assigned a hold rating and two have issued a buy rating to the company. According to data from MarketBeat.com, Open Text has an average rating of “Hold” and a consensus price target of $32.30.

Open Text Trading Down 0.5 %

Shares of OTEX stock opened at $26.68 on Monday. The company has a current ratio of 0.87, a quick ratio of 0.87 and a debt-to-equity ratio of 1.50. Open Text has a twelve month low of $22.79 and a twelve month high of $34.20. The company’s 50-day moving average price is $25.74 and its 200-day moving average price is $28.01. The stock has a market cap of $6.93 billion, a price-to-earnings ratio of 10.85 and a beta of 1.15.

Open Text (NASDAQ:OTEX) (TSE:OTC) last posted its quarterly earnings results on Wednesday, April 30th. The software maker reported $0.82 earnings per share for the quarter, beating the consensus estimate of $0.81 by $0.01. The business had revenue of $1.25 billion during the quarter, compared to analysts’ expectations of $1.28 billion. Open Text had a net margin of 12.21% and a return on equity of 23.23%. The business’s revenue for the quarter was down 13.3% on a year-over-year basis. During the same quarter in the prior year, the company posted $0.94 EPS. As a group, equities analysts predict that Open Text will post 3.45 earnings per share for the current year.

Institutional Investors Weigh In On Open Text

Several hedge funds have recently modified their holdings of OTEX. Norges Bank purchased a new stake in shares of Open Text during the 4th quarter worth $93,216,000. Arrowstreet Capital Limited Partnership lifted its stake in shares of Open Text by 75.9% in the fourth quarter. Arrowstreet Capital Limited Partnership now owns 5,994,675 shares of the software maker’s stock valued at $169,555,000 after purchasing an additional 2,586,549 shares during the period. Value Partners Investments Inc. boosted its holdings in Open Text by 1,162.1% during the first quarter. Value Partners Investments Inc. now owns 2,333,539 shares of the software maker’s stock worth $58,955,000 after buying an additional 2,148,639 shares in the last quarter. JARISLOWSKY FRASER Ltd grew its position in Open Text by 11.8% during the fourth quarter. JARISLOWSKY FRASER Ltd now owns 18,547,256 shares of the software maker’s stock worth $522,879,000 after buying an additional 1,957,695 shares during the period. Finally, Criteria Caixa S.A.U. purchased a new position in Open Text in the fourth quarter valued at about $32,890,000. 70.37% of the stock is owned by institutional investors and hedge funds.

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.