Open Text Corporation (NASDAQ:OTEX) Given Average Recommendation of “Hold” by Analysts

Open Text Corporation (NASDAQ:OTEX) (TSE:OTC) has received a consensus rating of “Hold” from the fourteen analysts that are presently covering the company, Marketbeat reports. Ten investment analysts have rated the stock with a hold recommendation and four have assigned a buy recommendation to the company. The average 1 year price objective among brokerages that have issued a report on the stock in the last year is $33.6667.

A number of analysts recently weighed in on OTEX shares. National Bank Financial dropped their price objective on shares of Open Text from $45.00 to $33.00 and set an “outperform” rating on the stock in a report on Wednesday, May 27th. Scotia reduced their target price on shares of Open Text from $50.00 to $40.00 and set a “sector outperform” rating for the company in a research note on Friday, May 8th. Citigroup decreased their target price on shares of Open Text from $26.00 to $25.00 and set a “neutral” rating for the company in a research report on Friday, May 8th. Weiss Ratings restated a “hold (c-)” rating on shares of Open Text in a research note on Wednesday, June 24th. Finally, Royal Bank Of Canada dropped their price target on shares of Open Text from $30.00 to $27.00 and set a “sector perform” rating on the stock in a research note on Friday, May 8th.

Institutional Inflows and Outflows

A number of institutional investors have recently added to or reduced their stakes in OTEX. Goldman Sachs Group Inc. increased its position in shares of Open Text by 75.8% during the 1st quarter. Goldman Sachs Group Inc. now owns 1,437,335 shares of the software maker’s stock valued at $36,307,000 after purchasing an additional 619,527 shares during the period. United Services Automobile Association bought a new position in Open Text during the first quarter valued at about $213,000. EverSource Wealth Advisors LLC boosted its stake in Open Text by 39.7% during the second quarter. EverSource Wealth Advisors LLC now owns 2,005 shares of the software maker’s stock valued at $59,000 after buying an additional 570 shares in the last quarter. Cerity Partners LLC grew its holdings in Open Text by 3.4% during the second quarter. Cerity Partners LLC now owns 49,003 shares of the software maker’s stock worth $1,431,000 after acquiring an additional 1,612 shares during the period. Finally, Qube Research & Technologies Ltd grew its holdings in Open Text by 16.8% during the second quarter. Qube Research & Technologies Ltd now owns 46,500 shares of the software maker’s stock worth $1,360,000 after acquiring an additional 6,700 shares during the period. Institutional investors and hedge funds own 70.37% of the company’s stock.

Open Text Price Performance

Shares of OTEX opened at $23.04 on Friday. Open Text has a 12 month low of $19.77 and a 12 month high of $39.90. The company has a debt-to-equity ratio of 1.56, a current ratio of 0.94 and a quick ratio of 0.94. The stock has a fifty day moving average price of $22.72 and a 200 day moving average price of $25.17. The company has a market cap of $5.59 billion, a P/E ratio of 11.24 and a beta of 1.04.

Open Text (NASDAQ:OTEX) (TSE:OTC) last posted its earnings results on Thursday, May 7th. The software maker reported $1.01 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.94 by $0.07. Open Text had a return on equity of 24.77% and a net margin of 9.91%.The company had revenue of $1.28 billion for the quarter, compared to analysts’ expectations of $1.26 billion. During the same period last year, the business posted $0.82 earnings per share. The firm’s quarterly revenue was up 2.2% compared to the same quarter last year. On average, research analysts forecast that Open Text will post 4.05 earnings per share for the current year.

Open Text Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, June 19th. Investors of record on Friday, June 5th were given a $0.275 dividend. This represents a $1.10 annualized dividend and a yield of 4.8%. The ex-dividend date was Friday, June 5th. Open Text’s dividend payout ratio (DPR) is currently 53.66%.

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.