Raymond James Financial Estimates Open Text Q1 Earnings

Key Points

• Raymond James Financial forecasts Open Text will achieve earnings per share (EPS) of $0.94 for Q1 2026, with a full-year consensus estimate at $3.45 per share.
• Open Text recently raised its quarterly dividend to $0.275 per share, reflecting a 3.4% yield, up from the previous dividend of $0.26.
• Analyst ratings vary, with two "Buy", seven "Hold", and one "Sell" rating, leading to a consensus target price of $32.60 for the stock.

Open Text Corporation (NASDAQ:OTEX - Free Report) TSE: OTC - Stock analysts at Raymond James Financial issued their Q1 2026 earnings estimates for shares of Open Text in a research report issued to clients and investors on Monday, August 18th. Raymond James Financial analyst S. Li anticipates that the software maker will earn $0.94 per share for the quarter. The consensus estimate for Open Text's current full-year earnings is $3.45 per share. Raymond James Financial also issued estimates for Open Text's Q2 2026 earnings at $1.02 EPS, Q3 2026 earnings at $0.92 EPS and Q4 2026 earnings at $1.01 EPS.

A number of other analysts also recently weighed in on the stock. UBS Group reduced their price target on shares of Open Text from $32.00 to $28.00 and set a "neutral" rating for the company in a report on Friday, May 2nd. Barclays reaffirmed a "positive" rating on shares of Open Text in a report on Friday, August 8th. Citigroup raised their price objective on shares of Open Text from $29.00 to $43.00 and gave the stock a "negative" rating in a report on Friday, May 2nd. Scotiabank raised their price objective on shares of Open Text from $30.00 to $35.00 and gave the stock a "sector perform" rating in a report on Tuesday, August 12th. Finally, CIBC reaffirmed a "neutral" rating on shares of Open Text in a report on Monday, August 11th. Two analysts have rated the stock with a Buy rating, seven have issued a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat, the stock has a consensus rating of "Hold" and an average target price of $32.60.

Open Text Stock Performance

Open Text stock traded up $0.72 during mid-day trading on Thursday, reaching $32.63. The company had a trading volume of 817,451 shares, compared to its average volume of 1,560,300. The company has a quick ratio of 0.80, a current ratio of 0.80 and a debt-to-equity ratio of 1.61. Open Text has a 52 week low of $22.79 and a 52 week high of $34.20. The company has a 50 day moving average of $29.53 and a 200-day moving average of $27.74. The firm has a market cap of $8.30 billion, a price-to-earnings ratio of 19.78 and a beta of 1.12.

Open Text (NASDAQ:OTEX - Get Free Report) TSE: OTC last issued its quarterly earnings results on Thursday, August 7th. The software maker reported $0.97 earnings per share for the quarter, beating analysts' consensus estimates of $0.86 by $0.11. Open Text had a net margin of 8.43% and a return on equity of 22.52%. The firm had revenue of $1.32 billion during the quarter, compared to the consensus estimate of $1.30 billion. During the same period in the prior year, the firm earned $0.98 EPS. The business's revenue was down 3.8% on a year-over-year basis.

Institutional Investors Weigh In On Open Text

Hedge funds have recently made changes to their positions in the company. Versant Capital Management Inc acquired a new stake in shares of Open Text during the 1st quarter worth about $26,000. Sagard Holdings Management Inc. acquired a new stake in shares of Open Text during the 2nd quarter worth about $30,000. MAI Capital Management increased its position in shares of Open Text by 58.7% during the 2nd 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 increased its position in shares of Open Text by 27.4% during the 2nd quarter. Cromwell Holdings LLC now owns 1,635 shares of the software maker's stock worth $48,000 after purchasing an additional 352 shares in the last quarter. Finally, WealthCollab LLC increased its position in shares of Open Text by 39.5% during the 2nd quarter. WealthCollab LLC now owns 1,640 shares of the software maker's stock worth $48,000 after purchasing an additional 464 shares in the last quarter. Institutional investors and hedge funds own 70.37% of the company's stock.

Open Text Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, September 19th. Stockholders of record on Friday, September 5th will be issued a dividend of $0.275 per share. This represents a $1.10 dividend on an annualized basis and a dividend yield of 3.4%. The ex-dividend date of this dividend is Friday, September 5th. This is a positive change from Open Text's previous quarterly dividend of $0.26. Open Text's payout ratio is 66.67%.

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.