Aigen Investment Management LP Takes Position in Open Text Corporation (NASDAQ:OTEX)

Key Points

• Aigen Investment Management LP has acquired 17,509 shares of Open Text Corporation, valued at approximately $442,000, marking a significant investment in the company.
• Open Text declared a quarterly dividend of $0.275, representing an increase from its previous dividend, with a current yield of 3.7%.
• Recent earnings data showed Open Text exceeding expectations, reporting $0.97 EPS for the last quarter, while also experiencing a year-over-year revenue decline of 3.8%.

Aigen Investment Management LP purchased a new position in shares of Open Text Corporation (NASDAQ:OTEX - Free Report) TSE: OTC in the 1st quarter, according to the company in its most recent 13F filing with the SEC. The firm purchased 17,509 shares of the software maker's stock, valued at approximately $442,000.

Several other hedge funds have also recently added to or reduced their stakes in the company. Versant Capital Management Inc bought a new stake in Open Text during the 1st quarter valued at $26,000. Parallel Advisors LLC boosted its holdings in Open Text by 219.3% during the 1st quarter. Parallel Advisors LLC now owns 1,938 shares of the software maker's stock worth $49,000 after acquiring an additional 1,331 shares during the last quarter. Aquatic Capital Management LLC purchased a new position in Open Text during the 4th quarter worth $60,000. Headlands Technologies LLC boosted its holdings in 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 acquiring an additional 2,261 shares during the last quarter. Finally, Natixis boosted its holdings in Open Text by 1,075.1% during the 4th quarter. Natixis now owns 3,161 shares of the software maker's stock worth $90,000 after acquiring an additional 2,892 shares during the last quarter. Institutional investors own 70.37% of the company's stock.

Analyst Ratings Changes

A number of equities analysts recently weighed in on the stock. UBS Group cut their price target on shares of Open Text from $32.00 to $28.00 and set a "neutral" rating on the stock in a report on Friday, May 2nd. Barclays reissued a "positive" rating on shares of Open Text in a report on Friday, August 8th. Wall Street Zen raised shares of Open Text from a "hold" rating to a "buy" rating in a report on Saturday, August 9th. BMO Capital Markets cut their price target on shares of Open Text from $30.00 to $28.00 and set a "market perform" rating on the stock in a report on Friday, May 2nd. Finally, National Bankshares cut their price target on shares of Open Text from $38.00 to $34.00 and set a "sector perform" rating on the stock in a report on Friday, April 25th. One investment analyst has rated the stock with a sell rating, seven have issued a hold rating and three have given a buy rating to the company. According to data from MarketBeat.com, the company has a consensus rating of "Hold" and a consensus target price of $32.60.

Open Text Stock Performance

NASDAQ OTEX traded up $0.65 during trading on Friday, hitting $31.69. 1,678,254 shares of the company's stock traded hands, compared to its average volume of 1,436,635. The stock has a market capitalization of $8.06 billion, a price-to-earnings ratio of 19.21 and a beta of 1.12. Open Text Corporation has a 12-month low of $22.79 and a 12-month high of $34.20. The company has a debt-to-equity ratio of 1.61, a quick ratio of 0.80 and a current ratio of 0.80. The business has a 50 day moving average of $29.19 and a 200-day moving average of $27.68.

Open Text (NASDAQ:OTEX - Get Free Report) TSE: OTC last released its quarterly earnings data on Thursday, August 7th. The software maker reported $0.97 EPS for the quarter, beating the consensus estimate of $0.86 by $0.11. The business had revenue of $1.32 billion for the quarter, compared to the consensus estimate of $1.30 billion. Open Text had a net margin of 8.43% and a return on equity of 22.52%. The company's revenue was down 3.8% compared to the same quarter last year. During the same period in the prior year, the firm earned $0.98 earnings per share. As a group, equities research analysts anticipate that Open Text Corporation will post 3.45 earnings per share for the current fiscal year.

Open Text Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Friday, September 19th. Stockholders of record on Friday, September 5th will be given a dividend of $0.275 per share. This is a boost from Open Text's previous quarterly dividend of $0.26. This represents a $1.10 annualized dividend and a dividend yield of 3.5%. The ex-dividend date is Friday, September 5th. Open Text's dividend payout ratio (DPR) is currently 63.64%.

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.