Alberta Investment Management Corp Invests $1.49 Million in Open Text Corporation $OTEX

Key Points

• Alberta Investment Management Corp. acquired 67,209 Open Text shares during the second quarter, valued at approximately $1.49 million. Institutional investors and hedge funds collectively own 70.37% of the company.
• Analyst sentiment remains cautious, with three Buy ratings and eleven Holds; the stock has an average rating of “Hold” and an average price target of $32.46.
• Open Text exceeded quarterly expectations, reporting $1.23 in EPS and $1.33 billion in revenue, while its quarterly dividend implies a 4.7% yield.

Alberta Investment Management Corp acquired a new stake in Open Text Corporation (NASDAQ:OTEX - Free Report) TSE: OTC during the second quarter, according to its most recent Form 13F filing with the SEC. The firm acquired 67,209 shares of the software maker's stock, valued at approximately $1,486,000.

Several other institutional investors and hedge funds have also recently added to or reduced their stakes in OTEX. Norges Bank acquired a new position in shares of Open Text during the 4th quarter worth about $106,700,000. First Trust Advisors LP raised its stake in shares of Open Text by 27.3% in the 4th quarter. First Trust Advisors LP now owns 11,493,714 shares of the software maker's stock valued at $374,394,000 after buying an additional 2,466,264 shares in the last quarter. Morgan Stanley raised its stake in shares of Open Text by 76.8% in the 4th quarter. Morgan Stanley now owns 2,884,381 shares of the software maker's stock valued at $93,973,000 after buying an additional 1,253,405 shares in the last quarter. The Manufacturers Life Insurance Company lifted its holdings in shares of Open Text by 11.7% during the 4th quarter. The Manufacturers Life Insurance Company now owns 10,734,420 shares of the software maker's stock worth $349,978,000 after acquiring an additional 1,122,320 shares during the period. Finally, Royal Bank of Canada boosted its position in shares of Open Text by 10.9% during the 1st quarter. Royal Bank of Canada now owns 9,843,494 shares of the software maker's stock valued at $218,920,000 after acquiring an additional 965,385 shares in the last quarter. 70.37% of the stock is currently owned by institutional investors and hedge funds.

Analysts Set New Price Targets

Several equities research analysts have recently weighed in on the company. Raymond James Financial lowered Open Text from an "outperform" rating to a "market perform" rating and lowered their price objective for the company from $35.00 to $29.50 in a research note on Thursday, August 6th. UBS Group boosted their price target on Open Text from $25.00 to $27.00 and gave the company a "neutral" rating in a research note on Friday, August 7th. National Bank Financial lowered their price target on Open Text from $45.00 to $33.00 and set an "outperform" rating on the stock in a research report on Wednesday, May 27th. Scotia dropped their price objective on Open Text from $40.00 to $33.00 and set a "sector outperform" rating for the company in a research note on Friday, August 7th. Finally, Royal Bank Of Canada cut their price objective on Open Text from $30.00 to $27.00 and set a "sector perform" rating for the company in a report on Friday, May 8th. Three research analysts have rated the stock with a Buy rating and eleven have assigned a Hold rating to the company's stock. According to MarketBeat, the stock presently has an average rating of "Hold" and an average price target of $32.46.

Open Text Trading Down 2.5%

OTEX stock opened at $23.93 on Tuesday. The company has a quick ratio of 0.81, a current ratio of 0.81 and a debt-to-equity ratio of 1.43. Open Text Corporation has a twelve month low of $19.77 and a twelve month high of $39.90. The company has a market cap of $5.79 billion, a P/E ratio of 9.28 and a beta of 1.03. The business has a fifty day moving average of $23.11 and a 200-day moving average of $23.38.

Open Text (NASDAQ:OTEX - Get Free Report) TSE: OTC last posted its quarterly earnings results on Thursday, August 6th. The software maker reported $1.23 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.02 by $0.21. The business had revenue of $1.33 billion for the quarter, compared to analysts' expectations of $1.29 billion. Open Text had a return on equity of 25.76% and a net margin of 12.26%.The firm's quarterly revenue was up 2.9% compared to the same quarter last year. During the same quarter last year, the business earned $0.97 earnings per share. As a group, equities research analysts expect that Open Text Corporation will post 4.32 EPS for the current year.

Open Text Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, September 18th. Stockholders of record on Friday, September 4th will be given a dividend of $0.28 per share. The ex-dividend date is Friday, September 4th. This represents a $1.12 annualized dividend and a dividend yield of 4.7%. This is a positive change from Open Text's previous quarterly dividend of $0.28. Open Text's dividend payout ratio is presently 42.64%.

Open Text Profile

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.

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