Arbejdsmarkedets Tillaegspension Buys 347,695 Shares of Open Text Corporation $OTEX

Key Points

• Arbejdsmarkedets Tillaegspension increased its Open Text stake by 49.8% in Q1, buying 347,695 additional shares and bringing its total holding to 1,045,953 shares worth about $23.3 million.
• Open Text reported better-than-expected quarterly results, with EPS of $1.01 versus $0.94 expected and revenue of $1.28 billion versus $1.26 billion expected. Quarterly revenue rose 2.2% year over year.
• The company also paid a quarterly dividend of $0.275 per share, annualizing to $1.10 and yielding about 4.7%. Analysts currently have an average rating of Hold with an average price target of $33.67.

Arbejdsmarkedets Tillaegspension boosted its stake in Open Text Corporation (NASDAQ:OTEX - Free Report) TSE: OTC by 49.8% during the first quarter, according to the company in its most recent filing with the SEC. The fund owned 1,045,953 shares of the software maker's stock after buying an additional 347,695 shares during the period. Arbejdsmarkedets Tillaegspension owned approximately 0.43% of Open Text worth $23,262,000 as of its most recent filing with the SEC.

Other hedge funds have also added to or reduced their stakes in the company. CIBC Private Wealth Group LLC acquired a new stake in shares of Open Text in the third quarter valued at approximately $33,000. WealthCollab LLC grew its stake in Open Text by 39.5% during the second quarter. WealthCollab LLC now owns 1,640 shares of the software maker's stock worth $48,000 after buying an additional 464 shares in the last quarter. Caitong International Asset Management Co. Ltd boosted its position in shares of Open Text by 5,096.8% during the 4th quarter. Caitong International Asset Management Co. Ltd now owns 1,611 shares of the software maker's stock worth $52,000 after acquiring an additional 1,580 shares in the last quarter. Osaic Holdings Inc. increased its stake in Open Text by 108.8% in the second quarter. Osaic Holdings Inc. now owns 1,798 shares of the software maker's stock valued at $52,000 after acquiring an additional 937 shares during the last quarter. Finally, EverSource Wealth Advisors LLC increased its stake in Open Text by 39.7% in the second quarter. EverSource Wealth Advisors LLC now owns 2,005 shares of the software maker's stock valued at $59,000 after acquiring an additional 570 shares during the last quarter. 70.37% of the stock is owned by institutional investors and hedge funds.

Open Text Stock Up 2.4%

Open Text stock opened at $23.57 on Tuesday. The firm has a market cap of $5.72 billion, a price-to-earnings ratio of 11.50 and a beta of 1.04. Open Text Corporation has a 52-week low of $19.77 and a 52-week high of $39.90. The company has a debt-to-equity ratio of 1.56, a quick ratio of 0.94 and a current ratio of 0.94. The firm has a 50 day moving average price of $22.78 and a two-hundred day moving average price of $24.68.

Open Text (NASDAQ:OTEX - Get Free Report) TSE: OTC last announced its earnings results on Thursday, May 7th. The software maker reported $1.01 earnings per share for the quarter, topping analysts' consensus estimates of $0.94 by $0.07. The business had revenue of $1.28 billion during the quarter, compared to the consensus estimate of $1.26 billion. Open Text had a net margin of 9.91% and a return on equity of 24.77%. Open Text's quarterly revenue was up 2.2% on a year-over-year basis. During the same quarter last year, the firm earned $0.82 earnings per share. Equities analysts predict that Open Text Corporation will post 4.05 EPS for the current year.

Open Text Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Friday, June 19th. Shareholders of record on Friday, June 5th were paid a $0.275 dividend. This represents a $1.10 annualized dividend and a yield of 4.7%. The ex-dividend date of this dividend was Friday, June 5th. Open Text's payout ratio is 53.66%.

Wall Street Analyst Weigh In

OTEX has been the topic of several recent analyst reports. Wall Street Zen lowered Open Text from a "strong-buy" rating to a "buy" rating in a research note on Sunday. UBS Group set a $25.00 price objective on shares of Open Text in a research report on Friday, May 8th. Scotiabank dropped their price objective 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 cut their target price on shares of Open Text from $26.00 to $25.00 and set a "neutral" rating on the stock in a research report on Friday, May 8th. Finally, Scotia decreased their target price on shares of Open Text from $50.00 to $40.00 and set a "sector outperform" rating on the stock in a research note on Friday, May 8th. Four research analysts have rated the stock with a Buy rating and ten have assigned a Hold rating to the stock. According to data from MarketBeat.com, the company has an average rating of "Hold" and an average price target of $33.67.

Open Text Company 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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