Open Text Corporation $OTEX Position Increased by BRITISH COLUMBIA INVESTMENT MANAGEMENT Corp

Key Points

• BRITISH COLUMBIA INVESTMENT MANAGEMENT Corp increased its stake in Open Text Corporation by 25.3%, owning 146,784 shares valued at approximately $3.7 million.
• Open Text reported earnings of $0.97 per share for the last quarter, outperforming analysts' estimates, and had revenue of $1.32 billion.
• The company announced an increase in its quarterly dividend to $0.275, which reflects a 3.4% yield, a raise from the previous dividend of $0.26.

BRITISH COLUMBIA INVESTMENT MANAGEMENT Corp increased its stake in Open Text Corporation (NASDAQ:OTEX - Free Report) TSE: OTC by 25.3% in the first quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The fund owned 146,784 shares of the software maker's stock after buying an additional 29,648 shares during the period. BRITISH COLUMBIA INVESTMENT MANAGEMENT Corp owned about 0.06% of Open Text worth $3,705,000 at the end of the most recent reporting period.

Other institutional investors have also recently added to or reduced their stakes in the company. Parallel Advisors LLC increased its stake in Open Text by 219.3% during the first quarter. Parallel Advisors LLC now owns 1,938 shares of the software maker's stock valued at $49,000 after purchasing an additional 1,331 shares during the last quarter. Allspring Global Investments Holdings LLC increased its stake in Open Text by 12.7% during the first quarter. Allspring Global Investments Holdings LLC now owns 187,565 shares of the software maker's stock valued at $4,735,000 after purchasing an additional 21,089 shares during the last quarter. Oppenheimer Asset Management Inc. bought a new stake in Open Text during the first quarter valued at $323,000. Korea Investment CORP increased its stake in Open Text by 107.7% during the first quarter. Korea Investment CORP now owns 188,444 shares of the software maker's stock valued at $4,755,000 after purchasing an additional 97,700 shares during the last quarter. Finally, Two Sigma Investments LP increased its stake in Open Text by 483.2% during the fourth quarter. Two Sigma Investments LP now owns 72,906 shares of the software maker's stock valued at $2,065,000 after purchasing an additional 60,406 shares during the last quarter. Institutional investors own 70.37% of the company's stock.

Open Text Price Performance

OTEX stock traded down $0.03 during trading on Thursday, hitting $32.97. The company had a trading volume of 1,337,521 shares, compared to its average volume of 1,589,164. The firm has a market capitalization of $8.38 billion, a price-to-earnings ratio of 19.98 and a beta of 1.12. The business has a 50 day moving average of $29.87 and a 200 day moving average of $27.86. Open Text Corporation has a fifty-two week low of $22.79 and a fifty-two week high of $34.20. The company has a current ratio of 0.80, a quick ratio of 0.80 and a debt-to-equity ratio of 1.61.

Open Text (NASDAQ:OTEX - Get Free Report) TSE: OTC last posted its quarterly earnings data on Thursday, August 7th. The software maker reported $0.97 earnings per share for the quarter, topping the consensus estimate of $0.86 by $0.11. The business had revenue of $1.32 billion during 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 quarterly revenue was down 3.8% compared to the same quarter last year. During the same quarter in the prior year, the company posted $0.98 earnings per share. As a group, research analysts predict that Open Text Corporation will post 3.45 earnings per share for the current year.

Open Text Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, September 19th. Shareholders of record on Friday, September 5th will be issued a $0.275 dividend. This represents a $1.10 dividend on an annualized basis and a yield of 3.3%. 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 dividend payout ratio is currently 63.64%.

Wall Street Analysts Forecast Growth

Several research firms have weighed in on OTEX. UBS Group lowered their target price on shares of Open Text from $32.00 to $28.00 and set a "neutral" rating for the company in a research note on Friday, May 2nd. Wall Street Zen raised shares of Open Text from a "hold" rating to a "buy" rating in a report on Saturday, August 9th. CIBC reissued a "neutral" rating on shares of Open Text in a report on Monday, August 11th. Scotiabank boosted their price target on shares of Open Text from $30.00 to $35.00 and gave the company a "sector perform" rating in a report on Tuesday, August 12th. Finally, BMO Capital Markets reduced their price target on shares of Open Text from $30.00 to $28.00 and set a "market perform" rating for the company in a report on Friday, May 2nd. Two investment analysts have rated the stock with a Buy rating, seven have issued a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of "Hold" and an average target price of $32.60.

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.