Naples Global Advisors LLC Purchases Shares of 22,455 Open Text Corporation $OTEX

Key Points

• Naples Global Advisors LLC has acquired 22,455 shares of Open Text Corporation, valued at approximately $656,000.
• Wall Street analysts have recently upgraded Open Text's rating to "outperform" with price targets ranging from $45 to $50.
• Open Text announced an increase in its quarterly dividend to $0.275 per share, which reflects a 2.9% dividend yield.

Naples Global Advisors LLC purchased a new stake in shares of Open Text Corporation (NASDAQ:OTEX - Free Report) TSE: OTC in the 2nd quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The fund purchased 22,455 shares of the software maker's stock, valued at approximately $656,000.

Other hedge funds have also bought and sold shares of the company. Versant Capital Management Inc bought a new stake in Open Text during the first quarter valued at about $26,000. Parallel Advisors LLC grew its holdings 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 period. Headlands Technologies LLC grew its holdings in Open Text by 360.6% during the first quarter. Headlands Technologies LLC now owns 2,888 shares of the software maker's stock valued at $73,000 after purchasing an additional 2,261 shares during the period. United Services Automobile Association bought a new stake in Open Text during the first quarter valued at about $213,000. Finally, Ridgewood Investments LLC grew its holdings in Open Text by 593.1% during the first quarter. Ridgewood Investments LLC now owns 8,664 shares of the software maker's stock valued at $219,000 after purchasing an additional 7,414 shares during the period. Institutional investors own 70.37% of the company's stock.

Wall Street Analysts Forecast Growth

Several brokerages have recently commented on OTEX. National Bank Financial upgraded Open Text from a "sector perform" rating to an "outperform" rating and set a $45.00 price objective on the stock in a research report on Monday, September 15th. Scotiabank upgraded Open Text from a "sector perform" rating to an "outperform" rating and boosted their price objective for the company from $35.00 to $50.00 in a research report on Wednesday, September 24th. National Bankshares upgraded Open Text from a "sector perform" rating to an "outperform" rating and boosted their price objective for the company from $34.00 to $45.00 in a research report on Monday, September 15th. CIBC restated a "neutral" rating on shares of Open Text in a research report on Monday, August 11th. Finally, Jefferies Financial Group downgraded Open Text from a "buy" rating to a "hold" rating and set a $33.00 price objective on the stock. in a research report on Tuesday, August 12th. Five analysts have rated the stock with a Buy rating, five have given a Hold rating and one has assigned a Sell rating to the company's stock. According to data from MarketBeat.com, Open Text currently has a consensus rating of "Hold" and an average target price of $36.55.

Open Text Trading Up 1.4%

Shares of NASDAQ OTEX opened at $37.66 on Friday. The business's 50 day moving average is $33.27 and its two-hundred day moving average is $29.43. The company has a debt-to-equity ratio of 1.61, a current ratio of 0.80 and a quick ratio of 0.80. Open Text Corporation has a 1-year low of $22.79 and a 1-year high of $39.04. The stock has a market capitalization of $9.52 billion, a P/E ratio of 22.82 and a beta of 1.17.

Open Text (NASDAQ:OTEX - Get Free Report) TSE: OTC last issued 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. Open Text had a return on equity of 22.52% and a net margin of 8.43%.The company had revenue of $1.32 billion for the quarter, compared to analysts' expectations of $1.30 billion. During the same period in the previous year, the firm posted $0.98 earnings per share. The firm's revenue for the quarter was down 3.8% on a year-over-year basis. As a group, research analysts expect that Open Text Corporation will post 3.45 EPS for the current year.

Open Text Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, September 19th. Stockholders of record on Friday, September 5th were paid a dividend of $0.275 per share. This is a positive change from Open Text's previous quarterly dividend of $0.26. This represents a $1.10 dividend on an annualized basis and a dividend yield of 2.9%. The ex-dividend date of this dividend was Friday, September 5th. Open Text's payout ratio is currently 66.67%.

Open Text Company Profile

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.

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