Open Text Co. (NASDAQ:OTEX) Given Consensus Recommendation of "Hold" by Brokerages

Open Text Co. (NASDAQ:OTEX - Get Free Report) TSE: OTC has been given a consensus rating of "Hold" by the eleven ratings firms that are covering the stock, MarketBeat.com reports. One equities research analyst has rated the stock with a sell rating, eight have given a hold rating and two have given a buy rating to the company. The average 12-month price target among analysts that have issued ratings on the stock in the last year is $32.30.

OTEX has been the topic of several analyst reports. Royal Bank of Canada lowered their price objective on Open Text from $31.00 to $30.00 and set a "sector perform" rating on the stock in a research report on Tuesday, April 22nd. Barclays decreased their price target on Open Text from $36.00 to $29.00 and set an "equal weight" rating for the company in a research note on Monday, April 21st. UBS Group lowered their price target on Open Text from $32.00 to $28.00 and set a "neutral" rating on the stock in a report on Friday, May 2nd. BMO Capital Markets reduced their price objective on Open Text from $30.00 to $28.00 and set a "market perform" rating for the company in a report on Friday, May 2nd. Finally, Scotiabank decreased their target price on Open Text from $35.00 to $30.00 and set a "sector perform" rating for the company in a research report on Monday, April 28th.

Hedge Funds Weigh In On Open Text

A number of institutional investors and hedge funds have recently made changes to their positions in the business. Plato Investment Management Ltd increased its holdings in Open Text by 926.0% during the first quarter. Plato Investment Management Ltd now owns 49,999 shares of the software maker's stock valued at $1,276,000 after buying an additional 45,126 shares during the last quarter. United Services Automobile Association bought a new stake in shares of Open Text during the 1st quarter valued at $213,000. Guardian Partners Inc. raised its holdings in Open Text by 9.5% in the 1st quarter. Guardian Partners Inc. now owns 203,426 shares of the software maker's stock worth $5,083,000 after purchasing an additional 17,654 shares during the period. Goldman Sachs Group Inc. raised its holdings in Open Text by 75.8% in the 1st quarter. Goldman Sachs Group Inc. now owns 1,437,335 shares of the software maker's stock worth $36,307,000 after purchasing an additional 619,527 shares during the period. Finally, Advisors Asset Management Inc. lifted its position in Open Text by 75.2% during the first quarter. Advisors Asset Management Inc. now owns 10,719 shares of the software maker's stock valued at $271,000 after purchasing an additional 4,601 shares in the last quarter. Hedge funds and other institutional investors own 70.37% of the company's stock.

Open Text Stock Up 0.2%

Shares of OTEX traded up $0.07 during trading hours on Friday, hitting $28.09. The company had a trading volume of 1,419,334 shares, compared to its average volume of 855,102. The stock has a market capitalization of $7.27 billion, a price-to-earnings ratio of 11.42 and a beta of 1.15. The firm has a fifty day moving average price of $26.43 and a 200-day moving average price of $27.58. Open Text has a 52-week low of $22.79 and a 52-week high of $34.20. The company has a debt-to-equity ratio of 1.50, a quick ratio of 0.87 and a current ratio of 0.87.

Open Text (NASDAQ:OTEX - Get Free Report) TSE: OTC last issued its earnings results on Wednesday, April 30th. The software maker reported $0.82 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.81 by $0.01. Open Text had a net margin of 12.21% and a return on equity of 23.23%. The business had revenue of $1.25 billion during the quarter, compared to analysts' expectations of $1.28 billion. During the same period in the previous year, the company earned $0.94 earnings per share. The business's revenue for the quarter was down 13.3% compared to the same quarter last year. On average, equities research analysts forecast that Open Text will post 3.45 EPS for the current fiscal year.

Open Text Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, June 20th. Stockholders of record on Friday, June 6th will be given a dividend of $0.2625 per share. This represents a $1.05 annualized dividend and a dividend yield of 3.74%. The ex-dividend date of this dividend is Friday, June 6th. Open Text's payout ratio is currently 42.86%.

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.