Open Text Corporation (NASDAQ:OTEX) Given Average Recommendation of "Hold" by Brokerages

Open Text Corporation (NASDAQ:OTEX - Get Free Report) TSE: OTC has received a consensus rating of "Hold" from the eleven analysts that are currently covering the stock, Marketbeat Ratings reports. One investment analyst has rated the stock with a sell rating, eight have issued a hold rating and two have issued a buy rating on the company. The average 1 year price objective among brokerages that have issued ratings on the stock in the last year is $32.30.

Several equities research analysts have commented on OTEX shares. UBS Group cut their price objective on Open Text from $32.00 to $28.00 and set a "neutral" rating for the company in a research note on Friday, May 2nd. Citigroup boosted their price objective on Open Text from $29.00 to $43.00 and gave the stock a "negative" rating in a research note on Friday, May 2nd. Barclays cut their price objective 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. Jefferies Financial Group reiterated a "buy" rating on shares of Open Text in a research note on Wednesday, July 9th. Finally, CIBC cut their price objective on Open Text from $33.00 to $31.00 and set a "neutral" rating for the company in a research note on Friday, May 2nd.

Hedge Funds Weigh In On Open Text

Large investors have recently bought and sold shares of the business. Norges Bank purchased a new position in shares of Open Text during the fourth quarter worth about $93,216,000. Arrowstreet Capital Limited Partnership grew its holdings in shares of Open Text by 75.9% during the fourth quarter. Arrowstreet Capital Limited Partnership now owns 5,994,675 shares of the software maker's stock worth $169,555,000 after purchasing an additional 2,586,549 shares during the last quarter. Value Partners Investments Inc. grew its holdings in shares of Open Text by 1,162.1% during the first quarter. Value Partners Investments Inc. now owns 2,333,539 shares of the software maker's stock worth $58,955,000 after buying an additional 2,148,639 shares during the last quarter. JARISLOWSKY FRASER Ltd grew its holdings in shares of Open Text by 11.8% during the fourth quarter. JARISLOWSKY FRASER Ltd now owns 18,547,256 shares of the software maker's stock worth $522,879,000 after buying an additional 1,957,695 shares during the last quarter. Finally, Criteria Caixa S.A.U. purchased a new position in shares of Open Text during the fourth quarter worth about $32,890,000. Hedge funds and other institutional investors own 70.37% of the company's stock.

Open Text Stock Up 1.2%

Shares of OTEX stock traded up $0.35 during mid-day trading on Friday, hitting $30.22. The stock had a trading volume of 1,560,484 shares, compared to its average volume of 969,807. Open Text has a 12-month low of $22.79 and a 12-month high of $34.20. The company has a debt-to-equity ratio of 1.54, a current ratio of 0.86 and a quick ratio of 0.86. The firm's 50-day moving average is $28.61 and its two-hundred day moving average is $27.48. The firm has a market capitalization of $7.75 billion, a P/E ratio of 12.33 and a beta of 1.13.

Open Text (NASDAQ:OTEX - Get Free Report) TSE: OTC last announced its quarterly earnings results on Wednesday, April 30th. The software maker reported $0.82 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.81 by $0.01. The business had revenue of $1.25 billion for the quarter, compared to the consensus estimate of $1.28 billion. Open Text had a return on equity of 22.49% and a net margin of 12.55%. The business's revenue was down 13.3% compared to the same quarter last year. During the same period last year, the business posted $0.94 EPS. On average, analysts predict that Open Text will post 3.45 earnings per share for the current fiscal year.

Open Text Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Friday, June 20th. Stockholders of record on Friday, June 6th were paid a $0.2625 dividend. This represents a $1.05 annualized dividend and a dividend yield of 3.47%. The ex-dividend date was 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.