Open Text Corporation (NASDAQ:OTEX) Receives Average Recommendation of "Hold" from Brokerages

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

Several equities analysts have commented on the company. Barclays lowered their price objective on Open Text from $36.00 to $29.00 and set an "equal weight" rating for the company in a research report on Monday, April 21st. Royal Bank Of Canada dropped their price objective on shares of Open Text from $31.00 to $30.00 and set a "sector perform" rating on the stock in a research note on Tuesday, April 22nd. BMO Capital Markets cut their price objective on shares of Open Text from $30.00 to $28.00 and set a "market perform" rating on the stock in a report on Friday, May 2nd. Scotiabank lowered their target price on shares of Open Text from $35.00 to $30.00 and set a "sector perform" rating for the company in a report on Monday, April 28th. Finally, National Bankshares dropped their price target on Open Text from $38.00 to $34.00 and set a "sector perform" rating on the stock in a research report on Friday, April 25th.

Open Text Price Performance

Shares of NASDAQ OTEX opened at $28.65 on Wednesday. Open Text has a 1 year low of $22.79 and a 1 year high of $34.20. The stock has a market capitalization of $7.35 billion, a P/E ratio of 11.69 and a beta of 1.13. The company's 50-day moving average is $27.57 and its 200 day moving average is $27.41. The company has a debt-to-equity ratio of 1.54, a current ratio of 0.86 and a quick ratio of 0.86.

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

Open Text Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Friday, June 20th. Shareholders of record on Friday, June 6th were paid a dividend of $0.2625 per share. The ex-dividend date was Friday, June 6th. This represents a $1.05 annualized dividend and a yield of 3.66%. Open Text's dividend payout ratio is 42.86%.

Hedge Funds Weigh In On Open Text

A number of hedge funds have recently bought and sold shares of OTEX. JARISLOWSKY FRASER Ltd lifted its holdings in shares of Open Text by 11.8% during the 4th quarter. JARISLOWSKY FRASER Ltd now owns 18,547,256 shares of the software maker's stock valued at $522,879,000 after buying an additional 1,957,695 shares during the period. Vanguard Group Inc. increased its position in Open Text by 6.1% during the first quarter. Vanguard Group Inc. now owns 11,151,279 shares of the software maker's stock valued at $281,447,000 after acquiring an additional 639,514 shares during the last quarter. First Trust Advisors LP lifted its holdings in Open Text by 9.5% in the fourth quarter. First Trust Advisors LP now owns 7,275,908 shares of the software maker's stock valued at $205,925,000 after acquiring an additional 632,437 shares during the period. Cooke & Bieler LP boosted its position in Open Text by 6.6% in the fourth quarter. Cooke & Bieler LP now owns 6,308,967 shares of the software maker's stock worth $178,670,000 after purchasing an additional 389,220 shares during the last quarter. Finally, Arrowstreet Capital Limited Partnership boosted its position in Open Text by 75.9% in 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. Hedge funds and other institutional investors own 70.37% of the company's stock.

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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