Open Text (NASDAQ:OTEX) Stock Price Down 4.9% - What's Next?

Open Text Corporation (NASDAQ:OTEX - Get Free Report) TSE: OTC fell 4.9% on Wednesday . The stock traded as low as $28.96 and last traded at $28.70. 574,992 shares were traded during trading, a decline of 39% from the average session volume of 945,294 shares. The stock had previously closed at $30.19.

Analyst Upgrades and Downgrades

Several research analysts recently commented on OTEX shares. BMO Capital Markets cut their price target 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. National Bankshares lowered their price target on Open Text from $38.00 to $34.00 and set a "sector perform" rating for the company in a report on Friday, April 25th. CIBC reduced their price objective on Open Text from $33.00 to $31.00 and set a "neutral" rating for the company in a research report on Friday, May 2nd. Barclays cut their target price on Open Text from $36.00 to $29.00 and set an "equal weight" rating on the stock in a research note on Monday, April 21st. Finally, Citigroup boosted their target price on Open Text from $29.00 to $43.00 and gave the stock a "negative" rating in a research report on Friday, May 2nd. One equities research analyst has rated the stock with a sell rating, eight have assigned a hold rating and three have given a buy rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of "Hold" and a consensus price target of $32.30.

Open Text Price Performance

The company has a debt-to-equity ratio of 1.54, a quick ratio of 0.86 and a current ratio of 0.86. The company has a 50-day moving average price of $28.24 and a 200-day moving average price of $27.43. The company has a market capitalization of $7.39 billion, a price-to-earnings ratio of 11.76 and a beta of 1.13.

Open Text (NASDAQ:OTEX - Get Free Report) TSE: OTC last issued its quarterly earnings results on Wednesday, April 30th. The software maker reported $0.82 EPS 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 company had revenue of $1.25 billion for the quarter, compared to analysts' expectations of $1.28 billion. During the same quarter last year, the business earned $0.94 earnings per share. Open Text's revenue was down 13.3% on a year-over-year basis. On average, equities research analysts expect that Open Text Corporation will post 3.45 EPS for the current fiscal year.

Open Text Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, June 20th. Shareholders of record on Friday, June 6th were issued a $0.2625 dividend. The ex-dividend date was Friday, June 6th. This represents a $1.05 annualized dividend and a dividend yield of 3.64%. Open Text's payout ratio is currently 42.86%.

Hedge Funds Weigh In On Open Text

Several institutional investors and hedge funds have recently bought and sold shares of the stock. Vident Advisory LLC increased its holdings in shares of Open Text by 6.6% in the 1st quarter. Vident Advisory LLC now owns 11,681 shares of the software maker's stock worth $295,000 after purchasing an additional 722 shares in the last quarter. Zurcher Kantonalbank Zurich Cantonalbank raised its position in Open Text by 1.5% during the fourth quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 65,637 shares of the software maker's stock valued at $1,857,000 after purchasing an additional 947 shares during the period. Versant Capital Management Inc bought a new position in shares of Open Text during the first quarter valued at approximately $26,000. Parallel Advisors LLC grew its stake in Open Text by 219.3% in the first quarter. Parallel Advisors LLC now owns 1,938 shares of the software maker's stock worth $49,000 after purchasing an additional 1,331 shares in the last quarter. Finally, Farther Finance Advisors LLC lifted its holdings in shares of Open Text by 15.4% during the 4th quarter. Farther Finance Advisors LLC now owns 10,041 shares of the software maker's stock valued at $284,000 after purchasing an additional 1,340 shares during the last quarter. 70.37% of the stock is currently owned by institutional investors.

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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