Open Text (NASDAQ:OTEX) Shares Down 4.9% - Here's What Happened

Open Text Corporation (NASDAQ:OTEX - Get Free Report) TSE: OTC's share price was down 4.9% during mid-day trading on Wednesday . The company traded as low as $28.96 and last traded at $28.70. Approximately 574,992 shares changed hands during trading, a decline of 39% from the average daily volume of 945,294 shares. The stock had previously closed at $30.19.

Analysts Set New Price Targets

A number of equities research analysts recently issued reports on OTEX shares. Royal Bank Of Canada decreased their price target 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. Wall Street Zen raised shares of Open Text from a "hold" rating to a "buy" rating in a research note on Tuesday, May 13th. National Bankshares reduced their price objective on Open Text from $38.00 to $34.00 and set a "sector perform" rating on the stock in a research note on Friday, April 25th. CIBC reduced their price objective on Open Text from $33.00 to $31.00 and set a "neutral" rating on the stock in a research note on Friday, May 2nd. Finally, Scotiabank reduced their price objective on Open Text from $35.00 to $30.00 and set a "sector perform" rating on the stock in a research note on Monday, April 28th. One equities research analyst has rated the stock with a sell rating, eight have issued a hold rating and three have assigned a buy rating to the stock. Based on data from MarketBeat, Open Text currently has an average rating of "Hold" and a consensus target price of $32.30.

Open Text Trading Down 0.0%

The company has a quick ratio of 0.86, a current ratio of 0.86 and a debt-to-equity ratio of 1.54. The company's 50 day simple moving average is $28.27 and its 200-day simple moving average is $27.44. The firm has a market cap of $7.40 billion, a P/E ratio of 11.78 and a beta of 1.13.

Open Text (NASDAQ:OTEX - Get Free Report) TSE: OTC last released 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 business had revenue of $1.25 billion for the quarter, compared to analyst estimates of $1.28 billion. During the same quarter last year, the firm posted $0.94 earnings per share. The business's revenue was down 13.3% compared to the same quarter last year. As a group, research analysts predict that Open Text Corporation will post 3.45 earnings per share for the current fiscal year.

Open Text Dividend Announcement

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

Hedge Funds Weigh In On Open Text

A number of hedge funds have recently added to or reduced their stakes in OTEX. Vident Advisory LLC lifted its holdings in shares of Open Text by 6.6% during the 1st quarter. Vident Advisory LLC now owns 11,681 shares of the software maker's stock valued at $295,000 after purchasing an additional 722 shares during the last quarter. Zurcher Kantonalbank Zurich Cantonalbank increased its holdings in shares of 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 acquiring an additional 947 shares in the last quarter. Versant Capital Management Inc acquired a new position in shares of Open Text during the first quarter valued at about $26,000. Parallel Advisors LLC increased its holdings in shares of 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 acquiring an additional 1,331 shares in the last quarter. Finally, Farther Finance Advisors LLC grew its holdings in shares of Open Text by 15.4% during the fourth quarter. Farther Finance Advisors LLC now owns 10,041 shares of the software maker's stock valued at $284,000 after buying 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.