Open Text (TSE:OTEX) Reaches New 1-Year High - Should You Buy?

Key Points

• Open Text (TSE:OTEX) reached a new 52-week high at C$52.52, closing at C$52.20 amid a trading volume of 1,282,601 shares.
• The company reported a quarterly EPS of C$0.97, exceeding the consensus estimate of C$0.83, with a net margin of 12.21% and a return on equity of 15.83%.
• Open Text announced an increase in its quarterly dividend to $0.275 per share, up from $0.17, representing a dividend yield of 2.1%.

Open Text Co. (TSE:OTEX - Get Free Report) NASDAQ: OTEX hit a new 52-week high during mid-day trading on Monday . The company traded as high as C$52.52 and last traded at C$52.20, with a volume of 1282601 shares. The stock had previously closed at C$49.41.

Open Text Price Performance

The company has a current ratio of 0.87, a quick ratio of 1.34 and a debt-to-equity ratio of 157.46. The company's fifty day moving average is C$42.82 and its two-hundred day moving average is C$39.45. The stock has a market cap of C$13.19 billion, a price-to-earnings ratio of 31.44, a P/E/G ratio of 1.35 and a beta of 0.87.

Open Text (TSE:OTEX - Get Free Report) NASDAQ: OTEX last issued its quarterly earnings results on Thursday, August 7th. The company reported C$0.97 EPS for the quarter, beating the consensus estimate of C$0.83 by C$0.14. Open Text had a net margin of 12.21% and a return on equity of 15.83%. During the same period in the previous year, the firm posted $0.98 earnings per share. As a group, research analysts predict that Open Text Co. will post 4.9036649 earnings per share for the current year.

Open Text Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, September 19th. Stockholders of record on Friday, September 5th will be given a dividend of $0.275 per share. This is a boost from Open Text's previous quarterly dividend of $0.17. This represents a $1.10 annualized dividend and a dividend yield of 2.1%. Open Text's payout ratio is 63.64%.

Open Text Company Profile

Open Text Corp grew out of a technology project involving the Oxford English Dictionary at Canada's University of Waterloo in the mid-1980s. Its software allows clients to archive, aggregate, retrieve, and search unstructured information (such as documents, e-mail, presentations). The company is based in Ontario, Canada.

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