Analysts Set Open Text Co. (NASDAQ:OTEX) Price Target at $35.90

Open Text Co. (NASDAQ:OTEX) (TSE:OTC) has received a consensus rating of “Hold” from the eleven ratings firms that are covering the company, Marketbeat.com reports. Eight analysts have rated the stock with a hold rating and three have given a buy rating to the company. The average 12-month price objective among brokers that have updated their coverage on the stock in the last year is $35.90.

A number of analysts have recently weighed in on the company. Citigroup dropped their price objective on Open Text from $34.00 to $33.00 and set a “neutral” rating for the company in a research note on Friday, November 1st. Scotiabank dropped their price target on shares of Open Text from $40.00 to $35.00 and set a “sector perform” rating for the company in a research report on Friday, November 1st. Barclays cut their price target on shares of Open Text from $36.00 to $34.00 and set an “equal weight” rating on the stock in a report on Friday, November 1st. Royal Bank of Canada downgraded shares of Open Text from an “outperform” rating to a “sector perform” rating and lowered their price objective for the company from $45.00 to $33.00 in a research note on Friday, November 1st. Finally, TD Securities dropped their target price on shares of Open Text from $40.00 to $38.00 and set a “buy” rating for the company in a report on Friday, November 1st.

Hedge Funds Weigh In On Open Text

A number of institutional investors have recently added to or reduced their stakes in OTEX. Ridgewood Investments LLC bought a new stake in shares of Open Text during the 2nd quarter valued at $30,000. Blue Trust Inc. lifted its position in Open Text by 435.7% during the 3rd quarter. Blue Trust Inc. now owns 975 shares of the software maker’s stock valued at $32,000 after acquiring an additional 793 shares during the period. Kimelman & Baird LLC bought a new stake in Open Text during the second quarter worth about $36,000. Cromwell Holdings LLC grew its holdings in Open Text by 29.6% in the third quarter. Cromwell Holdings LLC now owns 1,663 shares of the software maker’s stock worth $55,000 after purchasing an additional 380 shares during the period. Finally, Essex LLC bought a new position in shares of Open Text during the third quarter valued at approximately $210,000. Institutional investors own 70.37% of the company’s stock.

Open Text Stock Performance

Open Text stock opened at $30.53 on Friday. The firm has a fifty day simple moving average of $31.41 and a two-hundred day simple moving average of $31.02. The company has a quick ratio of 0.79, a current ratio of 0.79 and a debt-to-equity ratio of 1.54. Open Text has a twelve month low of $27.50 and a twelve month high of $45.47. The company has a market capitalization of $8.12 billion, a PE ratio of 17.65 and a beta of 1.11.

Open Text (NASDAQ:OTEX) (TSE:OTC) last released its earnings results on Thursday, October 31st. The software maker reported $0.93 earnings per share for the quarter, beating analysts’ consensus estimates of $0.80 by $0.13. Open Text had a return on equity of 24.34% and a net margin of 8.35%. The company had revenue of $1.27 billion during the quarter, compared to analyst estimates of $1.28 billion. During the same quarter in the previous year, the company posted $0.90 EPS. Open Text’s revenue for the quarter was down 11.0% on a year-over-year basis. Research analysts expect that Open Text will post 3.37 EPS for the current year.

Open Text Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, December 20th. Stockholders of record on Friday, November 29th will be paid a $0.262 dividend. This represents a $1.05 dividend on an annualized basis and a dividend yield of 3.43%. The ex-dividend date of this dividend is Friday, November 29th. This is a boost from Open Text’s previous quarterly dividend of $0.19. Open Text’s dividend payout ratio (DPR) is presently 60.69%.

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.