Open Text Co. (NASDAQ:OTEX) Given Consensus Recommendation of “Hold” by Analysts

Shares of Open Text Co. (NASDAQ:OTEX) (TSE:OTC) have received a consensus recommendation of “Hold” from the twelve analysts that are currently covering the firm, Marketbeat.com reports. Nine investment analysts have rated the stock with a hold recommendation and three have assigned a buy recommendation to the company. The average twelve-month target price among analysts that have covered the stock in the last year is $35.27.

Several analysts have weighed in on the stock. UBS Group assumed coverage on shares of Open Text in a research note on Tuesday, December 17th. They set a “neutral” rating and a $32.00 target price for the company. BMO Capital Markets cut their price objective on Open Text from $33.00 to $32.00 and set a “market perform” rating for the company in a report on Friday, November 1st. Barclays decreased their price target on Open Text from $36.00 to $34.00 and set an “equal weight” rating for the company in a research report on Friday, November 1st. Scotiabank reduced their price objective on Open Text from $40.00 to $35.00 and set a “sector perform” rating for the company in a research note on Friday, November 1st. Finally, StockNews.com raised Open Text from a “buy” rating to a “strong-buy” rating in a research note on Sunday, January 19th.

Open Text Price Performance

OTEX opened at $28.84 on Friday. Open Text has a 52-week low of $26.84 and a 52-week high of $45.47. The company has a 50 day moving average of $28.91 and a two-hundred day moving average of $30.75. The company has a market cap of $7.61 billion, a P/E ratio of 16.67 and a beta of 1.12. 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 (NASDAQ:OTEX) (TSE:OTC) last issued its quarterly earnings data on Thursday, October 31st. The software maker reported $0.93 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.80 by $0.13. The company had revenue of $1.27 billion during the quarter, compared to the consensus estimate of $1.28 billion. Open Text had a net margin of 8.35% and a return on equity of 24.34%. Open Text’s revenue for the quarter was down 11.0% on a year-over-year basis. During the same quarter last year, the company earned $0.90 earnings per share. On average, analysts expect that Open Text will post 3.37 earnings per share for the current year.

Open Text Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Friday, December 20th. Investors of record on Friday, November 29th were paid a $0.262 dividend. The ex-dividend date of this dividend was Friday, November 29th. This represents a $1.05 dividend on an annualized basis and a yield of 3.63%. This is a positive change from Open Text’s previous quarterly dividend of $0.19. Open Text’s dividend payout ratio is 60.69%.

Institutional Trading of Open Text

Large investors have recently made changes to their positions in the company. Blue Trust Inc. increased its position in shares of Open Text by 435.7% during the third quarter. Blue Trust Inc. now owns 975 shares of the software maker’s stock worth $32,000 after buying an additional 793 shares during the period. Kimelman & Baird LLC bought a new stake in Open Text during the 2nd quarter worth approximately $36,000. Cromwell Holdings LLC boosted its holdings in Open Text by 29.6% during 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 last quarter. Essex LLC purchased a new stake in shares of Open Text during the 3rd quarter valued at $210,000. Finally, Net Worth Advisory Group bought a new stake in shares of Open Text in the 3rd quarter worth approximately $226,000. Institutional investors and hedge funds 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.