Open Text Co. (NASDAQ:OTEX) Receives $35.90 Average Price Target from Brokerages

Open Text Co. (NASDAQ:OTEX - Get Free Report) TSE: OTC has been assigned an average recommendation of "Hold" from the eleven research firms that are currently covering the company, MarketBeat.com reports. Eight equities research analysts have rated the stock with a hold rating and three have assigned 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 equities analysts have commented on OTEX shares. Citigroup cut their price objective on shares of Open Text from $34.00 to $33.00 and set a "neutral" rating for the company in a research report on Friday, November 1st. National Bankshares downgraded shares of Open Text from an "outperform" rating to a "sector perform" rating and set a $38.00 price objective on the stock. in a research note on Friday, August 2nd. Royal Bank of Canada lowered Open Text from an "outperform" rating to a "sector perform" rating and decreased their price target for the stock from $45.00 to $33.00 in a research note on Friday, November 1st. CIBC cut their target price on Open Text from $36.00 to $33.00 and set a "neutral" rating on the stock in a research report on Friday, July 19th. Finally, Jefferies Financial Group decreased their target price on Open Text from $42.00 to $35.00 and set a "buy" rating for the company in a report on Friday, August 2nd.

Open Text Stock Performance

Shares of OTEX stock traded up $0.39 during mid-day trading on Tuesday, hitting $30.12. 360,699 shares of the stock were exchanged, compared to its average volume of 638,767. The stock has a market capitalization of $8.01 billion, a price-to-earnings ratio of 17.51 and a beta of 1.13. Open Text has a 12-month low of $27.50 and a 12-month high of $45.47. The stock's fifty day simple moving average is $32.38 and its two-hundred day simple moving average is $31.27. The company has a debt-to-equity ratio of 1.54, a quick ratio of 0.79 and a current ratio of 0.79.

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

Open Text Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Friday, December 20th. Stockholders of record on Friday, November 29th will be given a dividend of $0.262 per share. The ex-dividend date is Friday, November 29th. This represents a $1.05 dividend on an annualized basis and a dividend yield of 3.48%. This is an increase from Open Text's previous quarterly dividend of $0.19. Open Text's dividend payout ratio (DPR) is presently 60.69%.

Institutional Investors Weigh In On Open Text

A number of institutional investors have recently modified their holdings of OTEX. AustralianSuper Pty Ltd acquired a new stake in Open Text during the third quarter valued at approximately $8,011,000. Vanguard Group Inc. raised its position in shares of Open Text by 1.3% during the 1st quarter. Vanguard Group Inc. now owns 10,344,910 shares of the software maker's stock valued at $401,693,000 after acquiring an additional 135,812 shares in the last quarter. Forge First Asset Management Inc. bought a new position in Open Text during the first quarter worth $2,305,000. Value Partners Investments Inc. boosted its holdings in Open Text by 2.2% in the third quarter. Value Partners Investments Inc. now owns 2,342,166 shares of the software maker's stock worth $77,947,000 after purchasing an additional 50,348 shares during the period. Finally, Clearbridge Investments LLC increased its stake in Open Text by 6.9% during the second quarter. Clearbridge Investments LLC now owns 2,954,755 shares of the software maker's stock valued at $88,754,000 after purchasing an additional 191,271 shares during the last quarter. 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.