StockNews.com upgraded shares of Open Text (NASDAQ:OTEX – Free Report) (TSE:OTC) from a buy rating to a strong-buy rating in a research note issued to investors on Sunday morning.
Several other research firms have also recently issued reports on OTEX. Royal Bank of Canada cut Open Text from an “outperform” rating to a “sector perform” rating and decreased their price target for the company from $45.00 to $33.00 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 on the stock in a report on Friday, November 1st. UBS Group assumed coverage on Open Text in a report on Tuesday, December 17th. They issued a “neutral” rating and a $32.00 price target on the stock. BMO Capital Markets decreased their price target on Open Text from $33.00 to $32.00 and set a “market perform” rating on the stock in a report on Friday, November 1st. Finally, Citigroup cut their target price on Open Text from $33.00 to $30.00 and set a “neutral” rating on the stock in a research note on Thursday, January 16th. Nine research analysts have rated the stock with a hold rating, three have assigned a buy rating and one has assigned a strong buy rating to the stock. Based on data from MarketBeat.com, the company has a consensus rating of “Hold” and a consensus target price of $35.27.
View Our Latest Stock Analysis on OTEX
Open Text Price Performance
Open Text (NASDAQ:OTEX – Get Free Report) (TSE:OTC) last announced its earnings results on Thursday, October 31st. The software maker reported $0.93 EPS for the quarter, topping the consensus estimate of $0.80 by $0.13. The company had revenue of $1.27 billion for the quarter, compared to analysts’ expectations of $1.28 billion. Open Text had a return on equity of 24.34% and a net margin of 8.35%. The business’s revenue for the quarter was down 11.0% on a year-over-year basis. During the same quarter in the prior year, the business earned $0.90 earnings per share. Equities research analysts expect that Open Text will post 3.37 EPS for the current fiscal year.
Open Text Increases Dividend
The firm also recently declared a quarterly dividend, which was paid on Friday, December 20th. Stockholders of record on Friday, November 29th were given a dividend of $0.262 per share. The ex-dividend date of this dividend was Friday, November 29th. This represents a $1.05 dividend on an annualized basis and a dividend yield of 3.70%. This is a positive change from Open Text’s previous quarterly dividend of $0.19. Open Text’s dividend payout ratio (DPR) is currently 60.69%.
Institutional Investors Weigh In On Open Text
A number of hedge funds have recently modified their holdings of the business. DGS Capital Management LLC raised its position in shares of Open Text by 2.0% during the fourth quarter. DGS Capital Management LLC now owns 26,477 shares of the software maker’s stock worth $750,000 after purchasing an additional 530 shares during the period. Avior Wealth Management LLC raised its position in shares of Open Text by 11.5% during the fourth quarter. Avior Wealth Management LLC now owns 44,662 shares of the software maker’s stock worth $1,265,000 after purchasing an additional 4,600 shares during the period. Canoe Financial LP raised its position in shares of Open Text by 127.3% during the fourth quarter. Canoe Financial LP now owns 150,000 shares of the software maker’s stock worth $4,242,000 after purchasing an additional 84,000 shares during the period. Wedge Capital Management L L P NC acquired a new stake in shares of Open Text during the fourth quarter worth about $2,372,000. Finally, Assenagon Asset Management S.A. raised its position in shares of Open Text by 5.6% during the fourth quarter. Assenagon Asset Management S.A. now owns 19,921 shares of the software maker’s stock worth $563,000 after purchasing an additional 1,049 shares during the period. 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.
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