Scheer Rowlett & Associates Investment Management Ltd. Acquires 2,240 Shares of Open Text Co. (NASDAQ:OTEX)

Scheer Rowlett & Associates Investment Management Ltd. raised its stake in shares of Open Text Co. (NASDAQ:OTEX) (TSE:OTC) by 1.2% during the 3rd quarter, Holdings Channel reports. The fund owned 196,899 shares of the software maker’s stock after purchasing an additional 2,240 shares during the period. Scheer Rowlett & Associates Investment Management Ltd.’s holdings in Open Text were worth $6,554,000 as of its most recent SEC filing.

A number of other hedge funds have also recently made changes to their positions in the stock. Ontario Teachers Pension Plan Board lifted its position in Open Text by 105.8% during the third quarter. Ontario Teachers Pension Plan Board now owns 39,885 shares of the software maker’s stock valued at $1,328,000 after acquiring an additional 20,503 shares during the last quarter. Natixis Advisors LLC purchased a new position in Open Text during the 3rd quarter worth $1,467,000. Oppenheimer Asset Management Inc. acquired a new stake in Open Text in the third quarter worth about $332,000. Saturna Capital Corp grew its stake in shares of Open Text by 9.7% during the third quarter. Saturna Capital Corp now owns 41,440 shares of the software maker’s stock worth $1,379,000 after acquiring an additional 3,650 shares during the last quarter. Finally, Access Investment Management LLC acquired a new position in shares of Open Text during the third quarter valued at about $6,509,000. 70.37% of the stock is currently owned by hedge funds and other institutional investors.

Analyst Ratings Changes

Several research firms recently issued reports on OTEX. Scotiabank cut their target price on Open Text from $40.00 to $35.00 and set a “sector perform” rating on the stock 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. National Bankshares downgraded Open Text from an “outperform” rating to a “sector perform” rating and set a $38.00 price target on the stock. in a research report on Friday, August 2nd. Royal Bank of Canada downgraded 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. Finally, National Bank Financial cut shares of Open Text from an “outperform” rating to a “sector perform” rating in a research note on Friday, August 2nd. Eight analysts have rated the stock with a hold rating and four have given a buy rating to the stock. According to data from MarketBeat.com, the stock has an average rating of “Hold” and a consensus price target of $35.90.

Open Text Price Performance

OTEX stock traded down $0.18 during mid-day trading on Wednesday, reaching $28.38. The company’s stock had a trading volume of 71,005 shares, compared to its average volume of 642,960. The stock has a market cap of $7.55 billion, a PE ratio of 16.51 and a beta of 1.13. The company’s 50 day moving average is $32.07 and its two-hundred day moving average is $31.04. Open Text Co. has a fifty-two week low of $27.50 and a fifty-two week high of $45.47. The company has a current ratio of 0.79, a quick ratio of 0.79 and a debt-to-equity ratio of 1.54.

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

Open Text Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, December 20th. Stockholders of record on Friday, November 29th will be issued a dividend of $0.262 per share. 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. This represents a $1.05 dividend on an annualized basis and a dividend yield of 3.69%. Open Text’s dividend payout ratio is currently 60.69%.

About Open Text

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.