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

Open Text Co. (NASDAQ:OTEX) (TSE:OTC) has received an average recommendation of “Hold” from the eleven ratings firms that are currently covering the company, Marketbeat.com reports. Eight research analysts have rated the stock with a hold rating and three have issued a buy rating on the company. The average twelve-month target price among brokers that have covered the stock in the last year is $35.90.

OTEX has been the topic of several recent research reports. Barclays lowered 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 research report on Friday, November 1st. Citigroup decreased their target price on shares of Open Text from $34.00 to $33.00 and set a “neutral” rating on the stock in a report on Friday, November 1st. Scotiabank cut 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 report on Friday, November 1st. Royal Bank of Canada cut Open Text from an “outperform” rating to a “sector perform” rating and decreased their price objective for the company from $45.00 to $33.00 in a report on Friday, November 1st. Finally, BMO Capital Markets cut their target price on Open Text from $33.00 to $32.00 and set a “market perform” rating for the company in a research note on Friday, November 1st.

Open Text Trading Down 1.2 %

OTEX opened at $29.52 on Friday. The firm has a market capitalization of $7.85 billion, a price-to-earnings ratio of 17.06 and a beta of 1.11. The company’s 50 day simple moving average is $31.25 and its two-hundred day simple moving average is $31.01. Open Text has a 1-year low of $27.50 and a 1-year high of $45.47. The company has a debt-to-equity ratio of 1.54, a current ratio of 0.79 and a quick ratio of 0.79.

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

Open Text Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, December 20th. Investors of record on Friday, November 29th will be paid a dividend of $0.262 per share. This is a positive change from Open Text’s previous quarterly dividend of $0.19. The ex-dividend date is Friday, November 29th. This represents a $1.05 annualized dividend and a yield of 3.55%. Open Text’s dividend payout ratio is presently 60.69%.

Hedge Funds Weigh In On Open Text

Institutional investors have recently bought and sold shares of the company. AustralianSuper Pty Ltd purchased a new position in shares of Open Text in the third quarter valued at approximately $8,011,000. The Manufacturers Life Insurance Company lifted its holdings in Open Text by 1.1% during the 3rd quarter. The Manufacturers Life Insurance Company now owns 5,642,455 shares of the software maker’s stock worth $187,952,000 after buying an additional 63,620 shares in the last quarter. Natixis Advisors LLC purchased a new position in Open Text in the 3rd quarter valued at approximately $1,467,000. BRITISH COLUMBIA INVESTMENT MANAGEMENT Corp grew its stake in shares of Open Text by 126.1% in the third quarter. BRITISH COLUMBIA INVESTMENT MANAGEMENT Corp now owns 86,260 shares of the software maker’s stock worth $2,871,000 after acquiring an additional 48,111 shares in the last quarter. Finally, Access Investment Management LLC purchased a new stake in shares of Open Text during the third quarter worth $6,509,000. 70.37% of the stock is owned by institutional investors and hedge funds.

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.