Bristol Gate Capital Partners Inc. Acquires 9,221 Shares of Open Text Co. (NASDAQ:OTEX)

Bristol Gate Capital Partners Inc. grew its holdings in Open Text Co. (NASDAQ:OTEX) (TSE:OTC) by 41.6% in the 2nd quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor owned 31,398 shares of the software maker’s stock after acquiring an additional 9,221 shares during the quarter. Open Text accounts for about 0.0% of Bristol Gate Capital Partners Inc.’s investment portfolio, making the stock its 28th largest holding. Bristol Gate Capital Partners Inc.’s holdings in Open Text were worth $942,000 at the end of the most recent quarter.

A number of other hedge funds also recently modified their holdings of OTEX. Norges Bank bought a new stake in Open Text during the 4th quarter worth approximately $139,600,000. FIL Ltd boosted its holdings in shares of Open Text by 25.7% in the fourth quarter. FIL Ltd now owns 9,058,024 shares of the software maker’s stock valued at $380,696,000 after buying an additional 1,853,891 shares during the period. Cooke & Bieler LP increased its position in shares of Open Text by 18.6% during the second quarter. Cooke & Bieler LP now owns 5,536,769 shares of the software maker’s stock worth $166,325,000 after acquiring an additional 867,978 shares in the last quarter. The Manufacturers Life Insurance Company raised its holdings in shares of Open Text by 73.6% during the fourth quarter. The Manufacturers Life Insurance Company now owns 1,852,184 shares of the software maker’s stock worth $77,970,000 after acquiring an additional 785,157 shares during the period. Finally, JARISLOWSKY FRASER Ltd lifted its position in Open Text by 5.1% in the 2nd quarter. JARISLOWSKY FRASER Ltd now owns 15,702,510 shares of the software maker’s stock valued at $471,415,000 after acquiring an additional 767,822 shares in the last quarter. Institutional investors and hedge funds own 70.37% of the company’s stock.

Analyst Ratings Changes

A number of research firms have issued reports on OTEX. Barclays lowered their target price on Open Text from $38.00 to $36.00 and set an “equal weight” rating for the company in a report on Monday, August 5th. BMO Capital Markets decreased their price objective on Open Text from $38.00 to $33.00 and set a “market perform” rating for the company in a report on Friday, August 2nd. CIBC dropped 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. National Bank Financial downgraded Open Text from an “outperform” rating to a “sector perform” rating in a research report on Friday, August 2nd. Finally, 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 report on Friday, August 2nd. Eight equities research analysts have rated the stock with a hold rating and five have issued a buy rating to the company. According to MarketBeat.com, the stock presently has a consensus rating of “Hold” and an average price target of $38.60.

Open Text Trading Up 3.1 %

NASDAQ OTEX opened at $32.80 on Friday. The company has a market cap of $8.80 billion, a PE ratio of 52.90 and a beta of 1.11. Open Text Co. has a 12 month low of $27.50 and a 12 month high of $45.47. The stock has a 50 day moving average of $31.36 and a 200-day moving average of $32.65. The company has a current ratio of 0.81, a quick ratio of 0.81 and a debt-to-equity ratio of 1.51.

Open Text (NASDAQ:OTEX) (TSE:OTC) last announced its quarterly earnings results on Thursday, August 1st. The software maker reported $0.98 EPS for the quarter, beating analysts’ consensus estimates of $0.93 by $0.05. The firm had revenue of $1.36 billion during the quarter, compared to analysts’ expectations of $1.41 billion. Open Text had a net margin of 8.06% and a return on equity of 25.00%. The company’s revenue for the quarter was down 8.6% compared to the same quarter last year. During the same quarter last year, the company posted $0.79 earnings per share. On average, equities research analysts anticipate that Open Text Co. will post 3.23 EPS for the current fiscal year.

Open Text Cuts Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, September 20th. Investors of record on Friday, August 30th will be issued a dividend of $0.192 per share. This represents a $0.77 dividend on an annualized basis and a yield of 2.34%. The ex-dividend date is Friday, August 30th. Open Text’s payout ratio is currently 169.35%.

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.