Open Text (NASDAQ:OTEX) Price Target Cut to $38.00 by Analysts at TD Securities

Open Text (NASDAQ:OTEX) (TSE:OTC) had its price objective cut by TD Securities from $40.00 to $38.00 in a research note published on Monday,BayStreet.CA reports. They currently have a buy rating on the software maker’s stock.

A number of other equities analysts also recently commented on the stock. Scotiabank reduced their price objective on shares of Open Text from $40.00 to $35.00 and set a “sector perform” rating for the company in a research note on Friday, November 1st. Barclays decreased their price target on Open Text from $36.00 to $34.00 and set an “equal weight” rating for the company in a research note on Friday, November 1st. StockNews.com downgraded Open Text from a “strong-buy” rating to a “buy” rating in a report on Wednesday, December 25th. Citigroup lowered 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. Finally, Royal Bank of Canada downgraded shares of 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 research report on Friday, November 1st. Nine equities research analysts have rated the stock with a hold rating and four have issued a buy rating to the company’s stock. According to MarketBeat.com, the stock currently has an average rating of “Hold” and an average target price of $35.55.

Open Text Stock Performance

OTEX opened at $28.42 on Monday. The company has a debt-to-equity ratio of 1.54, a current ratio of 0.79 and a quick ratio of 0.79. The company has a market capitalization of $7.52 billion, a price-to-earnings ratio of 16.43 and a beta of 1.11. The business’s 50-day moving average price is $29.96 and its two-hundred day moving average price is $31.00. Open Text has a 1 year low of $27.05 and a 1 year high of $45.47.

Open Text (NASDAQ:OTEX) (TSE:OTC) last released its quarterly earnings results on Thursday, October 31st. The software maker reported $0.93 earnings per share for the quarter, topping analysts’ consensus estimates of $0.80 by $0.13. Open Text had a return on equity of 24.34% and a net margin of 8.35%. The firm had revenue of $1.27 billion during the quarter, compared to the consensus estimate of $1.28 billion. During the same quarter in the prior year, the firm posted $0.90 EPS. The business’s revenue was down 11.0% on a year-over-year basis. Equities 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. Investors of record on Friday, November 29th were paid a $0.262 dividend. The ex-dividend date was Friday, November 29th. This is an increase from Open Text’s previous quarterly dividend of $0.19. This represents a $1.05 annualized dividend and a dividend yield of 3.69%. Open Text’s dividend payout ratio is 60.69%.

Institutional Trading of Open Text

A number of institutional investors have recently bought and sold shares of OTEX. JARISLOWSKY FRASER Ltd raised its position in shares of Open Text by 5.1% in the second quarter. JARISLOWSKY FRASER Ltd now owns 15,702,510 shares of the software maker’s stock valued at $471,415,000 after buying an additional 767,822 shares in the last quarter. The Manufacturers Life Insurance Company lifted its position in shares of 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 valued at $187,952,000 after acquiring an additional 63,620 shares during the period. Cooke & Bieler LP grew its holdings in shares of Open Text by 18.6% during the 2nd quarter. Cooke & Bieler LP now owns 5,536,769 shares of the software maker’s stock worth $166,325,000 after purchasing an additional 867,978 shares in the last quarter. National Bank of Canada FI increased its position in shares of Open Text by 1.1% in the third quarter. National Bank of Canada FI now owns 4,068,116 shares of the software maker’s stock worth $135,399,000 after purchasing an additional 46,223 shares during the period. Finally, Letko Brosseau & Associates Inc. raised its stake in Open Text by 16.8% in the second quarter. Letko Brosseau & Associates Inc. now owns 3,929,040 shares of the software maker’s stock valued at $117,956,000 after purchasing an additional 566,150 shares in the last quarter. Institutional investors 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.