Heron Bay Capital Management Raises Holdings in Open Text Co. (NASDAQ:OTEX)

Heron Bay Capital Management raised its holdings in Open Text Co. (NASDAQ:OTEX) (TSE:OTC) by 14.4% during the second quarter, according to its most recent disclosure with the Securities & Exchange Commission. The firm owned 12,251 shares of the software maker’s stock after purchasing an additional 1,545 shares during the quarter. Heron Bay Capital Management’s holdings in Open Text were worth $368,000 as of its most recent SEC filing.

Several other large investors have also modified their holdings of the business. Sei Investments Co. purchased a new stake in Open Text in the 2nd quarter valued at about $4,829,000. Bridges Investment Management Inc. purchased a new stake in shares of Open Text in the 2nd quarter valued at approximately $1,249,000. Intech Investment Management LLC lifted its holdings in shares of Open Text by 227.1% in the 2nd quarter. Intech Investment Management LLC now owns 64,196 shares of the software maker’s stock worth $1,927,000 after acquiring an additional 44,573 shares during the last quarter. Bristol Gate Capital Partners Inc. boosted its position in shares of Open Text by 41.6% during the 2nd quarter. Bristol Gate Capital Partners Inc. now owns 31,398 shares of the software maker’s stock worth $942,000 after purchasing an additional 9,221 shares during the period. Finally, MQS Management LLC acquired a new stake in Open Text in the 2nd quarter valued at approximately $252,000. Institutional investors and hedge funds own 70.37% of the company’s stock.

Open Text Stock Performance

Shares of OTEX stock opened at $32.76 on Friday. The company has a market cap of $8.84 billion, a P/E ratio of 52.84 and a beta of 1.11. The firm has a fifty day moving average price of $31.38 and a 200 day moving average price of $32.57. 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 Co. has a 12 month low of $27.50 and a 12 month high of $45.47.

Open Text (NASDAQ:OTEX) (TSE:OTC) last released its quarterly earnings data on Thursday, August 1st. The software maker reported $0.98 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.93 by $0.05. Open Text had a return on equity of 25.00% and a net margin of 8.06%. The business had revenue of $1.36 billion during the quarter, compared to analysts’ expectations of $1.41 billion. During the same period in the prior year, the firm posted $0.79 EPS. The business’s quarterly revenue was down 8.6% compared to the same quarter last year. Sell-side analysts predict that Open Text Co. will post 3.23 earnings per share for the current fiscal year.

Open Text Cuts Dividend

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

Analyst Upgrades and Downgrades

OTEX has been the topic of a number of research reports. BMO Capital Markets decreased their price target on Open Text from $38.00 to $33.00 and set a “market perform” rating on the stock in a research note on Friday, August 2nd. National Bank Financial cut Open Text from an “outperform” rating to a “sector perform” rating in a report on Friday, August 2nd. Barclays cut their price target on shares of Open Text from $38.00 to $36.00 and set an “equal weight” rating on the stock in a research note on Monday, August 5th. Citigroup lowered their price objective on shares of Open Text from $37.00 to $32.00 and set a “neutral” rating for the company in a research note on Wednesday, June 26th. Finally, CIBC reduced their target price on shares of Open Text from $36.00 to $33.00 and set a “neutral” rating on the stock in a report on Friday, July 19th. Eight equities research analysts have rated the stock with a hold rating and five have issued a buy rating to the stock. According to data from MarketBeat, the company has an average rating of “Hold” and a consensus target price of $38.60.

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.