Open Text Co. (NASDAQ:OTEX) Declares Quarterly Dividend of $0.26

Open Text Co. (NASDAQ:OTEX) (TSE:OTC) declared a quarterly dividend on Friday, February 7th,Wall Street Journal reports. Shareholders of record on Friday, March 7th will be paid a dividend of 0.2625 per share by the software maker on Friday, March 21st. This represents a $1.05 dividend on an annualized basis and a yield of 3.77%. The ex-dividend date of this dividend is Friday, March 7th. This is a positive change from Open Text’s previous quarterly dividend of $0.26.

Open Text has raised its dividend by an average of 6.7% annually over the last three years. Open Text has a payout ratio of 25.2% indicating that its dividend is sufficiently covered by earnings. Analysts expect Open Text to earn $3.74 per share next year, which means the company should continue to be able to cover its $1.05 annual dividend with an expected future payout ratio of 28.1%.

Open Text Stock Performance

NASDAQ:OTEX opened at $27.86 on Friday. The company has a debt-to-equity ratio of 1.54, a quick ratio of 0.79 and a current ratio of 0.79. Open Text has a fifty-two week low of $26.84 and a fifty-two week high of $42.17. The business has a 50 day moving average price of $28.90 and a 200-day moving average price of $30.64. The firm has a market cap of $7.35 billion, a PE ratio of 11.33 and a beta of 1.12.

Open Text (NASDAQ:OTEX) (TSE:OTC) last announced its quarterly earnings results on Thursday, February 6th. The software maker reported $1.02 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.92 by $0.10. Open Text had a net margin of 12.21% and a return on equity of 23.33%. Equities research analysts predict that Open Text will post 3.37 earnings per share for the current year.

Analyst Ratings Changes

OTEX has been the topic of a number of research analyst reports. Barclays boosted their price target on Open Text from $34.00 to $36.00 and gave the company an “equal weight” rating in a report on Friday. Citigroup upped their target price on Open Text from $30.00 to $32.00 and gave the company a “neutral” rating in a report on Friday. UBS Group began coverage on shares of Open Text in a report on Tuesday, December 17th. They issued a “neutral” rating and a $32.00 price target on the stock. StockNews.com lowered shares of Open Text from a “strong-buy” rating to a “buy” rating in a report on Monday, January 27th. Finally, Scotiabank cut their target price on shares of Open Text from $40.00 to $35.00 and set a “sector perform” rating on the stock in a research note on Friday, November 1st. Nine research analysts have rated the stock with a hold rating and four have given a buy rating to the company’s stock. According to data from MarketBeat, the company presently has an average rating of “Hold” and an average price target of $35.45.

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.