New South Capital Management Inc. Has $69.17 Million Stake in Open Text Co. (NASDAQ:OTEX)

New South Capital Management Inc. trimmed its position in Open Text Co. (NASDAQ:OTEX) (TSE:OTC) by 4.0% in the fourth quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor owned 2,442,450 shares of the software maker’s stock after selling 100,634 shares during the period. Open Text makes up approximately 2.9% of New South Capital Management Inc.’s portfolio, making the stock its 8th biggest position. New South Capital Management Inc. owned approximately 0.93% of Open Text worth $69,170,000 at the end of the most recent reporting period.

A number of other hedge funds and other institutional investors have also added to or reduced their stakes in OTEX. Toronto Dominion Bank increased its position in Open Text by 169.6% in the 3rd quarter. Toronto Dominion Bank now owns 576,105 shares of the software maker’s stock valued at $19,173,000 after buying an additional 362,422 shares in the last quarter. Crossmark Global Holdings Inc. increased its position in Open Text by 1,290.4% in the 3rd quarter. Crossmark Global Holdings Inc. now owns 336,790 shares of the software maker’s stock valued at $11,209,000 after buying an additional 312,567 shares in the last quarter. Access Investment Management LLC bought a new stake in Open Text in the 3rd quarter valued at about $6,509,000. Livforsakringsbolaget Skandia Omsesidigt bought a new stake in Open Text during the 4th quarter worth approximately $2,810,000. Finally, PDT Partners LLC bought a new stake in Open Text during the 3rd quarter worth approximately $3,252,000. 70.37% of the stock is owned by institutional investors.

Open Text Price Performance

Open Text stock opened at $26.01 on Thursday. Open Text Co. has a 12 month low of $25.07 and a 12 month high of $40.55. The company has a current ratio of 0.87, a quick ratio of 0.87 and a debt-to-equity ratio of 1.50. The business’s 50 day simple moving average is $28.05 and its 200 day simple moving average is $30.21. The company has a market cap of $6.87 billion, a price-to-earnings ratio of 10.57 and a beta of 1.12.

Open Text (NASDAQ:OTEX) (TSE:OTC) last posted its quarterly earnings data on Thursday, February 6th. The software maker reported $1.02 EPS for the quarter, beating the consensus estimate of $0.92 by $0.10. Open Text had a return on equity of 23.23% and a net margin of 12.21%. Sell-side analysts forecast that Open Text Co. will post 3.45 EPS for the current year.

Open Text Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, March 21st. Shareholders of record on Friday, March 7th will be issued a dividend of $0.2625 per share. This is a boost from Open Text’s previous quarterly dividend of $0.26. The ex-dividend date of this dividend is Friday, March 7th. This represents a $1.05 dividend on an annualized basis and a yield of 4.04%. Open Text’s payout ratio is presently 42.68%.

Analysts Set New Price Targets

OTEX has been the subject of a number of recent research reports. TD Securities decreased their price objective on Open Text from $38.00 to $35.00 and set a “buy” rating for the company in a report on Sunday, February 9th. Barclays boosted their price objective on Open Text from $34.00 to $36.00 and gave the stock an “equal weight” rating in a report on Friday, February 7th. Royal Bank of Canada decreased their price objective on Open Text from $33.00 to $31.00 and set a “sector perform” rating for the company in a report on Friday, February 7th. StockNews.com lowered Open Text from a “strong-buy” rating to a “buy” rating in a report on Monday, January 27th. Finally, UBS Group started coverage on Open Text in a report on Tuesday, December 17th. They set a “neutral” rating and a $32.00 price objective for the company. Nine analysts have rated the stock with a hold rating and four have issued a buy rating to the company. According to data from MarketBeat.com, the stock presently has an average rating of “Hold” and an average price target of $35.18.

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.