Zacks Research Downgrades Open Text (NASDAQ:OTEX) to Hold

Open Text (NASDAQ:OTEX) (TSE:OTC) was downgraded by equities researchers at Zacks Research from a “strong-buy” rating to a “hold” rating in a research report issued on Monday,Zacks.com reports.

Other analysts have also recently issued reports about the company. Citigroup reduced their price objective on Open Text from $38.00 to $36.00 and set a “neutral” rating on the stock in a research note on Tuesday, December 23rd. TD Securities downgraded Open Text from a “buy” rating to a “hold” rating and lifted their target price for the company from $35.00 to $40.00 in a research note on Friday, October 3rd. UBS Group upped their price target on Open Text from $32.00 to $38.00 and gave the stock a “neutral” rating in a research note on Friday, November 7th. National Bank Financial upgraded Open Text from a “sector perform” rating to an “outperform” rating and set a $45.00 price objective for the company in a research report on Monday, September 15th. Finally, CIBC upped their price target on shares of Open Text from $34.00 to $40.00 and gave the stock a “neutral” rating in a research note on Wednesday, October 29th. Three analysts have rated the stock with a Buy rating and eleven have assigned a Hold rating to the stock. Based on data from MarketBeat, the stock has a consensus rating of “Hold” and a consensus price target of $39.25.

Open Text Trading Down 0.4%

Shares of NASDAQ:OTEX opened at $32.15 on Monday. Open Text has a 1 year low of $22.79 and a 1 year high of $39.90. The company has a debt-to-equity ratio of 1.60, a current ratio of 0.87 and a quick ratio of 0.87. The business’s 50 day moving average price is $34.01 and its 200-day moving average price is $33.54. The firm has a market capitalization of $8.10 billion, a price-to-earnings ratio of 16.83 and a beta of 1.08.

Open Text (NASDAQ:OTEX) (TSE:OTC) last issued its earnings results on Wednesday, November 5th. The software maker reported $1.05 EPS for the quarter, topping analysts’ consensus estimates of $1.00 by $0.05. The company had revenue of $1.31 billion for the quarter, compared to the consensus estimate of $1.27 billion. Open Text had a net margin of 9.60% and a return on equity of 23.44%. Open Text’s quarterly revenue was up 1.5% compared to the same quarter last year. During the same period in the previous year, the firm earned $0.93 earnings per share. On average, equities research analysts forecast that Open Text will post 3.45 earnings per share for the current fiscal year.

Institutional Trading of Open Text

Large investors have recently added to or reduced their stakes in the company. Cromwell Holdings LLC boosted its position in shares of Open Text by 27.4% during the second quarter. Cromwell Holdings LLC now owns 1,635 shares of the software maker’s stock worth $48,000 after purchasing an additional 352 shares in the last quarter. Oppenheimer Asset Management Inc. grew its position in Open Text by 2.9% in the second quarter. Oppenheimer Asset Management Inc. now owns 13,174 shares of the software maker’s stock valued at $385,000 after purchasing an additional 370 shares in the last quarter. Tidal Investments LLC lifted its position in Open Text by 2.6% during the 2nd quarter. Tidal Investments LLC now owns 18,059 shares of the software maker’s stock worth $527,000 after buying an additional 460 shares in the last quarter. WealthCollab LLC boosted its stake in shares of Open Text by 39.5% during the 2nd quarter. WealthCollab LLC now owns 1,640 shares of the software maker’s stock worth $48,000 after buying an additional 464 shares during the last quarter. Finally, EverSource Wealth Advisors LLC increased its position in shares of Open Text by 39.7% in the second quarter. EverSource Wealth Advisors LLC now owns 2,005 shares of the software maker’s stock valued at $59,000 after acquiring an additional 570 shares during the last quarter. 70.37% of the stock is owned by institutional investors and hedge funds.

About Open Text

Open Text Corporation is a Canadian enterprise information management (EIM) software company that develops solutions for organizations seeking to manage, protect and extract insight from their unstructured and structured data. The company’s platform encompasses document management, records management, digital asset management and archiving, enabling companies to govern information across its lifecycle.

Open Text’s product suite includes content services, business process management, customer experience management, analytics and security products.