Open Text Corporation (NASDAQ:OTEX) Receives $33.67 Consensus Target Price from Analysts

Open Text Corporation (NASDAQ:OTEX) (TSE:OTC) has earned an average recommendation of “Hold” from the fourteen brokerages that are presently covering the company, MarketBeat.com reports. Ten equities research analysts have rated the stock with a hold recommendation and four have issued a buy recommendation on the company. The average twelve-month price target among brokers that have covered the stock in the last year is $33.6667.

OTEX has been the topic of several research analyst reports. Wall Street Zen upgraded Open Text from a “buy” rating to a “strong-buy” rating in a report on Saturday, May 9th. Scotia lowered their target price on Open Text from $50.00 to $40.00 and set a “sector outperform” rating on the stock in a report on Friday, May 8th. Scotiabank lowered their target price on Open Text from $50.00 to $40.00 and set a “sector outperform” rating on the stock in a report on Friday, May 8th. Raymond James Financial lowered their target price on Open Text from $42.00 to $35.00 and set an “outperform” rating on the stock in a report on Friday, May 8th. Finally, Citigroup lowered their target price on Open Text from $26.00 to $25.00 and set a “neutral” rating on the stock in a report on Friday, May 8th.

Open Text Stock Performance

OTEX stock opened at $22.23 on Wednesday. The company has a current ratio of 0.94, a quick ratio of 0.94 and a debt-to-equity ratio of 1.56. Open Text has a 12-month low of $20.00 and a 12-month high of $39.90. The stock has a market cap of $5.39 billion, a price-to-earnings ratio of 10.84 and a beta of 1.05. The business’s 50-day moving average is $22.95 and its 200 day moving average is $26.37.

Open Text (NASDAQ:OTEX) (TSE:OTC) last posted its quarterly earnings data on Thursday, May 7th. The software maker reported $1.01 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.94 by $0.07. Open Text had a return on equity of 24.77% and a net margin of 9.91%.The company had revenue of $1.28 billion for the quarter, compared to analysts’ expectations of $1.26 billion. During the same period in the previous year, the firm posted $0.82 EPS. Open Text’s revenue was up 2.2% compared to the same quarter last year. On average, sell-side analysts anticipate that Open Text will post 4.05 EPS for the current fiscal year.

Open Text Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Friday, June 19th. Stockholders of record on Friday, June 5th will be issued a dividend of $0.275 per share. This represents a $1.10 annualized dividend and a dividend yield of 4.9%. The ex-dividend date is Friday, June 5th. Open Text’s payout ratio is currently 53.66%.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in the stock. Cidel Asset Management Inc. lifted its holdings in Open Text by 4.5% in the third quarter. Cidel Asset Management Inc. now owns 973,317 shares of the software maker’s stock valued at $36,389,000 after acquiring an additional 41,867 shares during the last quarter. Picton Mahoney Asset Management acquired a new position in Open Text in the third quarter valued at approximately $11,668,000. Connor Clark & Lunn Investment Management Ltd. lifted its holdings in Open Text by 456.0% in the third quarter. Connor Clark & Lunn Investment Management Ltd. now owns 2,312,755 shares of the software maker’s stock valued at $86,429,000 after acquiring an additional 1,896,755 shares during the last quarter. Munich Reinsurance Co Stock Corp in Munich acquired a new position in Open Text in the third quarter valued at approximately $10,052,000. Finally, Public Sector Pension Investment Board lifted its holdings in Open Text by 257.3% in the third quarter. Public Sector Pension Investment Board now owns 89,452 shares of the software maker’s stock valued at $3,344,000 after acquiring an additional 64,416 shares during the last quarter. 70.37% of the stock is currently 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.