Open Text (NASDAQ:OTEX) Hits New 52-Week Low – What’s Next?

Open Text Co. (NASDAQ:OTEX) (TSE:OTC) shares hit a new 52-week low during mid-day trading on Wednesday . The company traded as low as $24.91 and last traded at $25.12, with a volume of 458436 shares trading hands. The stock had previously closed at $25.58.

Wall Street Analysts Forecast Growth

OTEX has been the topic of several recent analyst reports. StockNews.com lowered shares of Open Text from a “strong-buy” rating to a “buy” rating in a research note on Monday, January 27th. TD Securities dropped their target price on shares of Open Text from $38.00 to $35.00 and set a “buy” rating on the stock in a research report on Sunday, February 9th. Citigroup boosted their price target on shares of Open Text from $30.00 to $32.00 and gave the company a “neutral” rating in a research report on Friday, February 7th. Barclays raised 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. Finally, Royal Bank of Canada reduced their target price 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. Nine research analysts have rated the stock with a hold rating and four have assigned a buy rating to the company’s stock. According to MarketBeat, Open Text has a consensus rating of “Hold” and a consensus target price of $35.18.

Open Text Stock Down 1.0 %

The company has a market capitalization of $6.68 billion, a PE ratio of 10.30 and a beta of 1.17. 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 firm has a 50 day simple moving average of $27.86 and a two-hundred day simple moving average of $30.02.

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

Open Text Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, March 21st. Investors of record on Friday, March 7th will be given a $0.2625 dividend. The ex-dividend date is Friday, March 7th. This represents a $1.05 dividend on an annualized basis and a yield of 4.15%. This is an increase from Open Text’s previous quarterly dividend of $0.26. Open Text’s dividend payout ratio (DPR) is presently 42.68%.

Hedge Funds Weigh In On Open Text

Several institutional investors and hedge funds have recently added to or reduced their stakes in OTEX. JARISLOWSKY FRASER Ltd boosted its position in shares of Open Text by 11.8% during the 4th quarter. JARISLOWSKY FRASER Ltd now owns 18,547,256 shares of the software maker’s stock worth $522,879,000 after purchasing an additional 1,957,695 shares in the last quarter. First Trust Advisors LP grew its position in Open Text by 9.5% during the fourth quarter. First Trust Advisors LP now owns 7,275,908 shares of the software maker’s stock worth $205,925,000 after buying an additional 632,437 shares during the period. Cooke & Bieler LP grew its position in Open Text by 6.6% during the fourth quarter. Cooke & Bieler LP now owns 6,308,967 shares of the software maker’s stock worth $178,670,000 after buying an additional 389,220 shares during the period. Arrowstreet Capital Limited Partnership increased its holdings in Open Text by 75.9% in the fourth quarter. Arrowstreet Capital Limited Partnership now owns 5,994,675 shares of the software maker’s stock valued at $169,555,000 after buying an additional 2,586,549 shares in the last quarter. Finally, The Manufacturers Life Insurance Company lifted its position in shares of Open Text by 1.1% during the 3rd quarter. The Manufacturers Life Insurance Company now owns 5,642,455 shares of the software maker’s stock valued at $187,952,000 after acquiring an additional 63,620 shares during the period. Institutional investors and hedge funds own 70.37% of the company’s stock.

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.