TD Securities Cuts Open Text (NASDAQ:OTEX) Price Target to $38.00

Open Text (NASDAQ:OTEX) (TSE:OTC) had its price objective lowered by TD Securities from $40.00 to $38.00 in a research note published on Tuesday,BayStreet.CA reports. TD Securities currently has a buy rating on the software maker’s stock.

A number of other research analysts also recently weighed in on the stock. BMO Capital Markets cut their price target on shares of Open Text from $33.00 to $32.00 and set a “market perform” rating on the stock in a report on Friday, November 1st. UBS Group initiated coverage on Open Text in a report on Tuesday, December 17th. They set a “neutral” rating and a $32.00 target price on the stock. Barclays decreased their price target on Open Text from $36.00 to $34.00 and set an “equal weight” rating for the company in a research note on Friday, November 1st. Citigroup cut their price objective on Open Text from $34.00 to $33.00 and set a “neutral” rating on the stock in a research note on Friday, November 1st. Finally, Royal Bank of Canada cut Open Text from an “outperform” rating to a “sector perform” rating and decreased their target price for the stock from $45.00 to $33.00 in a research report on Friday, November 1st. Nine equities research analysts have rated the stock with a hold rating and four have assigned a buy rating to the company. According to data from MarketBeat.com, the stock presently has an average rating of “Hold” and a consensus price target of $35.55.

Open Text Stock Performance

Shares of NASDAQ OTEX opened at $28.14 on Tuesday. Open Text has a one year low of $27.05 and a one year high of $45.47. The business’s 50-day moving average price is $30.29 and its two-hundred day moving average price is $30.99. The company has a debt-to-equity ratio of 1.54, a current ratio of 0.79 and a quick ratio of 0.79. The company has a market capitalization of $7.44 billion, a P/E ratio of 16.27 and a beta of 1.11.

Open Text (NASDAQ:OTEX) (TSE:OTC) last announced its quarterly earnings results on Thursday, October 31st. The software maker reported $0.93 EPS for the quarter, beating the consensus estimate of $0.80 by $0.13. The business had revenue of $1.27 billion during the quarter, compared to analysts’ expectations of $1.28 billion. Open Text had a return on equity of 24.34% and a net margin of 8.35%. The firm’s quarterly revenue was down 11.0% compared to the same quarter last year. During the same quarter in the previous year, the business posted $0.90 EPS. Analysts anticipate that Open Text will post 3.37 earnings per share for the current fiscal year.

Open Text Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Friday, December 20th. Investors of record on Friday, November 29th were paid a dividend of $0.262 per share. This is a boost from Open Text’s previous quarterly dividend of $0.19. This represents a $1.05 annualized dividend and a yield of 3.72%. The ex-dividend date of this dividend was Friday, November 29th. Open Text’s dividend payout ratio is presently 60.69%.

Institutional Inflows and Outflows

A number of large investors have recently made changes to their positions in OTEX. Ridgewood Investments LLC acquired a new stake in Open Text during the second quarter worth about $30,000. Blue Trust Inc. grew its holdings in shares of Open Text by 435.7% during the 3rd quarter. Blue Trust Inc. now owns 975 shares of the software maker’s stock worth $32,000 after purchasing an additional 793 shares in the last quarter. Kimelman & Baird LLC bought a new stake in shares of Open Text during the second quarter valued at approximately $36,000. Cromwell Holdings LLC increased its position in shares of Open Text by 29.6% during the third quarter. Cromwell Holdings LLC now owns 1,663 shares of the software maker’s stock valued at $55,000 after purchasing an additional 380 shares during the period. Finally, Essex LLC acquired a new position in shares of Open Text in the third quarter valued at $210,000. 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.