Open Text (NASDAQ:OTEX) Reaches New 52-Week Low – Here’s What Happened

Open Text Co. (NASDAQ:OTEX) (TSE:OTC) shares reached a new 52-week low on Friday . The company traded as low as $26.96 and last traded at $27.12, with a volume of 84125 shares. The stock had previously closed at $27.87.

Wall Street Analyst Weigh In

OTEX has been the topic of several research analyst reports. UBS Group assumed coverage on Open Text in a research report on Tuesday, December 17th. They set a “neutral” rating and a $32.00 price target on the stock. Scotiabank lowered their price objective on shares of Open Text from $40.00 to $35.00 and set a “sector perform” rating on the stock in a research note on Friday, November 1st. Royal Bank of Canada downgraded shares of Open Text from an “outperform” rating to a “sector perform” rating and dropped their target price for the stock from $45.00 to $33.00 in a report on Friday, November 1st. Citigroup dropped their price target on Open Text from $34.00 to $33.00 and set a “neutral” rating on the stock in a report on Friday, November 1st. Finally, TD Securities reduced their price objective on Open Text from $40.00 to $38.00 and set a “buy” rating for the company in a research note on Monday, December 30th. Nine equities research analysts have rated the stock with a hold rating, three have issued a buy rating and one has assigned a strong buy rating to the company. According to data from MarketBeat, Open Text has an average rating of “Hold” and an average target price of $35.55.

Open Text Trading Down 2.0 %

The company has a debt-to-equity ratio of 1.54, a quick ratio of 0.79 and a current ratio of 0.79. The firm has a market cap of $7.22 billion, a P/E ratio of 15.79 and a beta of 1.12. The company has a 50 day moving average of $29.20 and a 200 day moving average of $30.93.

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

Open Text Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, December 20th. Investors of record on Friday, November 29th were issued a $0.262 dividend. This represents a $1.05 annualized dividend and a yield of 3.84%. The ex-dividend date was Friday, November 29th. This is an increase from Open Text’s previous quarterly dividend of $0.19. Open Text’s dividend payout ratio (DPR) is 60.69%.

Institutional Investors Weigh In On Open Text

A number of hedge funds have recently bought and sold shares of the company. United Services Automobile Association bought a new position in Open Text during the second quarter worth $302,000. Andra AP fonden acquired a new position in shares of Open Text during the second quarter valued at about $1,601,000. American Century Companies Inc. lifted its stake in shares of Open Text by 13.6% in the second quarter. American Century Companies Inc. now owns 92,871 shares of the software maker’s stock valued at $2,789,000 after buying an additional 11,127 shares during the period. Thornburg Investment Management Inc. grew its position in Open Text by 200.0% during the second quarter. Thornburg Investment Management Inc. now owns 128,100 shares of the software maker’s stock worth $3,848,000 after buying an additional 85,400 shares in the last quarter. Finally, Dimensional Fund Advisors LP lifted its position in shares of Open Text by 6.1% in the 2nd quarter. Dimensional Fund Advisors LP now owns 787,619 shares of the software maker’s stock worth $23,660,000 after acquiring an additional 45,380 shares during the period. 70.37% of the stock is currently owned by institutional investors.

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.