Open Text (NASDAQ:OTEX) Cut to Hold at BidaskClub

BidaskClub cut shares of Open Text (NASDAQ:OTEX) (TSE:OTC) from a buy rating to a hold rating in a research report report published on Monday, BidAskClub reports.

Other research analysts also recently issued research reports about the stock. CIBC reiterated a buy rating and issued a $53.00 price objective on shares of Open Text in a research report on Sunday, August 4th. Zacks Investment Research downgraded shares of Open Text from a hold rating to a sell rating in a research report on Thursday, August 8th. TD Securities upped their price objective on shares of Open Text from $45.00 to $48.00 and gave the stock a buy rating in a research report on Friday, August 2nd. Benchmark reiterated a buy rating and issued a $48.00 price objective (up previously from $42.00) on shares of Open Text in a research report on Thursday, July 11th. Finally, Raymond James set a $48.00 price objective on shares of Open Text and gave the stock an outperform rating in a research report on Friday, August 2nd. One analyst has rated the stock with a sell rating, two have given a hold rating and seven have assigned a buy rating to the stock. The stock has an average rating of Buy and a consensus price target of $47.25.

Shares of Open Text stock opened at $41.19 on Monday. The firm has a 50-day simple moving average of $39.46 and a two-hundred day simple moving average of $39.90. The company has a market cap of $11.06 billion, a P/E ratio of 38.86 and a beta of 0.56. Open Text has a fifty-two week low of $30.99 and a fifty-two week high of $44.49. The company has a debt-to-equity ratio of 0.67, a quick ratio of 1.54 and a current ratio of 1.54.

Open Text (NASDAQ:OTEX) (TSE:OTC) last issued its quarterly earnings data on Thursday, August 1st. The software maker reported $0.27 earnings per share for the quarter, missing analysts’ consensus estimates of $0.37 by ($0.10). The firm had revenue of $747.20 million during the quarter, compared to analyst estimates of $763.51 million. Open Text had a return on equity of 7.50% and a net margin of 9.95%. The company’s revenue was down .9% on a year-over-year basis. During the same quarter last year, the company posted $0.72 EPS. Equities research analysts forecast that Open Text will post 1.57 EPS for the current year.

The business also recently announced a quarterly dividend, which will be paid on Friday, September 20th. Stockholders of record on Friday, August 30th will be paid a dividend of $0.175 per share. The ex-dividend date of this dividend is Thursday, August 29th. This represents a $0.70 dividend on an annualized basis and a dividend yield of 1.70%. This is a boost from Open Text’s previous quarterly dividend of $0.17. Open Text’s payout ratio is currently 66.04%.

Several hedge funds have recently added to or reduced their stakes in the company. Beutel Goodman & Co Ltd. increased its stake in shares of Open Text by 0.4% during the second quarter. Beutel Goodman & Co Ltd. now owns 9,922,655 shares of the software maker’s stock worth $409,457,000 after purchasing an additional 39,387 shares in the last quarter. Vanguard Group Inc. increased its stake in shares of Open Text by 2.9% during the second quarter. Vanguard Group Inc. now owns 7,204,153 shares of the software maker’s stock worth $296,811,000 after purchasing an additional 206,010 shares in the last quarter. First Trust Advisors LP increased its stake in shares of Open Text by 10.1% during the first quarter. First Trust Advisors LP now owns 2,734,060 shares of the software maker’s stock worth $105,070,000 after purchasing an additional 251,035 shares in the last quarter. Connor Clark & Lunn Investment Management Ltd. increased its stake in shares of Open Text by 3.1% during the second quarter. Connor Clark & Lunn Investment Management Ltd. now owns 2,577,044 shares of the software maker’s stock worth $106,572,000 after purchasing an additional 77,490 shares in the last quarter. Finally, Man Group plc increased its stake in shares of Open Text by 9.9% during the second quarter. Man Group plc now owns 2,332,011 shares of the software maker’s stock worth $96,397,000 after purchasing an additional 209,429 shares in the last quarter. 64.55% of the stock is owned by institutional investors and hedge funds.

Open Text Company Profile

Open Text Corporation provides a suite of software products and services. The company offers content services; digital process automation, which enables organizations to transform into digital and data-driven businesses through automation; and discovery suite that provides forensics and unstructured data analytics for searching, collecting, and investigating enterprise data to manage legal obligations and risk.

Featured Article: The risks of owning bonds

Analyst Recommendations for Open Text (NASDAQ:OTEX)

Receive News & Ratings for Open Text Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Open Text and related companies with MarketBeat.com's FREE daily email newsletter.