Open Text (NASDAQ:OTEX) Price Target Cut to $33.00 by Analysts at Citigroup

Open Text (NASDAQ:OTEX) (TSE:OTC) had its target price cut by Citigroup from $34.00 to $33.00 in a research report report published on Friday morning, BayStreet.CA reports. They currently have a neutral rating on the software maker’s stock.

A number of other analysts have also recently commented on the stock. National Bankshares cut shares of Open Text from an “outperform” rating to a “sector perform” rating and set a $38.00 price target on the stock. in a research note on Friday, August 2nd. Barclays lowered their target price on shares of Open Text from $36.00 to $34.00 and set an “equal weight” rating on the stock in a research note on Friday. Scotiabank lowered their target price 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. BMO Capital Markets lowered their target price on shares of Open Text from $33.00 to $32.00 and set a “market perform” rating on the stock in a research note on Friday. Finally, Jefferies Financial Group lowered their target price on shares of Open Text from $42.00 to $35.00 and set a “buy” rating on the stock in a research note on Friday, August 2nd. Eight research analysts have rated the stock with a hold rating and four have issued a buy rating to the stock. According to MarketBeat, the company currently has an average rating of “Hold” and a consensus target price of $35.90.

Open Text Stock Performance

OTEX traded down $1.02 during midday trading on Friday, reaching $28.98. The company had a trading volume of 1,397,525 shares, compared to its average volume of 635,531. The stock has a market cap of $7.70 billion, a PE ratio of 16.95 and a beta of 1.12. The company has a debt-to-equity ratio of 1.51, a quick ratio of 0.81 and a current ratio of 0.81. The business has a 50-day moving average price of $32.73 and a two-hundred day moving average price of $31.58. Open Text has a 12-month low of $27.50 and a 12-month high of $45.47.

Open Text (NASDAQ:OTEX) (TSE:OTC) last announced its quarterly earnings results on Thursday, August 1st. The software maker reported $0.98 EPS for the quarter, beating analysts’ consensus estimates of $0.93 by $0.05. The company had revenue of $1.36 billion for the quarter, compared to analysts’ expectations of $1.41 billion. Open Text had a net margin of 8.06% and a return on equity of 25.00%. Open Text’s revenue was down 8.6% compared to the same quarter last year. During the same period in the prior year, the company posted $0.79 EPS. On average, sell-side analysts expect that Open Text will post 3.23 earnings per share for the current fiscal year.

Open Text Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Friday, December 20th. Stockholders of record on Friday, November 29th will be issued a $0.262 dividend. This is a positive change from Open Text’s previous quarterly dividend of $0.19. The ex-dividend date of this dividend is Friday, November 29th. This represents a $1.05 dividend on an annualized basis and a dividend yield of 3.62%. Open Text’s dividend payout ratio is presently 61.40%.

Hedge Funds Weigh In On Open Text

Several institutional investors and hedge funds have recently made changes to their positions in the business. Bridges Investment Management Inc. grew its holdings in shares of Open Text by 13.9% during the 3rd quarter. Bridges Investment Management Inc. now owns 47,330 shares of the software maker’s stock valued at $1,575,000 after purchasing an additional 5,760 shares during the last quarter. Easterly Investment Partners LLC grew its holdings in shares of Open Text by 5.6% during the 3rd quarter. Easterly Investment Partners LLC now owns 509,800 shares of the software maker’s stock valued at $16,966,000 after purchasing an additional 26,841 shares during the last quarter. Moloney Securities Asset Management LLC grew its holdings in shares of Open Text by 5.1% during the 3rd quarter. Moloney Securities Asset Management LLC now owns 80,428 shares of the software maker’s stock valued at $2,677,000 after purchasing an additional 3,910 shares during the last quarter. Van ECK Associates Corp grew its holdings in shares of Open Text by 5.8% during the 3rd quarter. Van ECK Associates Corp now owns 21,476 shares of the software maker’s stock valued at $705,000 after purchasing an additional 1,178 shares during the last quarter. Finally, Farther Finance Advisors LLC grew its holdings in shares of Open Text by 74.6% during the 3rd quarter. Farther Finance Advisors LLC now owns 8,701 shares of the software maker’s stock valued at $290,000 after purchasing an additional 3,719 shares during the last quarter. Institutional investors own 70.37% of the company’s stock.

About Open Text

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.