Open Text (NASDAQ:OTEX) Stock Rating Lowered by National Bank Financial

National Bank Financial lowered shares of Open Text (NASDAQ:OTEX) (TSE:OTC) from an outperform rating to a sector perform rating in a report issued on Friday, MarketBeat Ratings reports.

Several other brokerages also recently commented on OTEX. Scotiabank reaffirmed a sector perform rating on shares of Open Text in a report on Friday, May 3rd. Raymond James reduced their target price on Open Text from $55.00 to $48.00 and set an outperform rating on the stock in a report on Friday, May 3rd. BMO Capital Markets lowered Open Text from an outperform rating to a market perform rating and cut their price target for the company from $50.00 to $38.00 in a report on Friday, May 3rd. TD Securities lowered their target price on Open Text from $54.00 to $40.00 and set a buy rating on the stock in a research report on Friday, May 3rd. Finally, Citigroup lowered their price target on Open Text from $37.00 to $32.00 and set a neutral rating on the stock in a research report on Wednesday, June 26th. Eight equities research analysts have rated the stock with a hold rating and five have issued a buy rating to the company’s stock. According to MarketBeat.com, Open Text has an average rating of Hold and a consensus target price of $38.80.

Open Text Stock Up 1.5 %

Open Text stock traded up $0.43 during midday trading on Friday, hitting $28.92. 690,296 shares of the company were exchanged, compared to its average volume of 666,661. The company’s fifty day moving average price is $30.01 and its 200-day moving average price is $34.78. The company has a market cap of $7.74 billion, a PE ratio of 46.44 and a beta of 1.12. The company has a debt-to-equity ratio of 2.01, a current ratio of 1.40 and a quick ratio of 1.40. Open Text has a fifty-two week low of $27.50 and a fifty-two week high of $45.47.

Open Text (NASDAQ:OTEX) (TSE:OTC) last issued its quarterly earnings results on Thursday, August 1st. The software maker reported $0.98 earnings per share for the quarter, beating analysts’ consensus estimates of $0.93 by $0.05. The business had revenue of $1.36 billion during the quarter, compared to the consensus estimate of $1.41 billion. Open Text had a return on equity of 25.22% and a net margin of 8.06%. The business’s quarterly revenue was down 8.6% on a year-over-year basis. During the same period in the previous year, the business earned $0.79 EPS. On average, research analysts predict that Open Text will post 3.18 EPS for the current fiscal year.

Open Text Cuts Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, September 20th. Investors of record on Friday, August 30th will be given a dividend of $0.192 per share. This represents a $0.77 annualized dividend and a dividend yield of 2.66%. The ex-dividend date of this dividend is Friday, August 30th. Open Text’s dividend payout ratio (DPR) is currently 161.29%.

Institutional Investors Weigh In On Open Text

Institutional investors and hedge funds have recently made changes to their positions in the company. Optiver Holding B.V. purchased a new position in shares of Open Text during the 4th quarter worth $27,000. Ridgewood Investments LLC bought a new stake in Open Text in the 2nd quarter valued at $30,000. Headlands Technologies LLC bought a new stake in Open Text in the 1st quarter valued at $32,000. Assetmark Inc. bought a new stake in Open Text in the 4th quarter valued at $48,000. Finally, EverSource Wealth Advisors LLC increased its holdings in Open Text by 18.0% in the 4th quarter. EverSource Wealth Advisors LLC now owns 2,186 shares of the software maker’s stock valued at $92,000 after acquiring an additional 334 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.