Open Text Co. (OTEX) to Issue Quarterly Dividend of $0.26 on March 21st

Open Text Co. (NASDAQ:OTEX) (TSE:OTC) announced a quarterly dividend on Wednesday, February 5th, Wall Street Journal reports. Shareholders of record on Friday, March 7th will be paid a dividend of 0.2625 per share by the software maker on Friday, March 21st. This represents a $1.05 dividend on an annualized basis and a yield of 4.10%. The ex-dividend date is Friday, March 7th. This is an increase from Open Text’s previous quarterly dividend of $0.26.

Open Text has raised its dividend by an average of 6.7% per year over the last three years. Open Text has a payout ratio of 25.2% meaning its dividend is sufficiently covered by earnings. Research analysts expect Open Text to earn $3.78 per share next year, which means the company should continue to be able to cover its $1.05 annual dividend with an expected future payout ratio of 27.8%.

Open Text Stock Performance

NASDAQ:OTEX opened at $25.59 on Wednesday. Open Text has a twelve month low of $25.07 and a twelve month high of $40.55. The company has a quick ratio of 0.87, a current ratio of 0.87 and a debt-to-equity ratio of 1.50. The business’s 50-day moving average price is $28.09 and its two-hundred day moving average price is $30.24. The stock has a market cap of $6.76 billion, a P/E ratio of 10.40 and a beta of 1.12.

Open Text (NASDAQ:OTEX) (TSE:OTC) last issued its earnings results on Thursday, February 6th. The software maker reported $1.02 EPS for the quarter, beating the consensus estimate of $0.92 by $0.10. Open Text had a return on equity of 23.23% and a net margin of 12.21%. As a group, equities analysts predict that Open Text will post 3.45 EPS for the current fiscal year.

Wall Street Analysts Forecast Growth

OTEX has been the topic of a number of research analyst reports. Royal Bank of Canada lowered their price target on Open Text from $33.00 to $31.00 and set a “sector perform” rating on the stock in a research note on Friday, February 7th. UBS Group began coverage on shares of Open Text in a report on Tuesday, December 17th. They issued a “neutral” rating and a $32.00 target price for the company. StockNews.com downgraded shares of Open Text from a “strong-buy” rating to a “buy” rating in a report on Monday, January 27th. Barclays raised their price objective on shares of Open Text from $34.00 to $36.00 and gave the company an “equal weight” rating in a research note on Friday, February 7th. Finally, TD Securities dropped their price objective on Open Text from $38.00 to $35.00 and set a “buy” rating for the company in a research note on Sunday, February 9th. Nine investment analysts have rated the stock with a hold rating and four have issued a buy rating to the stock. According to data from MarketBeat.com, the company has an average rating of “Hold” and a consensus price target of $35.18.

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.