Open Text Co. (NASDAQ:OTEX) (TSE:OTC) was the target of a significant rise in short interest in January. As of January 31, there was short interest totaling 2,650,000 shares, an increase of 38.0% from the total of 1,920,000 shares as of January 15. Approximately 1.0% of the company’s shares are sold short. Based on an average trading volume of 607,000 shares, the short-term interest rate ratio is currently 4.4 days.
A number of research companies have weighed in on OTEX. Barclays reduced its price target on Open Text from $58.00 to $50.00 in a Wednesday, January 12 research note. BMO Capital Markets reduced its price target on Open Text from CA$58.00 to CA$53.00 in a Friday, February 4 research note. StockNews.com upgraded Open Text from a “strong buy” rating to a “buy” rating in a Monday, Feb. 7 research note. Raymond James cut his price target on Open Text from $63.00 to $60.00 and set an “outperform” rating on the stock in a Friday, Feb. 4 research note. Finally, Zacks Investment Research upgraded Open Text from a “hold” rating to a “sell” rating in a Wednesday, Feb. 9 research report. One financial analyst gave the stock a sell rating, one issued a hold rating and four issued a buy rating to the company’s stock. According to MarketBeat.com, the company currently has a consensus rating of “Buy” and an average price target of $56.50.
NASDAQ OTEX opened at $44.20 on Thursday. The company has a quick ratio of 1.88, a current ratio of 1.88 and a leverage ratio of 0.85. Open Text has a 52-week low of $43.37 and a 52-week high of $55.25. The company’s 50-day moving average price is $46.44 and its 200-day moving average price is $49.54. The company has a market capitalization of $11.98 billion, a P/E ratio of 35.93 and a beta of 0.96.
Open Text Inc (NASDAQ:OTEX) (TSE:OTC) last released its quarterly results on Thursday, February 3. The software maker reported earnings per share (EPS) of $0.89 for the quarter, beating the Zacks consensus estimate of $0.88 by $0.01. Open Text had a return on equity of 21.28% and a net margin of 9.93%. In the same quarter last year, the company achieved EPS of $0.91. As a group, analysts expect Open Text to post earnings per share of 3.37 for the current year.
The company also recently announced a quarterly dividend, which will be paid on Friday, March 25. Shareholders of record on Friday, March 4 will receive a dividend of $0.221. This is an increase from Open Text’s previous quarterly dividend of $0.18. The ex-dividend date is Thursday, March 3. This represents a dividend of $0.88 on an annualized basis and a yield of 2.00%. Open Text’s dividend payout ratio is currently 71.54%.
Several institutional investors have recently increased or reduced their stake in the company. Allianz Asset Management GmbH increased its stake in Open Text shares by 2.6% during the 4th quarter. Allianz Asset Management GmbH now owns 187,849 shares of the software maker valued at $8,929,000 after buying an additional 4,753 shares last quarter. Deutsche Bank AG increased its equity stake in Open Text by 4.8% during the fourth quarter. Deutsche Bank AG now owns 511,441 shares of the software maker valued at $24,283,000 after buying an additional 23,195 shares last quarter. Sei Investments Co. increased its stake in Open Text by 19.7% in Q4. Sei Investments Co. now owns 187,557 shares of the software maker valued at $8,909,000 after buying 30,928 additional shares in the last quarter. Mirova acquired a new position in Open Text in Q4 worth $455,000. Finally, Cubist Systematic Strategies LLC increased its stake in Open Text by 1.3% in the 4th quarter. Cubist Systematic Strategies LLC now owns 73,820 shares of the software maker valued at $3,505,000 after buying 922 additional shares in the last quarter. Institutional investors and hedge funds hold 65.32% of the company’s shares.
Open Text Company Profile
Open Text Corp. engages in the design, development, marketing and sales of enterprise information management software and solutions. It includes Customer Experience Management (CEM), Digital Process Automation, Enterprise Network and Enterprise Content Management, Discovery, Security, Artificial Intelligence (AI) and Solutions analysis.
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