Open Text (NASDAQ:OTEX) Issues Quarterly Earnings Results

Open Text (NASDAQ:OTEX) (TSE:OTC) issued its earnings results on Thursday. The software maker reported $0.98 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.93 by $0.05, Briefing.com reports. Open Text had a net margin of 8.06% and a return on equity of 25.22%. The company had revenue of $1.36 billion for the quarter, compared to analysts’ expectations of $1.41 billion. During the same period in the prior year, the business earned $0.79 EPS. The firm’s quarterly revenue was down 8.6% on a year-over-year basis.

Open Text Price Performance

Open Text stock traded down $2.00 during trading on Friday, reaching $28.49. The company had a trading volume of 1,139,908 shares, compared to its average volume of 580,666. The firm’s 50-day simple moving average is $30.01 and its 200 day simple moving average is $34.82. Open Text has a 1-year low of $27.54 and a 1-year high of $45.47. The firm has a market capitalization of $7.63 billion, a PE ratio of 45.95 and a beta of 1.12. The company has a debt-to-equity ratio of 2.01, a quick ratio of 1.40 and a current ratio of 1.40.

Open Text Cuts Dividend

The business also recently declared a quarterly dividend, which will be paid on Friday, September 20th. Investors of record on Friday, August 30th will be paid a $0.192 dividend. The ex-dividend date of this dividend is Friday, August 30th. This represents a $0.77 dividend on an annualized basis and a yield of 2.70%. Open Text’s dividend payout ratio is currently 161.29%.

Analyst Upgrades and Downgrades

OTEX has been the topic of several recent research reports. National Bankshares cut shares of Open Text from an “outperform” rating to a “sector perform” rating and set a $38.00 target price on the stock. in a report on Friday. CIBC decreased their price objective on shares of Open Text from $36.00 to $33.00 and set a “neutral” rating for the company in a research report on Friday, July 19th. TD Securities decreased their price objective on shares of Open Text from $54.00 to $40.00 and set a “buy” rating for the company in a research report on Friday, May 3rd. National Bank Financial lowered shares of Open Text from an “outperform” rating to a “sector perform” rating in a research report on Friday. Finally, Raymond James reduced their price target on shares of Open Text from $55.00 to $48.00 and set an “outperform” rating for the company in a research report on Friday, May 3rd. Eight equities research analysts have rated the stock with a hold rating and five have given a buy rating to the stock. Based on data from MarketBeat.com, the company currently has an average rating of “Hold” and a consensus target price of $38.80.

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.