Open Text (NASDAQ:OTEX) Posts Quarterly Earnings Results, Beats Expectations By $0.10 EPS

Open Text (NASDAQ:OTEX) (TSE:OTC) issued its quarterly earnings results on Thursday. The software maker reported $1.02 EPS for the quarter, beating the consensus estimate of $0.92 by $0.10, Zacks reports. Open Text had a net margin of 12.21% and a return on equity of 23.33%.

Open Text Stock Performance

Shares of OTEX traded down $1.67 during trading hours on Friday, reaching $27.86. 1,545,806 shares of the company traded hands, compared to its average volume of 567,375. The stock has a market capitalization of $7.35 billion, a P/E ratio of 11.33 and a beta of 1.12. The company has a quick ratio of 0.79, a current ratio of 0.79 and a debt-to-equity ratio of 1.54. The business has a fifty day moving average price of $28.90 and a 200-day moving average price of $30.64. Open Text has a 12-month low of $26.84 and a 12-month high of $42.17.

Open Text Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Friday, March 21st. Shareholders of record on Friday, March 7th will be issued a $0.2625 dividend. The ex-dividend date of this dividend is Friday, March 7th. This represents a $1.05 dividend on an annualized basis and a dividend yield of 3.77%. This is a boost from Open Text’s previous quarterly dividend of $0.26. Open Text’s dividend payout ratio (DPR) is currently 42.68%.

Analyst Upgrades and Downgrades

Several analysts have recently weighed in on OTEX shares. StockNews.com downgraded Open Text from a “strong-buy” rating to a “buy” rating in a research report on Monday, January 27th. BMO Capital Markets dropped their price objective on Open Text from $33.00 to $32.00 and set a “market perform” rating on the stock in a research note on Friday, November 1st. TD Securities lowered their target price on Open Text from $40.00 to $38.00 and set a “buy” rating for the company in a report on Monday, February 3rd. UBS Group began coverage on Open Text in a research note on Tuesday, December 17th. They set a “neutral” rating and a $32.00 price target on the stock. Finally, Citigroup upped their price objective on shares of Open Text from $30.00 to $32.00 and gave the stock a “neutral” rating in a research note on Friday. Nine research analysts have rated the stock with a hold rating and four have given a buy rating to the stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Hold” and a consensus price target of $35.45.

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.