Royal Bank of Canada Acquires 965,385 Shares of Open Text Corporation $OTEX

Royal Bank of Canada boosted its holdings in shares of Open Text Corporation (NASDAQ:OTEX) (TSE:OTC) by 10.9% during the first quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The fund owned 9,843,494 shares of the software maker’s stock after buying an additional 965,385 shares during the quarter. Royal Bank of Canada’s holdings in Open Text were worth $218,920,000 at the end of the most recent reporting period.

A number of other hedge funds also recently made changes to their positions in OTEX. CIBC Private Wealth Group LLC bought a new position in shares of Open Text during the 3rd quarter worth approximately $33,000. WealthCollab LLC raised its stake in Open Text by 39.5% in the 2nd quarter. WealthCollab LLC now owns 1,640 shares of the software maker’s stock valued at $48,000 after acquiring an additional 464 shares during the period. Caitong International Asset Management Co. Ltd lifted its holdings in Open Text by 5,096.8% during the 4th quarter. Caitong International Asset Management Co. Ltd now owns 1,611 shares of the software maker’s stock valued at $52,000 after purchasing an additional 1,580 shares during the last quarter. Osaic Holdings Inc. lifted its holdings in Open Text by 108.8% during the 2nd quarter. Osaic Holdings Inc. now owns 1,798 shares of the software maker’s stock valued at $52,000 after purchasing an additional 937 shares during the last quarter. Finally, EverSource Wealth Advisors LLC boosted its position in Open Text by 39.7% during the second quarter. EverSource Wealth Advisors LLC now owns 2,005 shares of the software maker’s stock worth $59,000 after purchasing an additional 570 shares during the period. 70.37% of the stock is owned by institutional investors and hedge funds.

Analysts Set New Price Targets

Several research firms have commented on OTEX. Scotia decreased their price objective on shares of Open Text from $50.00 to $40.00 and set a “sector outperform” rating on the stock in a report on Friday, May 8th. UBS Group set a $25.00 target price on shares of Open Text in a report on Friday, May 8th. Wall Street Zen lowered shares of Open Text from a “strong-buy” rating to a “buy” rating in a research note on Tuesday. Citigroup lowered their price target on shares of Open Text from $26.00 to $25.00 and set a “neutral” rating on the stock in a report on Friday, May 8th. Finally, Weiss Ratings restated a “hold (c-)” rating on shares of Open Text in a research report on Wednesday, June 24th. Four analysts have rated the stock with a Buy rating and ten have given a Hold rating to the company. Based on data from MarketBeat, Open Text presently has an average rating of “Hold” and an average price target of $33.67.

Open Text Price Performance

NASDAQ:OTEX opened at $25.88 on Thursday. Open Text Corporation has a 52 week low of $19.77 and a 52 week high of $39.90. The firm has a market cap of $6.27 billion, a price-to-earnings ratio of 12.62 and a beta of 1.04. The firm’s 50-day simple moving average is $22.74 and its 200 day simple moving average is $23.87. The company has a debt-to-equity ratio of 1.56, a quick ratio of 0.94 and a current ratio of 0.94.

Open Text (NASDAQ:OTEX) (TSE:OTC) last posted its quarterly earnings data on Thursday, May 7th. The software maker reported $1.01 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.94 by $0.07. Open Text had a net margin of 9.91% and a return on equity of 24.77%. The firm had revenue of $1.28 billion during the quarter, compared to the consensus estimate of $1.26 billion. During the same quarter in the previous year, the firm posted $0.82 EPS. The business’s revenue for the quarter was up 2.2% compared to the same quarter last year. As a group, sell-side analysts predict that Open Text Corporation will post 4.05 earnings per share for the current year.

Open Text Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, June 19th. Stockholders of record on Friday, June 5th were given a $0.275 dividend. This represents a $1.10 dividend on an annualized basis and a dividend yield of 4.3%. The ex-dividend date was Friday, June 5th. Open Text’s payout ratio is presently 53.66%.

About Open Text

Open Text Corporation is a Canadian enterprise information management (EIM) software company that develops solutions for organizations seeking to manage, protect and extract insight from their unstructured and structured data. The company’s platform encompasses document management, records management, digital asset management and archiving, enabling companies to govern information across its lifecycle.

Open Text’s product suite includes content services, business process management, customer experience management, analytics and security products.