Open Text (NASDAQ:OTEX) Posts Quarterly Earnings Results, Beats Estimates By $0.05 EPS

Open Text (NASDAQ:OTEX) (TSE:OTC) released its quarterly earnings data 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. The business had revenue of $1.36 billion during the quarter, compared to analysts’ expectations of $1.41 billion. Open Text had a return on equity of 25.22% and a net margin of 8.06%. The business’s quarterly revenue was down 8.6% compared to the same quarter last year. During the same period in the prior year, the firm posted $0.79 EPS.

Open Text Stock Performance

NASDAQ OTEX traded down $2.00 on Friday, hitting $28.49. 1,139,908 shares of the company’s stock were exchanged, compared to its average volume of 580,666. The company has a debt-to-equity ratio of 2.01, a current ratio of 1.40 and a quick ratio of 1.40. The firm’s 50-day moving average price is $30.01 and its two-hundred day moving average price is $34.82. Open Text has a fifty-two week low of $27.54 and a fifty-two week high of $45.47. The firm has a market cap of $7.63 billion, a price-to-earnings ratio of 45.95 and a beta of 1.12.

Open Text Cuts Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, September 20th. Shareholders of record on Friday, August 30th will be given a dividend of $0.192 per share. This represents a $0.77 annualized dividend and a yield of 2.70%. The ex-dividend date is Friday, August 30th. Open Text’s payout ratio is 161.29%.

Analyst Ratings Changes

Several research firms have recently issued reports on OTEX. Barclays lowered their price objective on Open Text from $44.00 to $38.00 and set an “equal weight” rating for the company in a research report on Friday, May 3rd. Jefferies Financial Group reduced their target price on Open Text from $42.00 to $35.00 and set a “buy” rating for the company in a report on Friday. CIBC reduced their target price on Open Text from $36.00 to $33.00 and set a “neutral” rating for the company in a report on Friday, July 19th. National Bank Financial downgraded Open Text from an “outperform” rating to a “sector perform” rating in a report on Friday. Finally, StockNews.com raised Open Text from a “hold” rating to a “buy” rating in a report on Saturday, May 11th. Eight equities research analysts have rated the stock with a hold rating and five have assigned a buy rating to the stock. According to data from MarketBeat.com, the stock currently has an average rating of “Hold” and an average price target of $38.80.

About Open Text

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.