New South Capital Management Inc. Has $84.63 Million Position in Open Text Co. (NASDAQ:OTEX)

New South Capital Management Inc. lowered its stake in Open Text Co. (NASDAQ:OTEX) (TSE:OTC) by 1.6% during the 3rd quarter, according to its most recent Form 13F filing with the SEC. The institutional investor owned 2,543,084 shares of the software maker’s stock after selling 41,624 shares during the period. Open Text makes up about 3.5% of New South Capital Management Inc.’s investment portfolio, making the stock its 7th largest holding. New South Capital Management Inc.’s holdings in Open Text were worth $84,634,000 as of its most recent filing with the SEC.

Other institutional investors and hedge funds also recently modified their holdings of the company. Headlands Technologies LLC purchased a new position in Open Text during the first quarter valued at approximately $32,000. Blue Trust Inc. grew its stake in Open Text by 435.7% in the third quarter. Blue Trust Inc. now owns 975 shares of the software maker’s stock valued at $32,000 after purchasing an additional 793 shares in the last quarter. Ridgewood Investments LLC acquired a new position in Open Text in the 2nd quarter worth about $30,000. Kimelman & Baird LLC purchased a new stake in shares of Open Text during the 2nd quarter worth about $36,000. Finally, Cromwell Holdings LLC lifted its holdings in shares of Open Text by 29.6% during the 3rd quarter. Cromwell Holdings LLC now owns 1,663 shares of the software maker’s stock valued at $55,000 after buying an additional 380 shares during the last quarter. Institutional investors and hedge funds own 70.37% of the company’s stock.

Open Text Price Performance

OTEX stock traded up $0.26 during trading on Tuesday, hitting $29.99. The company had a trading volume of 32,007 shares, compared to its average volume of 637,205. The company has a market cap of $7.97 billion, a P/E ratio of 17.18 and a beta of 1.13. The company has a fifty day moving average price of $32.42 and a two-hundred day moving average price of $31.31. Open Text Co. has a fifty-two week low of $27.50 and a fifty-two week high of $45.47. The company has a current ratio of 0.79, a quick ratio of 0.79 and a debt-to-equity ratio of 1.54.

Open Text (NASDAQ:OTEX) (TSE:OTC) last announced its quarterly earnings results on Thursday, October 31st. The software maker reported $0.93 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.80 by $0.13. The firm had revenue of $1.27 billion during the quarter, compared to the consensus estimate of $1.28 billion. Open Text had a net margin of 8.35% and a return on equity of 24.34%. The firm’s quarterly revenue was down 11.0% on a year-over-year basis. During the same period last year, the firm posted $0.90 EPS. Equities research analysts expect that Open Text Co. will post 3.37 earnings per share for the current fiscal year.

Open Text Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, December 20th. Shareholders of record on Friday, November 29th will be paid a $0.262 dividend. The ex-dividend date is Friday, November 29th. This represents a $1.05 dividend on an annualized basis and a yield of 3.49%. This is a positive change from Open Text’s previous quarterly dividend of $0.19. Open Text’s payout ratio is currently 60.69%.

Analysts Set New Price Targets

Several equities analysts recently weighed in on the stock. National Bankshares lowered shares of Open Text from an “outperform” rating to a “sector perform” rating and set a $38.00 price objective on the stock. in a research report on Friday, August 2nd. CIBC reduced 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 note on Friday, July 19th. Scotiabank lowered their target price on shares of Open Text from $40.00 to $35.00 and set a “sector perform” rating on the stock in a research report on Friday, November 1st. Citigroup decreased their price target on Open Text from $34.00 to $33.00 and set a “neutral” rating for the company in a research note on Friday, November 1st. Finally, Royal Bank of Canada downgraded shares of Open Text from an “outperform” rating to a “sector perform” rating and decreased their price objective for the stock from $45.00 to $33.00 in a report on Friday, November 1st. Eight research analysts have rated the stock with a hold rating and four have assigned a buy rating to the stock. According to data from MarketBeat, the company currently has an average rating of “Hold” and a consensus price target of $35.90.

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.