Brokerages Anticipate Open Text Corp (NASDAQ:OTEX) to Post $0.73 Earnings Per Share

Equities research analysts predict that Open Text Corp (NASDAQ:OTEX) (TSE:OTC) will announce earnings per share (EPS) of $0.73 for the current fiscal quarter, according to Zacks Investment Research. Two analysts have issued estimates for Open Text’s earnings, with the highest EPS estimate coming in at $0.74 and the lowest estimate coming in at $0.71. Open Text reported earnings per share of $0.72 during the same quarter last year, which would suggest a positive year-over-year growth rate of 1.4%. The company is scheduled to report its next earnings results after the market closes on Thursday, August 1st.

According to Zacks, analysts expect that Open Text will report full-year earnings of $2.77 per share for the current fiscal year, with EPS estimates ranging from $2.75 to $2.78. For the next year, analysts expect that the business will report earnings of $2.98 per share, with EPS estimates ranging from $2.95 to $3.01. Zacks’ earnings per share averages are a mean average based on a survey of research firms that that provide coverage for Open Text.

Open Text (NASDAQ:OTEX) (TSE:OTC) last posted its quarterly earnings data on Wednesday, May 1st. The software maker reported $0.27 earnings per share for the quarter, beating the Thomson Reuters’ consensus estimate of $0.08 by $0.19. Open Text had a return on equity of 7.31% and a net margin of 9.57%. The business had revenue of $719.10 million for the quarter, compared to analysts’ expectations of $710.47 million. During the same period in the previous year, the firm posted $0.54 EPS. The business’s revenue was up 4.8% on a year-over-year basis.

A number of brokerages have weighed in on OTEX. Raymond James reiterated a “hold” rating on shares of PrairieSky Royalty in a research note on Thursday. BidaskClub upgraded shares of ZIX from a “buy” rating to a “strong-buy” rating in a research note on Friday, May 3rd. Zacks Investment Research upgraded General Moly from a “sell” rating to a “hold” rating in a research note on Thursday. Finally, Benchmark restated a “buy” rating and issued a $48.00 price objective (up from $42.00) on shares of Open Text in a research note on Thursday. Two equities research analysts have rated the stock with a hold rating and eight have given a buy rating to the company. Open Text presently has an average rating of “Buy” and a consensus target price of $46.09.

A number of institutional investors have recently modified their holdings of the stock. Signaturefd LLC boosted its holdings in Open Text by 6.6% in the 1st quarter. Signaturefd LLC now owns 4,948 shares of the software maker’s stock worth $190,000 after buying an additional 306 shares during the period. Shine Investment Advisory Services Inc. boosted its holdings in Open Text by 18.3% in the 1st quarter. Shine Investment Advisory Services Inc. now owns 2,622 shares of the software maker’s stock worth $101,000 after buying an additional 405 shares during the period. Cambridge Investment Research Advisors Inc. boosted its holdings in Open Text by 5.7% in the 4th quarter. Cambridge Investment Research Advisors Inc. now owns 8,373 shares of the software maker’s stock worth $273,000 after buying an additional 455 shares during the period. Massachusetts Financial Services Co. MA boosted its holdings in Open Text by 2.9% in the 4th quarter. Massachusetts Financial Services Co. MA now owns 19,421 shares of the software maker’s stock worth $633,000 after buying an additional 552 shares during the period. Finally, Meridian Wealth Management LLC bought a new position in Open Text in the 1st quarter worth $25,000. 67.41% of the stock is owned by institutional investors.

NASDAQ OTEX traded down $0.45 during mid-day trading on Friday, reaching $42.50. The stock had a trading volume of 473,548 shares, compared to its average volume of 546,354. Open Text has a 1 year low of $30.99 and a 1 year high of $43.14. The firm has a market cap of $11.48 billion, a PE ratio of 46.70 and a beta of 0.48. The business’s fifty day moving average price is $41.09. The company has a current ratio of 1.38, a quick ratio of 1.38 and a debt-to-equity ratio of 0.68.

The company also recently announced a quarterly dividend, which was paid on Friday, June 21st. Investors of record on Friday, May 31st were issued a $0.1746 dividend. The ex-dividend date of this dividend was Thursday, May 30th. This represents a $0.70 annualized dividend and a yield of 1.64%. This is an increase from Open Text’s previous quarterly dividend of $0.12. Open Text’s dividend payout ratio is currently 76.92%.

About Open Text

Open Text Corporation provides a suite of software products and services. The company offers content services; digital process automation, which enables organizations to transform into digital and data-driven businesses through automation; and discovery suite that provides forensics and unstructured data analytics for searching, collecting, and investigating enterprise data to manage legal obligations and risk.

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