Open Text Corporation (NASDAQ:OTEX) Declares Quarterly Dividend of $0.28

Open Text Corporation (NASDAQ:OTEX) (TSE:OTC) announced a quarterly dividend on Tuesday, May 5th. Investors of record on Friday, June 5th will be paid a dividend of 0.275 per share by the software maker on Friday, June 19th. This represents a c) annualized dividend and a dividend yield of 4.4%. The ex-dividend date of this dividend is Friday, June 5th.

Open Text has decreased its dividend payment by an average of 0.1%per year over the last three years. Open Text has a payout ratio of 26.4% indicating that its dividend is sufficiently covered by earnings. Analysts expect Open Text to earn $4.32 per share next year, which means the company should continue to be able to cover its $1.10 annual dividend with an expected future payout ratio of 25.5%.

Open Text Stock Down 2.3%

Shares of NASDAQ:OTEX opened at $24.79 on Wednesday. The company has a debt-to-equity ratio of 1.56, a quick ratio of 0.94 and a current ratio of 0.94. The company has a market cap of $6.02 billion, a PE ratio of 12.09 and a beta of 1.05. Open Text has a 52 week low of $20.00 and a 52 week high of $39.90. The firm has a 50 day simple moving average of $22.83 and a 200 day simple moving average of $27.04.

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

Analyst Upgrades and Downgrades

Several research firms have weighed in on OTEX. Citigroup dropped their price objective on shares of Open Text from $26.00 to $25.00 and set a “neutral” rating on the stock in a research note on Friday, May 8th. Barclays upped their price objective on shares of Open Text from $25.00 to $27.00 and gave the company an “equal weight” rating in a research note on Monday, May 11th. Scotia dropped 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 research note on Friday, May 8th. UBS Group set a $25.00 price objective on shares of Open Text in a research note on Friday, May 8th. Finally, Scotiabank dropped 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 research note on Friday, May 8th. Four analysts have rated the stock with a Buy rating and ten have assigned a Hold rating to the company. According to data from MarketBeat, the company has an average rating of “Hold” and a consensus price target of $33.67.

Open Text Company Profile

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.