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

Open Text Corporation (NASDAQ:OTEX) (TSE:OTC) announced a quarterly dividend on Wednesday, February 4th. Investors of record on Friday, March 6th will be given a dividend of 0.275 per share by the software maker on Friday, March 20th. This represents a c) dividend on an annualized basis and a yield of 4.5%. The ex-dividend date of this dividend is Friday, March 6th.

Open Text has decreased its dividend by an average of 0.1%per year over the last three years. Open Text has a dividend payout ratio of 26.4% indicating that its dividend is sufficiently covered by earnings. Equities research analysts expect Open Text to earn $3.78 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 29.1%.

Open Text Trading Up 7.9%

Shares of Open Text stock traded up $1.81 during midday trading on Friday, reaching $24.60. The company had a trading volume of 1,896,603 shares, compared to its average volume of 1,867,203. The stock has a fifty day moving average price of $31.28 and a 200 day moving average price of $33.46. Open Text has a fifty-two week low of $22.44 and a fifty-two week high of $39.90. The firm has a market cap of $6.19 billion, a PE ratio of 12.88 and a beta of 1.08. The company has a debt-to-equity ratio of 1.60, a current ratio of 0.87 and a quick ratio of 0.87.

Open Text (NASDAQ:OTEX) (TSE:OTC) last released its earnings results on Wednesday, November 5th. The software maker reported $1.05 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.00 by $0.05. Open Text had a net margin of 9.60% and a return on equity of 23.44%. The business had revenue of $1.31 billion for the quarter, compared to analyst estimates of $1.27 billion. During the same quarter in the previous year, the business earned $0.93 earnings per share. Open Text’s revenue for the quarter was up 1.5% on a year-over-year basis. On average, equities analysts anticipate that Open Text will post 3.45 earnings per share for the current year.

Institutional Inflows and Outflows

Institutional investors have recently made changes to their positions in the company. Goldman Sachs Group Inc. increased its position in Open Text by 75.8% during the 1st quarter. Goldman Sachs Group Inc. now owns 1,437,335 shares of the software maker’s stock valued at $36,307,000 after buying an additional 619,527 shares in the last quarter. United Services Automobile Association purchased a new stake in Open Text during the 1st quarter valued at $213,000. Callan Family Office LLC bought a new position in Open Text in the second quarter valued at about $250,000. Vest Financial LLC lifted its stake in shares of Open Text by 8.2% in the 2nd quarter. Vest Financial LLC now owns 13,769 shares of the software maker’s stock worth $402,000 after purchasing an additional 1,045 shares during the period. Finally, Sequoia Financial Advisors LLC bought a new position in Open Text in the second quarter worth approximately $268,000. Institutional investors own 70.37% of the company’s stock.

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.