Where Open Text Stands With Analysts
Benzinga Insights 8 months ago
Analyst Ratings
Open Text (NASDAQ:OTEX) has been analyzed by 4 analysts in the last three months, revealing a diverse range of perspectives from bullish to bearish.
The following table provides a quick overview of their recent ratings, highlighting the changing sentiments over the past 30 days and comparing them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 0 | 0 | 4 | 0 | 0 |
| Last 30D | 0 | 0 | 1 | 0 | 0 |
| 1M Ago | 0 | 0 | 2 | 0 | 0 |
| 2M Ago | 0 | 0 | 1 | 0 | 0 |
| 3M Ago | 0 | 0 | 0 | 0 | 0 |
The 12-month price targets assessed by analysts reveal further insights, featuring an average target of $32.25, a high estimate of $37.00, and a low estimate of $26.00. A negative shift in sentiment is evident as analysts have decreased the average price target by 12.24%.
Interpreting Analyst Ratings: A Closer Look
A comprehensive examination of how financial experts perceive Open Text is derived from recent analyst actions. The following is a detailed summary of key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Steven Enders | Citigroup | Lowers | Neutral | $26.00 | $36.00 |
| Paul Treiber | RBC Capital | Lowers | Sector Perform | $30.00 | $33.00 |
| Stephanie Price | CIBC | Lowers | Neutral | $37.00 | $40.00 |
| Steven Enders | Citigroup | Lowers | Neutral | $36.00 | $38.00 |
Key Insights:
- Action Taken: Analysts frequently update their recommendations based on evolving market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Open Text. This information provides a snapshot of how analysts perceive the current state of the company.
- Rating: Offering insights into predictions, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Open Text compared to the broader market.
- Price Targets: Analysts predict movements in price targets, offering estimates for Open Text's future value. Examining the current and prior targets offers insights into analysts' evolving expectations.
Considering these analyst evaluations in conjunction with other financial indicators can offer a comprehensive understanding of Open Text's market position. Stay informed and make well-informed decisions with our Ratings Table.
Stay up to date on Open Text analyst ratings.
All You Need to Know About Open Text
Open Text Corp is engaged in the design, development, marketing, and sale of Information Management software and solutions. Its software allows clients to archive, aggregate, retrieve, and search unstructured information (such as documents, e-mail, and presentations). Its platform and services provide secure and scalable solutions for enterprises, SMBs, governments, and consumers around the world. The company's solutions are marketed and delivered on the OpenText Cloud Platform, which is a comprehensive Information Management platform consisting of six business clouds; Content Cloud, Cybersecurity Cloud, Application Automation Cloud, Business Network Cloud, IT Operations Management Cloud, and Analytics Cloud. Geographically, it derives maximum revenue from the United States.
Key Indicators: Open Text's Financial Health
Market Capitalization Analysis: Positioned below industry benchmarks, the company's market capitalization faces constraints in size. This could be influenced by factors such as growth expectations or operational capacity.
Negative Revenue Trend: Examining Open Text's financials over 3M reveals challenges. As of 31 December, 2025, the company experienced a decline of approximately -0.58% in revenue growth, reflecting a decrease in top-line earnings. When compared to others in the Information Technology sector, the company faces challenges, achieving a growth rate lower than the average among peers.
Net Margin: The company's net margin is a standout performer, exceeding industry averages. With an impressive net margin of 12.67%, the company showcases strong profitability and effective cost control.
Return on Equity (ROE): The company's ROE is a standout performer, exceeding industry averages. With an impressive ROE of 4.21%, the company showcases effective utilization of equity capital.
Return on Assets (ROA): Open Text's ROA excels beyond industry benchmarks, reaching 1.24%. This signifies efficient management of assets and strong financial health.
Debt Management: Open Text's debt-to-equity ratio is notably higher than the industry average. With a ratio of 1.63, the company relies more heavily on borrowed funds, indicating a higher level of financial risk.
Analyst Ratings: Simplified
Benzinga tracks 150 analyst firms and reports on their stock expectations. Analysts typically arrive at their conclusions by predicting how much money a company will make in the future, usually the upcoming five years, and how risky or predictable that company's revenue streams are.
Analysts attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish their ratings on stocks. Analysts typically rate each stock once per quarter or whenever the company has a major update.
Some analysts also offer predictions for helpful metrics such as earnings, revenue, and growth estimates to provide further guidance as to what to do with certain tickers. It is important to keep in mind that while stock and sector analysts are specialists, they are also human and can only forecast their beliefs to traders.
This article was generated by Benzinga's automated content engine and reviewed by an editor.