Open Text Corp (NASDAQ: OTEX) has reported earnings for its third fiscal quarter (ending March 31) of $0.36 versus $0.21 for the same period a year ago — an increase of 71%. However, this result fell short of the consensus estimate of $1.06 by $-0.70. For the latest four quarters through March 31, E.P.S. were $0.62 versus $1.12 for the same period a year ago — a decline of -45%.
Recent Price Action
Open Text Corp (NASDAQ: OTEX) stock rose modestly by 0.3% on 5/2/24. The stock closed at $35.47. Moreover, trading volume in this advance was above average at 136% of normal. The stock has performed in line with the market over the last nine months and has declined -1.5% during the last week.
Current PriceTarget Research Rating
OTEX’s future returns on capital are forecasted to be above the cost of capital. Accordingly, the company is expected to continue to be a major Value Builder.
Open Text has a current Value Trend Rating of C (High Neutral). With this rating, PTR’s two proprietary measures of a stock’s current attractiveness are providing inconsistent signals. Open Text has a good Appreciation Score of 74 but a neutral Power Rating of 46, with the High Neutral Value Trend Rating the result.
Rating Review
In light of this new information we are reviewing our current Overall Rating of C. This review will be completed in the next several days.
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