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TSE:OTEX

Open Text (OTEX.TO)

35.84
+2.02 (5.97%)
as of Oct 13, 2026, 3:29:39 pm Market Open.
500 watching
0
BUY
(Market Call Minute.) Reasonably valued. Has suffered from overreaction to sales misses.
TOP PICK
Slow grower. Likes how they are positioned in enterprise document management. Potential for them to be acquired but they are growing fine on their own. It’s hard to find big names in Canada.
TOP PICK
Enterprise content management. Cheap. Blew away earnings last week. Could get bought out at some point. Levered very well into corporate spending. Have some great partnerships including IBM (IBM-N), Oracle (ORCL-Q) and SAP (SAP-N). Valuation is about 10X earnings, which is relatively cheap. Could easily trade act $70-$80.
DON'T BUY
Software solutions. Well run but doesn’t have a great growth trajectory and doesn’t pay dividends.
PAST TOP PICK
(Top Pick Mar 5/10, Up 12.85%) A valuable asset. Eventually a big US player comes along and buys it.
PAST TOP PICK
(A Top Pick March 5/10. Up 11.55%.) Still a Buy.
PAST TOP PICK
(A Top Pick Dec 23/09. Up 6.62%.) Struggling a little bit in their European operations because of currency problems but still likes.
PAST TOP PICK
(A Top Pick Sept 8/09. Up 21.79%.)
BUY
Technically it is coming out of a multi-year base that he thinks is supportive of higher prices. Likes technology and software as a theme. Have some very attractive assets.
HOLD
Very attractive, one-of-a-kind. About the only great, world-leading independent left in their software area.
COMMENT
Gapped higher in February and then stayed up. History shows that when this happens, it may lead to an “island gap” but also you could have a “breakaway gap”. You want to make sure it does not break support at $47.80.
TOP PICK
Been a controversial name in the past. Benefiting from the growth of data and Emails within corporations. Solid balance sheet. Could be a takeover candidate.
TOP PICK
Companies are investing in their IT infrastructure. There is an explosion in electronic content. They get 85% of revenue from service fees and licensing. Generate a ton of cash. Ultimately they could be a pretty tasty acquisition target.
TOP PICK
Have $250 million+ in cash and growing at 47% a year. Just destroyed their guidance. Trading at only 11X earnings. Licensing revenue is strong.
TOP PICK
Consolidation going on in software and this company is well positioned. Their acquisitions are adding to their existing base pretty well. Compliance software is a growth area that everybody has to have. 11X forward earnings. Generating cash and have lots of cash on the balance sheet.
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