Open Text (OTEX.TO) Buy, Sell or Hold

Home

Daily Stock Opinions and Ratings

Open Text (OTEX.TO)

31.06

+0.54 (1.77%)

as of Jun 12, 2026, 8:00:00 pm Market Open.

501 watching

Investor Insights

Jun 14, 2026, 12:00 am

This summary was created by AI, based on 20 opinions in the last 12 months.

Open Text (OTEX) faces significant challenges as the company navigates a disruptive AI landscape that is reshaping software pricing models and contract renewals. Experts highlight a recent selloff, with concerns about its growth strategy, predominantly driven by acquisitions that have not yielded substantial success. The stock has experienced technical breakdowns, slipping below key support levels, and the company's management changes add to investor uncertainty. Despite some potential for recovery, many experts suggest exploring higher-quality software companies with better execution and growth prospects. Overall, OTEX is perceived as struggling with organic growth while competing with stronger players in the industry.

Consensus

Avoid

Valuation

Overvalued

Similar

Salesforce, CRM

BUY

Allan Tong’s Discover Picks I wrote about this stock recently, so I won't repeat my assessment here. However, I will sum things up by saying that OTEX has increased only 5.3% year-to-date, but has the potential to perform much better once the U.S. contains COVID-19 and gets back on the economic track. Read Top 5 Canadian Tech Stocks (DOCKS): Can they skyrocket like the FAANGs? for our full analysis.

Wealthica Track your Stocks in your Watch List

BUY

Great Canadian company. Impressive long-term chart. Long-term holders have been well rewarded. Balance sheet is a little leveraged. A liability with the US CCRA is due. Good scale, growth profile, and dividend. Will probably move forward after Covid. Good risk-adjusted return to buy and hold.

BUY

Allan Tong’s Discover Picks For growth, this Canadian IT stock deserves a look. It’s been overshadowed by mega-grower, Shopify, and the American tech titans. Year-to-date, OTEX has risen over 4%. Not bad, but tech stock specialist Kim Bolton sees opportunity for it to grow within the red-hot cloud computing space. True, OTEX trades at a PE of 43x, though that’s nothing compared to Shopify and Lightspeed POS. Read Top 4 BNN Stock Picks to Buy this Summer for our full analysis.

BUY ON WEAKNESS

A darling in the space and he has been trying to buy it. They are Canada's leader in enterprise information management. It offers its customers great economies of scale and they have many opportunities to extract value in the cloud space. In their latest release they delivered great revenue and cash flow growth. If it ever becomes affordable he will buy and use options to ensure he can hold it for the long term. (Analysts’ price target is $62.00)

PAST TOP PICK

(A Top Pick Sep 09/19, Up 8%) They continue to grow by acquisition, adding some AI. It's been a great grower in recent years. Its valuation is low at only 10x operating cash flows with 12-14x earnings. Not a high-flyer like its tech peers, but he still likes it and will hold it.

STRONG BUY

Has long owned this cloud computing stock. It's acquisitive. 75% of revenues are recurring. Q1 results reflect the work-at-home trend has benefited them. They have 100 million+ users across the world with 90% of revenues outside Canada, namely the U.S. They do an amazing job of synergizing companies they buy. Over decades they outperform the Canadian tech sector. You can buy this and sleep at night.

BUY ON WEAKNESS

It is always on their radar and he kicks himself for not buying on the recent sell off. Very much a leader in information management services, especially under the trend in working from home. He had an entry point in the lower $30s, so he will have to wait to buy on weakness. They picked up a few companies that have expanded their cloud margins and cross-selling opportunities.

PAST TOP PICK

(A Top Pick May 07/19, Up 12%) At the time he thought they would make an acquisition and they did, adding a cloud based company. They install and sell cloud services. As they continue moving into the cloud the multiples will continue to rise.

Wealthica Track your Stocks in your Watch List

TOP PICK

A large company with $15 billion marketcap. They are involved in data search and capture. The dividend is well covered with only a 21% payout ratio of cash flow. Recent quarterly reported a 13% sales growth. Earnings expected to grow by 14% next year. Yield 1.7% (Analysts’ price target is $62.21)

WAIT

Tech is looking a little overvalued at presence and he has started trimming back. Look for a pullback before buying. This one would be a buy then.

BUY ON WEAKNESS

It is involved in enterprise information management software. They are a darling in the space. Users of their software are the largest users in the space. They picked up some interesting companies to expand cloud revenues. Yesterday, they bought a company out of Quebec that offers a great cross-selling opportunity. He has a target of $43, but is looking to buy in the low $30s.

COMMENT

Canadian tech? OTEX and SHOP would be good Canadian tech companies, along with CSU. All well situated for the cloud and e-commerce. He expects to see a market correction, so would wait for lower pricing.

TOP PICK

They reported Q3 earnings last night and they were strong results. They do enterprise content and information management through site and cloud based delivery. They have 10,000 companies and 97% of revenue comes from outside Canada. Over 20 years their ROE has averaged over 14% -- triple the TSX average. They are partnering with Amazon web services. Boring tech can be beautiful. Yield 1.86% (Analysts’ price target is $62.51)

BUY

On-premise and cloud based business tools that are not discretionary. It is a fairly innovative company and they grow by acquisition. The financial strength is good but there is a law suit regarding taxes. Longer term they should grow double digits. It has held up well in the selloff.

TOP PICK

A cloud IT services company. Very profitable as a rapid growth by acquisition story, spending $6.2 billion in the last 5-6 years. Good valuation and are operating in a growing market. They have 10,000 unique clients in 100 countries, so little concentration risk. (Analysts’ price target is $69.52)

Showing 106 to 120 of 461 entries

Most Recent Experts

Jim Cramer - Mad Money

CNBC

Richard Orrell

RN Croft Financial Group

Stockchase Insights

5i Research

The Panic-Proof Portfolio (Stockchase Research)

Stockchase Premium

Stan Wong

Private Wealth Management, ScotiaMcleod

Stockchase, in its reporting on what has been discussed by individuals on business television programs (in particular Business News Network), neither recommends nor promotes any investment strategies.

We paraphrase the experts by hand, we watch the shows and write down what we understood from the experts’ comments. We are human and can make mistakes, help us fix any errors. If you see something that you know is not right or if there is a problem with the site, feel free to email us at : [email protected].

Summer Sale

Open Text (OTEX.TO)

Open Text(OTEX.TO)

Open Text(OTEX.TO)

Open Text(OTEX.TO)

Open Text(OTEX.TO)

Open Text(OTEX.TO)

Open Text(OTEX.TO)

Open Text(OTEX.TO)

Open Text(OTEX.TO)

Open Text(OTEX.TO)

Open Text(OTEX.TO)

Open Text(OTEX.TO)

Open Text(OTEX.TO)

Open Text(OTEX.TO)

Open Text(OTEX.TO)

Open Text(OTEX.TO)

Open Text (OTEX.TO) Frequently Asked Questions

What is Open Text stock symbol?

Is Open Text a buy or a sell?

Is Open Text a good investment or a top pick?

Why is Open Text stock dropping?

Is Open Text worth watching?

What is Open Text stock price?

Latest Buy Signals

Today's Top Picks

Popular Articles

Latest Sell Signals

Most Recent Experts

Jim Cramer - Mad Money

Richard Orrell

Stockchase Insights

The Panic-Proof Portfolio (Stockchase Research)

Stan Wong