TSE:OTEX
55.39
0.07
(0.13%)
OpenText Corporation is a Canadian company that develops and sells enterprise information management software.
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Analysis and Opinions about OTEX-T
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PAST TOP PICK
PAST TOP PICK
May 4, 2021
(A Top Pick May 01/20, Up 11%) They have a global presence; 95% of revenue lies outside Canada, mostly Europe and US. They have a huge of base of 10,000 enterprises. During the pandemic, people worked from home. Also, this is a growth by acquisition story. The current 11% return is inline with historic returns. This compounds and grows by buying business. Boring, but it works. It beats the TSX tech index.
Show full opinionHide full opinion
(A Top Pick May 01/20, Up 11%) They have a global presence; 95% of revenue lies outside Canada, mostly Europe and US. They have a huge of base of 10,000 enterprises. During the pandemic, people worked from home. Also, this is a growth by acquisition story. The current 11% return is inline with historic returns. This compounds and grows by buying business. Boring, but it works. It beats the TSX tech index.
COMMENT
COMMENT
April 23, 2021
Lots of Canadians seem to pour money into Constellation Software but for him, there is no real strategy. For Open Text there is a taxation issue with the IRS and also they need another acquisition. For an acquisition and control point of view, although CSU has outperformed, he thinks OTEX is the better choice. Has OTEX stocks and would buy at these levels.
Lots of Canadians seem to pour money into Constellation Software but for him, there is no real strategy. For Open Text there is a taxation issue with the IRS and also they need another acquisition. For an acquisition and control point of view, although CSU has outperformed, he thinks OTEX is the better choice. Has OTEX stocks and would buy at these levels.
PAST TOP PICK
PAST TOP PICK
March 5, 2021
(A Top Pick Mar 10/20, Up 5%) Inexpensive at 14x earnings. Earnings have grown at 13%. A secular grower. 600 open jobs right now that are work from anywhere jobs which opens up the talent pool. Great innovator and a great consolidator. Continues to buy it here.
Show full opinionHide full opinion(A Top Pick Mar 10/20, Up 5%) Inexpensive at 14x earnings. Earnings have grown at 13%. A secular grower. 600 open jobs right now that are work from anywhere jobs which opens up the talent pool. Great innovator and a great consolidator. Continues to buy it here.
BUY
BUY
February 26, 2021
Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. The stock seems to be out of favour but it has done well over the long term. The stock is cheap at these levels following a weak year last year. EPS should increase from $0.99 to $3.25 in 2021. A good recovery year is expected. Unlock Premium - Try 5i Free
Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. The stock seems to be out of favour but it has done well over the long term. The stock is cheap at these levels following a weak year last year. EPS should increase from $0.99 to $3.25 in 2021. A good recovery year is expected. Unlock Premium - Try 5i Free
PAST TOP PICK
PAST TOP PICK
February 10, 2021
(A Top Pick Feb 07/20, Up 3%) Boring little software company that's trying to integrate into the cloud. Just keeps chugging along, increasing the dividend and delivering recurring revenues, paying down debt, making acquisitions. Still a very attractive buy.
Show full opinionHide full opinion(A Top Pick Feb 07/20, Up 3%) Boring little software company that's trying to integrate into the cloud. Just keeps chugging along, increasing the dividend and delivering recurring revenues, paying down debt, making acquisitions. Still a very attractive buy.
BUY
BUY
February 5, 2021
Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. EPS of 95 cents beat estimates by 12%. Sales were 5% better and EBITDA was 10% better. Sales rose strongly with EPS rising by 13%. Overall things look pretty good and 5i considers it a buy. Unlock Premium - Try 5i Free
Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. EPS of 95 cents beat estimates by 12%. Sales were 5% better and EBITDA was 10% better. Sales rose strongly with EPS rising by 13%. Overall things look pretty good and 5i considers it a buy. Unlock Premium - Try 5i Free
TOP PICK
TOP PICK
February 3, 2021
Poster child for growth by acquisition strategy. Cloud and site-based content management. Quite large installed user base. Strong balance sheet. Almost 90% of revenues are recurring. Almost 95% of revenue is outside Canada. Great consolidator with accretive acquisitions. Earnings report tomorrow, and share price could pop. Yield is 1.74%. (Analysts’ price target is $66.21)
Show full opinionHide full opinionPoster child for growth by acquisition strategy. Cloud and site-based content management. Quite large installed user base. Strong balance sheet. Almost 90% of revenues are recurring. Almost 95% of revenue is outside Canada. Great consolidator with accretive acquisitions. Earnings report tomorrow, and share price could pop. Yield is 1.74%. (Analysts’ price target is $66.21)
BUY WEAKNESS
BUY WEAKNESS
January 21, 2021
Well-run. Price target of $52US, so still room to go. Develops and sells enterprise information management software. Helps decision-making. Organic growth plus acquisitions. Wait for a pullback to low $40s, but he's said this before and is still waiting.
Show full opinionHide full opinionWell-run. Price target of $52US, so still room to go. Develops and sells enterprise information management software. Helps decision-making. Organic growth plus acquisitions. Wait for a pullback to low $40s, but he's said this before and is still waiting.
HOLD
HOLD
January 11, 2021
DSG-T vs. OTEX-T which to sell to raise cash? DSG-T, if you own it, you would have done very well, but the fair market value is 78% lower than where it is at now. There is a lot of momentum behind it but not a lot of value. OTEX-T is trading right at its fair market value and has not been above that in ten years. He would sell either one if you want a source of cash.
DSG-T vs. OTEX-T which to sell to raise cash? DSG-T, if you own it, you would have done very well, but the fair market value is 78% lower than where it is at now. There is a lot of momentum behind it but not a lot of value. OTEX-T is trading right at its fair market value and has not been above that in ten years. He would sell either one if you want a source of cash.
BUY
BUY
December 21, 2020
He has his eyes on it. It is on the short list for tech companies. They are in touch with 40% of tech companies around the world as potential customers. They only have a 10% penetration of their products within their customers. They have more credibility today because of the cloud. They should be able to achieve a decent organic growth rate in addition to their acquisitions strategies.
Show full opinionHide full opinionHe has his eyes on it. It is on the short list for tech companies. They are in touch with 40% of tech companies around the world as potential customers. They only have a 10% penetration of their products within their customers. They have more credibility today because of the cloud. They should be able to achieve a decent organic growth rate in addition to their acquisitions strategies.
BUY
BUY
November 27, 2020
vs. CN Rail It did well, though not as well as the FAANGs. He's pared his holding. You can't compare this with CN--completely different industries. You can own both though. CN may do better than OTEX.
BUY WEAKNESS
BUY WEAKNESS
October 22, 2020
Geared to the enterprise, not the consumer. Helps digitalize processes in the supply chain, through analytics and AI. Well diversified client base, recurring revenues. Target of US$52.05. Can start to nibble here. Consistent double-digit growth rate. Buy it with a $30 handle on it.
Geared to the enterprise, not the consumer. Helps digitalize processes in the supply chain, through analytics and AI. Well diversified client base, recurring revenues. Target of US$52.05. Can start to nibble here. Consistent double-digit growth rate. Buy it with a $30 handle on it.
PAST TOP PICK
PAST TOP PICK
September 10, 2020
(A Top Pick Sep 04/19, Up 9%) Provides software to medium/large businesses. It does cloud and content management for companies, so demand is high. 80% of revenues are recurring with high margins. They're seeing strength in government and healthcare. Their Q4 2020 earnings blew past estimates, growing an impressive 11% YOY during a recession. Continues to buy it.
Show full opinionHide full opinion(A Top Pick Sep 04/19, Up 9%) Provides software to medium/large businesses. It does cloud and content management for companies, so demand is high. 80% of revenues are recurring with high margins. They're seeing strength in government and healthcare. Their Q4 2020 earnings blew past estimates, growing an impressive 11% YOY during a recession. Continues to buy it.
COMMENT
COMMENT
August 25, 2020
Why is it lagging its Canadian tech peers? They're a little different from Shopify, etc. because they provide AI and cybersecurity to clients. It's up only 2% YTD. The market must be patient with their acquisitions to be accretive, and OTEX is a serial buyer. It drives him crazy that they issue bonds. But growing revenues are possible and they keep increasing their dividend. He owns this plus Shopify and Enghouse.
Why is it lagging its Canadian tech peers? They're a little different from Shopify, etc. because they provide AI and cybersecurity to clients. It's up only 2% YTD. The market must be patient with their acquisitions to be accretive, and OTEX is a serial buyer. It drives him crazy that they issue bonds. But growing revenues are possible and they keep increasing their dividend. He owns this plus Shopify and Enghouse.
BUY
BUY
August 4, 2020
Open Text vs. Docebo He prefers OTEX, hands-down. OTEX is a former top pick. Likes their strategy and cloud-based business. They're an active acquirer of other businesses. Offers decent organic growth, not as good as Shopify but with a far lower PE than the latter around 15x. A stable cash flow, too.
Open Text vs. Docebo He prefers OTEX, hands-down. OTEX is a former top pick. Likes their strategy and cloud-based business. They're an active acquirer of other businesses. Offers decent organic growth, not as good as Shopify but with a far lower PE than the latter around 15x. A stable cash flow, too.
Open Text(OTEX-T) Rating
Ranking : 5 out of 5
Bullish - Buy Signals / Votes : 20
Neutral - Hold Signals / Votes : 1
Bearish - Sell Signals / Votes : 0
Total Signals / Votes : 21
Open Text(OTEX-T) Frequently Asked Questions
What is Open Text stock symbol?
Open Text is a Canadian stock, trading under the symbol OTEX-T on the Toronto Stock Exchange (OTEX-CT). It is usually referred to as TSX:OTEX or OTEX-T
Is Open Text a buy or a sell?
In the last year, 21 stock analysts published opinions about OTEX-T. 20 analysts recommended to BUY the stock. 0 analysts recommended to SELL the stock. The latest stock analyst recommendation is PAST TOP PICK. Read the latest stock experts' ratings for Open Text.
Is Open Text a good investment or a top pick?
Open Text was recommended as a Top Pick by Brian Madden on 2021-05-04. Read the latest stock experts ratings for Open Text.
Why is Open Text stock dropping?
Earnings reports or recent company news can cause the stock price to drop. Read stock experts’ recommendations for help on deciding if you should buy, sell or hold the stock.
Is Open Text worth watching?
21 stock analysts on Stockchase covered Open Text In the last year. It is a trending stock that is worth watching.
What is Open Text stock price?
On 2021-05-13, Open Text (OTEX-T) stock closed at a price of $55.39.
