TSE:OTEX
62.02
0.71
(1.16%)
OpenText Corporation is a Canadian company that develops and sells enterprise information management software.
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Analysis and Opinions about OTEX-T
Signal
Opinion
Expert
TOP PICK
TOP PICK
January 28, 2020
He just bought it. He likes the tech space. OTEX is the biggest generator in information management done through software. Info analysis is key for companies to compete globally. OTEX is also in the cloud and supply-chain logistics. All tailwinds. Trades at a low 15x earnings. (Analysts’ price target is $63.57)
Show full opinionHide full opinion
He just bought it. He likes the tech space. OTEX is the biggest generator in information management done through software. Info analysis is key for companies to compete globally. OTEX is also in the cloud and supply-chain logistics. All tailwinds. Trades at a low 15x earnings. (Analysts’ price target is $63.57)
TOP PICK
TOP PICK
January 27, 2020
He's owned this for a while. Any dip, he buys. It went up today during a wide market sell-off. They can expand organically with existing customers. They always do well during market volatility, and always a take-out candidate (and one day it will happen). (Analysts’ price target is $63.36)
He's owned this for a while. Any dip, he buys. It went up today during a wide market sell-off. They can expand organically with existing customers. They always do well during market volatility, and always a take-out candidate (and one day it will happen). (Analysts’ price target is $63.36)
PAST TOP PICK
PAST TOP PICK
January 22, 2020
(A Top Pick Jul 24/19, Up 8%) A big holding of his. They can generate more and more recurring revenue from assets they've purchased. They're also moving into the cloud. Their stable has become more stable, which has been a knock against OTEX in the past. The multiple on earnings has been very low in the past, but OTEX will close that gap as they report this year. They execute very well.
Show full opinionHide full opinion(A Top Pick Jul 24/19, Up 8%) A big holding of his. They can generate more and more recurring revenue from assets they've purchased. They're also moving into the cloud. Their stable has become more stable, which has been a knock against OTEX in the past. The multiple on earnings has been very low in the past, but OTEX will close that gap as they report this year. They execute very well.
BUY WEAKNESS
BUY WEAKNESS
January 21, 2020
A nice up channel, but we're now at the top. So, wait for a pullback to $50 or so to enter. A channel means buyers are willing to buy ever-rising prices, and you can pick your spot in a channel, particularly the midpoint between the top and bottom of that channel.
Show full opinionHide full opinionA nice up channel, but we're now at the top. So, wait for a pullback to $50 or so to enter. A channel means buyers are willing to buy ever-rising prices, and you can pick your spot in a channel, particularly the midpoint between the top and bottom of that channel.
WEAK BUY
WEAK BUY
January 13, 2020
One of the challenges is that it has had a huge run – 35-40%. It is at the point now that it is acquiring bigger companies. It is a quality outfit.
Show full opinionHide full opinionOne of the challenges is that it has had a huge run – 35-40%. It is at the point now that it is acquiring bigger companies. It is a quality outfit.
COMMENT
COMMENT
January 9, 2020
Prefers this to Shopify. Less demanding multiple at 14-15x. Doesn't have the 30-40% gut-wrenching pullbacks, and sometimes boring is beautiful.
Prefers this to Shopify. Less demanding multiple at 14-15x. Doesn't have the 30-40% gut-wrenching pullbacks, and sometimes boring is beautiful.
BUY
BUY
December 17, 2019
A solid long-term hold, but doesn't see a breakout coming. Wouldn't be shocked if another company bought this.
Show full opinionHide full opinionA solid long-term hold, but doesn't see a breakout coming. Wouldn't be shocked if another company bought this.
PAST TOP PICK
PAST TOP PICK
December 9, 2019
(A Top Pick May 07/19, Up 7%) They are great acquirers. Their last acquisition should be 10% accretive, but there are questions about that. But he's not concerned; he's confident based on their track record. Their valuation discount will close when they put up consistent cloud results (which they've been doing) and doing more acquisitions. Buy this int he mid-$50's.
Show full opinionHide full opinion(A Top Pick May 07/19, Up 7%) They are great acquirers. Their last acquisition should be 10% accretive, but there are questions about that. But he's not concerned; he's confident based on their track record. Their valuation discount will close when they put up consistent cloud results (which they've been doing) and doing more acquisitions. Buy this int he mid-$50's.
TOP PICK
TOP PICK
November 14, 2019
It is the most amazing stock. They reported a no-surprise quarter. They just made an acquisition. It has recovered really nicely since July. It is a good core holding. It is fairly tightly held. (Analysts’ price target is $63.07)
Show full opinionHide full opinionIt is the most amazing stock. They reported a no-surprise quarter. They just made an acquisition. It has recovered really nicely since July. It is a good core holding. It is fairly tightly held. (Analysts’ price target is $63.07)
PAST TOP PICK
PAST TOP PICK
November 14, 2019
(A Top Pick May 07/19, Up 10%) Recently got a good kick from recent acquisition. Should be able to make decent money on it. Accretive. Still adding to it.
Show full opinionHide full opinion(A Top Pick May 07/19, Up 10%) Recently got a good kick from recent acquisition. Should be able to make decent money on it. Accretive. Still adding to it.
HOLD
HOLD
November 13, 2019
They development information management software. He has a price target of $44.50 US, which is pretty fairly valued today. It is a leader in enterprise information software.
Show full opinionHide full opinionThey development information management software. He has a price target of $44.50 US, which is pretty fairly valued today. It is a leader in enterprise information software.
BUY
BUY
October 30, 2019
He likes it, but has had a rough time with a proposed takeover of a UK company (https://ca.finance.yahoo.com/news/open-text-weighs-takeover-offer-193049589.html), but many investors bailed on OTEX in reaction. He still likes OTEX's fundamentals.
Show full opinionHide full opinionHe likes it, but has had a rough time with a proposed takeover of a UK company (https://ca.finance.yahoo.com/news/open-text-weighs-takeover-offer-193049589.html), but many investors bailed on OTEX in reaction. He still likes OTEX's fundamentals.
BUY
BUY
October 15, 2019
Sell Fortis and AQN to buy OTEX? AQN is a great utility; they've done a good job growing. He owns Emera in this space. Utilities have done very well until recently when a trade deal looked possible. He'd own OTEX before AQN, because it has generated a higher return on equity historically. Occasionally, OTEX makes a big acquisition to surprise the market in a good way. OTEX is doing more cloud work, which amounts to wider margins.
Sell Fortis and AQN to buy OTEX? AQN is a great utility; they've done a good job growing. He owns Emera in this space. Utilities have done very well until recently when a trade deal looked possible. He'd own OTEX before AQN, because it has generated a higher return on equity historically. Occasionally, OTEX makes a big acquisition to surprise the market in a good way. OTEX is doing more cloud work, which amounts to wider margins.
BUY
BUY
October 10, 2019
Great company. Very diverse client base globally. Strategic partnership with Google should drive revenue and accelerate organic growth. So they won't have to rely as much on acquisitions to drive growth. Not a high P/E ratio. Very capable acquirer in a fragmented industry.
Show full opinionHide full opinionGreat company. Very diverse client base globally. Strategic partnership with Google should drive revenue and accelerate organic growth. So they won't have to rely as much on acquisitions to drive growth. Not a high P/E ratio. Very capable acquirer in a fragmented industry.
STRONG BUY
STRONG BUY
October 7, 2019
It sells at a reasonable valuation. They run a great company. They buy their rivals and bring them in and increase profitability.
Show full opinionHide full opinionIt sells at a reasonable valuation. They run a great company. They buy their rivals and bring them in and increase profitability.
