Open Text (OTEX) Declares $0.00 Dividend
Open Text said on February 2, 2023 that its board of directors declared a regular quarterly dividend of $0.00 per share ($0.00 annualized). Shareholders of record as of March 2, 2023 will receive the payment on March 23, 2023. Previously, the company paid $0.00 per share.
At the current share price of $35.41 / share, the stock's dividend yield is 0.00%. Looking back five years and taking a sample every week, the average dividend yield has been 1.89%, the lowest has been 1.44%, and the highest has been 3.71%. The standard deviation of yields is 0.49 (n=236).
The current dividend yield is 3.87 standard deviations below the historical average.
Additionally, the company's dividend payout ratio is 0.82. The payout ratio tells us how much of a company's income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company's income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend - not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5.
The company's 3-Year dividend growth rate is 0.39%, demonstrating that it has increased its dividend over time.
Analyst Price Forecast Suggests 3.31% Upside
As of February 9, 2023, the average one-year price target for Open Text is $36.58. The forecasts range from a low of $28.03 to a high of $47.01. The average price target represents an increase of 3.31% from its latest reported closing price of $35.41.
The projected annual revenue for Open Text is $3,540MM, an increase of 0.16%. The projected annual EPS is $3.21, an increase of 172.52%.
What is the Fund Sentiment?
There are 489 funds or institutions reporting positions in Open Text. This is a decrease of 15 owner(s) or 2.98% in the last quarter. Average portfolio weight of all funds dedicated to OTEX is 0.27%, a decrease of 7.84%. Total shares owned by institutions increased in the last three months by 4.88% to 191,577K shares. The put/call ratio of OTEX is 0.65, indicating a bullish outlook.
What are large shareholders doing?
Jarislowsky, Fraser holds 14,874K shares representing 5.57% ownership of the company. In it's prior filing, the firm reported owning 15,138K shares, representing a decrease of 1.77%. The firm decreased its portfolio allocation in OTEX by 24.59% over the last quarter.
Royal Bank Of Canada holds 12,060K shares representing 4.51% ownership of the company. In it's prior filing, the firm reported owning 12,857K shares, representing a decrease of 6.61%. The firm decreased its portfolio allocation in OTEX by 29.99% over the last quarter.
Harris Associates L P holds 11,871K shares representing 4.44% ownership of the company. In it's prior filing, the firm reported owning 10,897K shares, representing an increase of 8.21%. The firm decreased its portfolio allocation in OTEX by 17.43% over the last quarter.
Mackenzie Financial holds 9,697K shares representing 3.63% ownership of the company. In it's prior filing, the firm reported owning 10,938K shares, representing a decrease of 12.80%. The firm decreased its portfolio allocation in OTEX by 33.55% over the last quarter.
Beutel, Goodman & Co holds 9,172K shares representing 3.43% ownership of the company. In it's prior filing, the firm reported owning 9,365K shares, representing a decrease of 2.10%. The firm decreased its portfolio allocation in OTEX by 24.81% over the last quarter.
Open Text Background Information
(This description is provided by the company.)
OpenText, The Information Company™, enables organizations to gain insight through market leading information management solutions, on-premises or in the cloud.
This story originally appeared on Fintel.