On May 5, 2023, OpenText, a tech information management company based in Canada, released its Q3-2023 earnings report, exceeding expectations for both revenue and earnings-per-share (EPS). The company’s total revenue amounted to $1.24 billion, indicating a 41.1% year-over-year growth, or a 44.9% increase in constant currency, surpassing the consensus estimate of $1.18 billion. The growth was mainly driven by cloud revenues, which increased by 10.4% in constant currency, totaling $435 million. OpenText reported a diluted adjusted EPS of $0.73, surpassing the consensus estimate of $0.45, while GAAP-based diluted EPS was $0.21. The company’s adjusted EBITDA was $365 million, with a margin of 29.3%, and its TTM adjusted EBITDA reached $1.32 billion, a 34% margin. In addition, operating cash flows amounted to $337 million, and free cash flows were $306 million. As a result of the better-than-expected Q3 results, OpenText shares are trading higher, and the stock price target has been raised to $48 from $42 at Benchmark.
OTEX Stock Update: Strong Earnings Growth and Expected Earnings Report in August 2023
On May 5, 2023, OTEX stock opened at $39.12 and fluctuated throughout the day between a low of $38.61 and a high of $42.25. The volume of shares traded was 149,650, and the market capitalization was $10.2 billion. OTEX is a technology services company that has shown strong earnings growth in the past year, with a growth rate of 28.41%. The company’s expected earnings growth rate for the next five years is 9.90%. OTEX is expected to report its next earnings on August 3, 2023, and the EPS forecast for this quarter is $0.88. The company’s annual revenue for the past year was $3.5 billion, and its annual profit was $397.1 million.
Open Text Corp (OTEX) Shows Steady Performance in the Stock Market: A Reliable Investment Option for Investors
On May 5, Open Text Corp (OTEX) had a steady performance in the stock market. The 10 analysts offering 12-month price forecasts for OTEX had a median target of 43.00, with a high estimate of 60.00 and a low estimate of 40.00. The current consensus among 11 polled investment analysts is to buy stock in Open Text Corp. Open Text Corp is a Canadian software company that specializes in enterprise information management. The company’s software solutions help businesses manage their content and data, automate their processes, and improve their overall efficiency. OTEX has a strong presence in the market, with over 100,000 customers in more than 130 countries. The company reported earnings per share of $0.88 and sales of $1.5B in the current quarter. Overall, Open Text Corp is a solid investment option for investors looking for a reliable and stable company with a positive outlook.
