Open Text stock analysis
Open Text (OTEX) Stock Price & Analysis
OTEX Stock Chart & Stats
- Day’s Range
- $24.45 - $24.98
- 52-Week Range
- $19.78 - $35.26
- Previous Close
- $24.56
- Volume
- N/A
- Average Volume (3M)
- 1.45M
- Market Cap
- $5.91B
- Enterprise Value
- $14.81B
- Total Cash (Recent Filing)
- $983.29M
- Total Debt (Recent Filing)
- $5.97B
- Price to Earnings (P/E)
- 9.4
- Beta
- 0.92
- Next Earnings
- Feb 04, 2027 (Est.)
- EPS Estimate
- 0.98
- Next Dividend Ex-Date
- Dec 04, 2026
- Dividend Yield
- 4.43%
Bulls Say, Bears Say
Bulls Say
Recurring Cloud Growth
Recurring cloud growth, rising cloud contract obligations, and a 95% renewal rate indicate durable customer retention and expanding subscription value. These trends support more predictable revenue, deepen workflow integration, and provide a foundation for growth as customers migrate from on-premises systems.
Strong Profitability And Cash Generation
High operating profitability combined with accelerating free cash flow demonstrates that OpenText converts its enterprise software earnings into usable cash. This supports debt reduction, continued product investment, and resilience across the next several quarters even while revenue growth remains modest.
AI And Core Portfolio Expansion
Embedding Aviator AI across the existing product portfolio creates a structural opportunity to increase customer value and expand deal sizes. Broad deployment and customer-built agents can strengthen differentiation, encourage cross-selling, and make OpenText more relevant to enterprise AI adoption.
Bears Say
Weak And Uneven Revenue Growth
The sharp TTM revenue decline and weakness in licenses and professional services reduce confidence that strong margins are supported by durable top-line expansion. Continued contraction would limit operating leverage, constrain reinvestment capacity, and make the earnings profile more dependent on cost control.
ITOM And Cybersecurity Execution Issues
Double-digit declines in ITOM and cybersecurity expose weakness in important product categories and indicate that execution, selling capacity, or demand generation needs improvement. Recovery depends on specialized sellers, partners, and marketing investments, creating uncertainty around the timing and durability of growth.
Leverage And Investment-Driven Margin Pressure
Elevated leverage leaves OpenText with less financial flexibility if operating performance softens, while planned growth spending is expected to reduce second-half margins. Together, these factors can constrain capital allocation and make execution of the growth plan more important to balance-sheet improvement.
Open Text News
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Open Text Stock Smart Score
Company Description
Open Text
Open Text Corporation specializes in the creation, development, promotion, and distribution of sophisticated information management software and solutions. Their extensive portfolio includes vital content services; a robust business network facilitating secure data exchange both internally and externally; comprehensive security and protection offerings safeguarding against cyber threats, ensuring operational continuity, and enabling rapid breach response; and specialized tools for digital investigation and forensic security, including OpenText's own cyber resilience solutions, as well as Carbonite and Webroot products. The company's core OpenText Information Management software platform forms the foundation for many of its offerings, which further encompass an eDiscovery platform utilizing forensics and unstructured data analytics, the OpenText Developer Cloud, key developer API services, and AI and analytics capabilities for structured and unstructured data. Additionally, Open Text provides digital process automation solutions, enabling organizations to transform into data-driven digital businesses, and the OpenText Digital Experience platform. Beyond its product suite, the company delivers comprehensive customer support programs, offering access to software upgrades, a knowledge base, discussion forums, product information, and an online trouble ticket system. They also provide consulting and learning services for the implementation, training, and integration of their licensed products, alongside various cloud services. Open Text serves a diverse global clientele, ranging from large enterprises, mid-market companies, and public sector agencies to small and medium-sized businesses and individual consumers, with a presence across Canada, the United States, the United Kingdom, Germany, the broader European region, the Middle East, Africa, and other international markets. The company maintains strategic alliances with industry leaders such as SAP SE, Google Cloud, Amazon AWS, Microsoft Corporation, Oracle Corporation, Salesforce.com Corporation, Accenture plc, ATOS, Capgemini Technology Services SAS, Cognizant Technology Solutions U.S. Corp., Deloitte Consulting LLP, and Tata Consultancy Services. Open Text Corporation was established in Waterloo, Canada, in 1991.
- Sector
- Technology
- Industry
- Software - Application
- CEO
- Ayman Antoun
- Employees
- 19,900
- Website
- www.opentext.com
- Address
- 275 Frank Tompa Drive, Waterloo, ON, N2L 0A1, CA
Open Text (OTEX) Earnings & Revenues
OTEX Company Deck
OTEX Earnings Call
Earnings Call SentimentPositive
The call was broadly positive, with solid core and cloud growth, sustained Content Cloud momentum, strong cash flow, debt reduction, AI commercialization, and maintained full-year guidance. The main challenges were double-digit declines in ITOM and cybersecurity, declining support and non-core revenue, a year-over-year EBITDA margin decrease, and the need to execute planned investments and improve performance in weaker product categories.
View all OTEX earnings summariesOTEX Stock 12 Month Forecast
Average Price Target
Technical Analysis
Overall Consensus
| Indicator | Bullish | Neutral | Bearish |
|---|---|---|---|
| Overall Consensus | 11 | 3 | 8 |
| Technical Analysis | 5 | 3 | 2 |
| Moving Averages | 6 | 0 | 6 |












