- Open Text’s adjusted earnings per share (EPS) for the fourth quarter surpassed analyst expectations, achieving 97 cents compared to the estimated 83 cents.
- The adjusted EPS showed a slight decrease from the previous year’s 98 cents.
- Reported revenue was $1.31 billion, marking a 3.8% decrease year-over-year, but still beating the estimated $1.28 billion.
- License revenue increased by 0.6% year-over-year to $172.5 million, exceeding the estimate of $151.7 million.
- The adjusted gross margin for the quarter was 76.2%, slightly below last year’s 76.4%, but higher than the expected 75.8%.
- Analyst ratings include 3 buy recommendations and 10 holds, with no sell recommendations.
A look at Open Text Corp Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 4 | |
| Dividend | 4 | |
| Growth | 4 | |
| Resilience | 3 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 3.8 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Open Text Corp, a provider of intranet, extranet, and corporate portal solutions globally, has garnered positive Smart Scores across various factors. With solid scores in Value, Dividend, Growth, and Momentum, the company showcases a promising long-term outlook. These high scores suggest that Open Text Corp is well-positioned to deliver value to investors, offer dividend returns, achieve growth, and maintain positive momentum in the market.
Although the company’s Resilience score is slightly lower, the overall outlook remains optimistic. Open Text Corp‘s flagship product, Livelink, serves as an enterprise-scalable solution for companies looking to enhance their information and resource utilization via intranets. With a strong performance across key Smart Scores, Open Text Corp appears poised for sustained success in the future.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
Have feedback on this article? Concerned about the content? Get in touch with us directly.
💡 Before it’s here, it’s on Smartkarma
Sign Up for Free
The Smartkarma Preview Pass is your entry to the Independent Investment Research Network
- ✓ Unlimited Research Summaries
- ✓ Personalised Alerts
- ✓ Custom Watchlists
- ✓ Company Analytics and News
- ✓ Events & Webinars
