BMO Capital Downgrades Open Text (OTEX) to Market Perform
BMO Capital analyst Thanos Moschopoulos downgraded Open Text (NASDAQ: OTEX) from Outperform to Market Perform with a price target of $38.00 (from $50.00).
The analyst comments "We've downgraded OTEX to Market Perform and have reduced our target price following Q3/24 results that were roughly in line, while OTEX's preliminary FY2025 guidance was significantly weaker than expected. While the stock's valuation is undemanding, we believe that OTEX's plans to prioritize capital return and M&A at the expense of further deleveraging, coupled with its subdued organic growth, will constrain the opportunity for near-term multiple expansion."
For an analyst ratings summary and ratings history on Open Text click here. For more ratings news on Open Text click here.
Shares of Open Text closed at $35.47 yesterday.