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TSE:OTEX

Open Text (OTEX.TO)

29.47
+0.24 (0.82%)
as of Jun 19, 2026, 8:00:00 pm Market Open.
380 watching
0
BUY ON WEAKNESS
He sold it recently. They are a leader in enterprise resource planning. It reached his price target at $62 and he took profit. He would love to buy in again on weakness.
PAST TOP PICK
(A Top Pick Feb 11/19, Up 29%) They continue to grow by acquisition. He thinks they will do will well going forward. He owns it personally.
TOP PICK
They just bought Carbonite, which is a leading provider of cloud-based back-up. Their cloud business will continue to rise and grow even faster going forward. You will then see an earnings explosion if they grow quickly. They have owned it for 5 years and continues to buy. (Analysts’ price target is $68.69)
TOP PICK
He just bought it. He likes the tech space. OTEX is the biggest generator in information management done through software. Info analysis is key for companies to compete globally. OTEX is also in the cloud and supply-chain logistics. All tailwinds. Trades at a low 15x earnings. (Analysts’ price target is $63.57)
TOP PICK

He's owned this for a while. Any dip, he buys. It went up today during a wide market sell-off. They can expand organically with existing customers. They always do well during market volatility, and always a take-out candidate (and one day it will happen). (Analysts’ price target is $63.36)

PAST TOP PICK
(A Top Pick Jul 24/19, Up 8%) A big holding of his. They can generate more and more recurring revenue from assets they've purchased. They're also moving into the cloud. Their stable has become more stable, which has been a knock against OTEX in the past. The multiple on earnings has been very low in the past, but OTEX will close that gap as they report this year. They execute very well.
BUY ON WEAKNESS
A nice up channel, but we're now at the top. So, wait for a pullback to $50 or so to enter. A channel means buyers are willing to buy ever-rising prices, and you can pick your spot in a channel, particularly the midpoint between the top and bottom of that channel.
WEAK BUY
One of the challenges is that it has had a huge run – 35-40%. It is at the point now that it is acquiring bigger companies. It is a quality outfit.
COMMENT

Prefers this to Shopify. Less demanding multiple at 14-15x. Doesn't have the 30-40% gut-wrenching pullbacks, and sometimes boring is beautiful.

BUY
A solid long-term hold, but doesn't see a breakout coming. Wouldn't be shocked if another company bought this.
PAST TOP PICK
(A Top Pick May 07/19, Up 7%) They are great acquirers. Their last acquisition should be 10% accretive, but there are questions about that. But he's not concerned; he's confident based on their track record. Their valuation discount will close when they put up consistent cloud results (which they've been doing) and doing more acquisitions. Buy this int he mid-$50's.
TOP PICK
It is the most amazing stock. They reported a no-surprise quarter. They just made an acquisition. It has recovered really nicely since July. It is a good core holding. It is fairly tightly held. (Analysts’ price target is $63.07)
PAST TOP PICK
(A Top Pick May 07/19, Up 10%) Recently got a good kick from recent acquisition. Should be able to make decent money on it. Accretive. Still adding to it.
HOLD
They development information management software. He has a price target of $44.50 US, which is pretty fairly valued today. It is a leader in enterprise information software.
BUY
He likes it, but has had a rough time with a proposed takeover of a UK company (https://ca.finance.yahoo.com/news/open-text-weighs-takeover-offer-193049589.html), but many investors bailed on OTEX in reaction. He still likes OTEX's fundamentals.
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