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Canadian enterprise software company providing information management, content management and document security software.
Canadian enterprise software company providing information management, content management and document security software.
Most income is recurring: cloud subscriptions and annual maintenance on software that clients keep running for years, with licences and consulting behind. Growth has come largely from buying other software companies, most notably Micro Focus in 2023, followed by cost cuts. Based in Waterloo, Ontario, it also trades on the Nasdaq.
In one line: Canada's peer to IBM's software/content management arm.
Moat: narrow (switching costs, installed base, scale). Deeply embedded enterprise content/document systems built up via decades of acquisitions, costly to replace.
Headquarters: Waterloo, Canada · Founded: 1991 · Employees: 19,900
Size Open Text (OTEX.TO) is a Canada Information Technology company (Packaged Software) with a market value of $6.07B, the 108th largest of 420 Canada companies the cockpit tracks. Shares closed at C$35.16 on 6 Nov 2026.
Performance Over six months the shares gained 8.7%, against +11.5% for the median peer and +5.2% for the Canada market (cap-weighted) — 9th lowest of 20 in its peer set.
Growth Revenue grew 0.5% over the last twelve months (peer median +12.6%); the operating margin is 23.2% (peer median 12.8%).
Valuation It trades at 6.4× forward earnings against a peer median of 21.3× (cheapest of 20).
Price implies For today's price to make sense, revenue must grow about -6% a year for seven years (Req g). Recent delivered growth is +11%, so the hurdle is -17 pp: the price already allows for a slowdown.
Capital Return on invested capital runs 3.5 points above its cost of capital (6.1% WACC).
Backlog Backlog (remaining performance obligations) was $2.60B at 30 Sep 2024, up 4% on a year earlier — 0.5 years of trailing revenue. Backlog detail →
Next results Next results expected around 4 Feb 2027 (exchange calendar; dates can move).
| TTM | FY2026 | FY2025 | FY2024 | FY2023 | |
|---|---|---|---|---|---|
| Revenue | C$7.25B | C$7.25B | C$7.21B | C$7.82B | C$6.01B |
| Revenue growth | — | +1% | -8% | +30% | — |
| Gross profit | C$4.75B | C$4.75B | C$4.58B | C$4.91B | C$3.66B |
| EBITDA | C$2.52B | C$2.52B | C$2.35B | C$2.48B | C$1.80B |
| Net income | C$889M | C$889M | C$608M | C$630M | C$201M |
| Free cash flow | C$1.12B | C$1.12B | C$957M | C$1.09B | C$878M |
| Capital expenditure | C$275M | C$275M | C$200M | C$216M | C$166M |
| Total debt | C$8.47B | C$8.47B | C$9.07B | C$9.16B | C$12.2B |
The default views of Competitor Analysis ▸ Charts, drawn from the same data. Open them in the cockpit to change the axes, pin companies and read every value.
| Company | Market cap | 6M return | Revenue growth | Op. margin | Forward P/E | Req g |
|---|---|---|---|---|---|---|
| Open Text OTEX.TO | $6.07B | +9% | +1% | 23% | 6.4× | -6.2% |
| IBM IBM | $232B | +6% | +7% | 21% | 18.8× | 7.6% |
| Microsoft MSFT | $3.94T | +28% | +18% | 47% | 25.5× | 17.2% |
| Box BOX | $5.76B | +63% | +10% | 9% | 26.0× | 20.3% |
| Adobe ADBE | $93.1B | -5% | +12% | 36% | 8.9× | 0.9% |
Peer set: Industry: the same industry and sector in any market, nearest in size. This is the same default set the interactive Competitor Analysis opens with.
| Measure | OTEX.TO | Peer median | Rank in peer set |
|---|---|---|---|
| 1-month return | +6.5% | +4.5% | 10th highest of 21 |
| 6-month return | +8.7% | +11.5% | 9th lowest of 20 |
| Distance from 52-week high | -35.8% | -25.2% | 9th lowest of 21 |
| Revenue growth (TTM) | +0.5% | +12.6% | 2nd lowest of 21 |
| Operating margin | 23.2% | 12.8% | 6th highest of 21 |
| Forward P/E | 6.4× | 21.3× | cheapest of 20 |
| Growth the price implies (Req g, 7 yrs) | -6.2% | 10.4% | least demanding of 19 |
| Growth delivered (Del g) | +10.8% | +16.3% | 7th lowest of 19 |
| Hurdle (Req g minus delivered) | -17.0 pp | -2.4 pp | 6th least demanding of 19 |
| ROIC minus cost of capital | +3.5 pp | +3.2 pp | 9th highest of 18 |
| EV / EBITDA | 6.2× | 14.9× | cheapest of 12 |
| Net debt / EBITDA | 2.8× | -0.6× | 2nd most indebted of 13 |
| Company | Market | Market cap | 6M return | Revenue growth | Op. margin | Forward P/E | Req g | Delivered g |
|---|---|---|---|---|---|---|---|---|
| Open Text OTEX.TO | Canada | $6.07B | +9% | +1% | 23% | 6.4× | -6.2% | +10.8% |
| Dolby Laboratories DLB | United States | $6.07B | +11% | +1% | 19% | 14.3× | 10.0% | +3.0% |
| RingCentral RNG | United States | $6.09B | +58% | +5% | 9% | 13.3× | 15.2% | +16.3% |
| Bilibili 9626.HK | Hong Kong | $6.06B | -36% | +11% | 4% | 14.2× | 7.3% | +19.5% |
| ACI Worldwide ACIW | United States | $6.06B | +32% | +7% | 19% | 22.9× | 11.8% | +6.3% |
| Hundsun Technologies 600570.SS | China | $6.05B | -20% | -5% | 9% | 30.1× | 34.8% | +7.0% |
| NIQ Global Intelligence NIQ | United States | $6.02B | +5% | +9% | 8% | 17.1× | 10.9% | +14.6% |
| Shanghai Baosight Software 600845.SS | China | $5.97B | -24% | +11% | 10% | 30.3× | 6.9% | +1.4% |
| Topicus.com TOI.V | Canada | $6.25B | +9% | +28% | 15% | 21.3× | 0.7% | +26.5% |
| SenseTime 0020.HK | Hong Kong | $6.25B | -44% | +31% | -51% | n/a | n/a | n/a |
| Navan NAVN | United States | $6.25B | +36% | +35% | -25% | 76.3× | n/a | n/a |
| Klaviyo KVYO | United States | $5.90B | +36% | +29% | -2% | 19.7× | 7.0% | +37.7% |
| International Games System 3293.TWO | Taiwan | $6.27B | 0% | +15% | 59% | 14.4× | -4.0% | +21.2% |
| Doximity DOCS | United States | $5.79B | +25% | +11% | 31% | 23.3× | 16.3% | +25.5% |
| Commvault Systems CVLT | United States | $6.48B | +51% | +14% | 10% | 27.6× | 26.9% | +10.3% |
| Sectra SECT-B.ST | Sweden | $6.53B | +27% | +14% | 20% | 85.0× | 29.0% | +16.8% |
| Varonis Systems VRNS | United States | $5.63B | +71% | +18% | -25% | 138.0× | 23.0% | +16.3% |
| Giant Network 002558.SZ | China | $5.61B | -35% | +105% | 48% | 10.0× | -2.1% | +17.9% |
| Qualys QLYS | United States | $6.59B | +102% | +11% | 35% | 23.7× | 4.7% | +13.1% |
| Octave Intelligence OCTV | United States | $5.60B | n/a | +1% | 20% | 14.7× | 17.0% | +1.3% |
| Kingnet Network 002517.SZ | China | $5.47B | -4% | +62% | 29% | 13.7× | 6.3% | +28.1% |
Open Text reported $2.60B of remaining performance obligations at 30 Sep 2024, up 4% from a year earlier and down 4% from the previous quarter. That is 0.5 years of trailing revenue already under contract. Book-to-bill last quarter: 0.92.