Open Text Corporation (Nasdaq: OTEX)

Open Text Corporation (Nasdaq: OTEX) is an information management software company attracting a great deal of investor attention.  

The company described itself as follows in its latest 10K:

“Incorporated in 1991, OpenText has grown to be a leader in providing Information Management software solutions. We offer a comprehensive line of Information Management products and services that power digital businesses of all sizes and enable them to grow faster, obtain lower operational costs and reduce information governance and security risks by improving business insight, impact and process speed. Our products are offered as software as a service (SaaS), through off-cloud solutions, on the OpenText Cloud, on third-party public clouds or as a combination.”

Its competitive advantages include a well-known brand, backed by industry-leading margins. It also has strategic partnerships with several major tech companies, including SAP, Alphabet’s Google Cloud, Amazon Web Services, Microsoft, Oracle and Salesforce.com.

OpenText continues to grow and improve its fundamentals. In particular, its profitability and growth measures are very strong. At the same time, its share price continues to drop or stagnate, setting the stage for future capital gains.