2021–2025 (latest 5 aligned FYs; v3 window cap 5): revenue $3.4B to $5.2B, increasing; diluted EPS 1.14 to 1.65, increasing.
100
Median gross margin 69.0% over 10y, very stable.
6
Median ROIC 6.4%, above the 12% hurdle in 0% of years.
40
Net debt/EBITDA 4.3x, no material interest expense disclosed.
40
Owner earnings changed +3.3%/yr over up to the ten most recent annual observations.
Price vs. value if growth stopped today
A cautious baseline, not a price target: what the shares may support if normalized owner earnings simply hold steady.
Above value if growth stopped todayBelow value if growth stopped today
Around the value if growth stopped today
$521M
$22.72
$36.81
$22.37
Around the value if growth stopped today
A discount this large is often a warning rather than a bargain — the market may expect earnings to keep falling. See the revenue trend above.
How to read this
What today’s price assumes: owner earnings shrinking ~0%/yr over 5 years. The estimate assumes owner earnings stay flat (0% growth).
We solve for the constant annual change in owner earnings that would make the five-year zero-growth estimate equal today’s price. This keeps the existing model inputs and calculation unchanged; it is an expectations lens, not a forecast.
This zero-growth estimate assumes trailing owner earnings persist — unreliable for declining businesses. The recent FY revenue series does not trigger the three-consecutive-declines flag.
Among the current top-score group, the median current price is 239% above the zero-growth estimate across 48 of the current top 50 companies by Moat Score with both values.
Missing a usable price or zero-growth estimate: ANF, BKNG.
Model details under moat-index@3.0.0: zero-growth multiple 11.1×, capped-growth comparison at no more than 18×; 9% discount rate; high-end growth 4% (capped at 4%) using min(5y revenue CAGR, 5y diluted-EPS CAGR), clamped to 0%–4%; maintenance capex uses min(capex, D&A); abstain when D&A is unavailable. This is a disclosed model range, not intrinsic value as fact.
20 years of fundamentals
The business, in plain English
OPEN TEXT CORP booked $5.2B of revenue in FY2025 in the Technology sector and kept 72.3% of it as gross profit — a high-margin business by that measure. After every other cost, 8.4% of each revenue dollar reached the bottom line.
Across the filed record, revenue grew from $596M (FY2007) to $5.2B (FY2025) — about 12.8% a year compounded over 18 years.
It earned 8.8% on invested capital in the latest filed year, FY2025. Across the full 19-year measurable filed record, median ROIC was 8.8%. Over the v3 recent window (10 measurable filed years), median ROIC was 6.4%. The Returns on Capital filter above scores it 6/100.
The balance sheet carried $6.4B of total debt in FY2025 against $615M of owner earnings — roughly 10.4 years of owner earnings to retire it all. Balance-Sheet Safety scores it 40/100.
Put together: Pricing Power is the strongest of the five filters (100/100) and Returns on Capital the weakest (6/100), which is how OTEX lands at 55/100 — a Shallow moat.
This breakdown is generated from the filed numbers and sub-scores above — no outside narrative, no estimates. Where a filing doesn’t disclose an input, the sentence that would need it is omitted instead of guessed.
FY2006–FY2025 · 20 fiscal years, normalized from OTEX’s SEC filings
Sales, as filed$5.2B FY2025Revenue kept after cost of goods72.3% FY2025Standard ROIC or separately labeled Operating ROICROIC 8.8% FY2025Cash an owner could take out$615M FY2025
Gaps in a line mean that item isn’t in OTEX’s filings for that year. The series is never interpolated or estimated. The Table view lists every filed value, including operating and net margins, total debt, and share count.
Flagship explainer
How OPEN TEXT CORP makes its money
Start with a dollar of revenue and follow what the filing says remains.
Honest partial: the filing did not provide a normalized tag for Research and development, Selling, general and administrative; those components are omitted, not plugged.
Position size uses shares and filed value from each manager’s 13F. Portfolio weight uses the eligible long-share filing denominator. Changes compare only with the immediately preceding calendar quarter.
The complete Form 4 source snapshot retrieved on Aug 29, 2026 contains no transaction rows.
Verified empty: the retrieved source snapshot contains no transaction event.
Source snapshot retrieved 2026-08-29T07:00:02.902Z · SEC Form 4
Moat Score history
16 logged readings since Jul 17, 2026 · append-only, never rewritten
Moat Score over timeLast scored reading of each day, on the 0–100 scale55.0 / 100
Breaks in the line mark methodology or normalizer upgrades — readings across versions aren’t compared, so a level shift there isn’t a change in the business.
Tier changesSame-methodology and same-normalizer crossings of the Wide / Narrow / Shallow bars
Scores are logged append-only and never overwritten — this record cannot be reconstructed retroactively, which is exactly why it’s worth keeping.
Insider activity
Form 4 reports mix P/S market or private transactions with compensation-plan mechanics. Activity casually described as “insider selling” can include compensation mechanics; awards, tax withholding, and option exercises are shown by their exact filed class here, never collapsed into “Bought” or “Sold.”
These are disclosed filing facts and arithmetic aggregates, not a signal or verdict.
This machine-readable surface covers SEC ownership filings from 2003; it does not represent earlier paper-era records.
No reported Form 4 transactions were found in the complete checked issuer window for OTEX, –. The totals and cluster result below are arithmetic over that certified window.
$0
P purchases minus S sales only, Aug 30, 2025–Aug 30, 2026.
0 P / 0 S
Only P and S are included; awards, gifts, exercises, withholding, and other mechanics are excluded.
No
Requires at least 3 distinct insiders with P purchases.
Transaction-code histogram
Supporting event counts for the same certified window, Aug 30, 2025–Aug 30, 2026.
P
0
S
0
A
0
F
0
M
0
G
0
C
0
J
0
W
0
Retrieved .
Track record
How OPEN TEXT CORP’s moat rated in each of the years we can reconstruct from its filings — scored only on what was knowable at the time — and what its price and returns did afterward. The score never saw a price; the two are joined only in hindsight, for education, not as a signal.
Point-in-time scores 2011–2025, one methodology version · reconstructed from filings on file each Dec 31 — never with hindsight
Point-in-time Moat Score (dot colored by tier)Indexed price (total-return (dividends reinvested))Rated Wide-moat that year
How to read this: each dot is what the engine would have scored OTEX on that December 31; the line below is its total-return price path (dividends reinvested) in the years since.
Two tracks, one timeline: the score has its own 0–100 scale (top), the price its own 100-based scale (bottom) — never a shared axis. The price path is a total-return (dividends reinvested) index built from the same data the forward returns use; gaps in the score line are years with no reconstructed rating (see the table for why). The Table view carries every value.
What followed, in the years it rated Wide
In the 3 years OTEX rated Wide-moat (2011, 2012 and 2013), the median forward total return that followed — measured only after each year’s filings were public — was:
1 year28%vs the S&P 500’s 15% (price basis)· median over 3 years
3 years73%vs the S&P 500’s 38% (price basis)· median over 3 years
5 years149%vs the S&P 500’s 77% (price basis)· median over 3 years
These are medians computed from the data, not a claim about any one year. The company figures are total returns (dividends reinvested); the S&P 500 is the price-only ^GSPC index, which excludes dividends and so understates the index — the gap flatters the company. A quality rating is not a return forecast, and past returns don’t predict future ones. Educational only, not investment advice.
Technology context
#233 of 744 scored Technology companies, ranked by Moat Score.
Based on its FY2025 SEC filings, the Moat Index scores OPEN TEXT CORP (OTEX) 55.0 out of 100 — a Shallow moat. The five questions behind that score begin at 20% each; if exactly one genuinely lacks data, the other four weights are renormalized and disclosed. revenue and EPS trend 89, pricing power 100, returns on capital 6, balance-sheet safety 40, capital allocation 40.
Is OTEX trading below the conservative owner-earnings estimate?
The value if growth stopped today — a zero-growth baseline — is $22.72 per share. It capitalizes normalized owner earnings at a 9% rate and assumes 0% growth. Versus a recent price of $22.37, that is around the value if growth stopped today. The model also publishes a capped-growth comparison, but the zero-growth estimate is the cautious baseline. It assumes trailing owner earnings persist and is unreliable for declining businesses. This is an educational estimate from primary SEC filings, not intrinsic value as a fact or investment advice.
How has OTEX's Moat Score changed over time?
The record logs 16 readings since Jul 17, 2026; the latest reads 55.0 out of 100 (shallow moat). No tier changes on record yet. (Methodology or normalizer upgrades on Jul 20, 2026, Jul 23, 2026, Jul 26, 2026 re-based the score; readings across versions aren't compared.) The history is append-only — readings are only ever added, never rewritten.
Scored from primary SEC filings via the public methodology. Educational only — not a recommendation to buy or sell OTEX. See the disclaimer.