Does OPEN TEXT CORP have an economic moat?

Based on its FY2026 SEC filings, the Moat Index scores OPEN TEXT CORP (OTEX) 56.7 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 90, pricing power 99, returns on capital 6, balance-sheet safety 52, capital allocation 37.

Is OTEX trading below the conservative owner-earnings estimate?

The value if growth stopped today — a zero-growth baseline — is $28.20 per share. It capitalizes normalized owner earnings at a 9% rate and assumes 0% growth. Versus a recent price of $23.97, that is 15% below 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 17 readings since Jul 17, 2026; the latest reads 56.7 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.

OPEN TEXT CORP

OTEX · Technology · $5.8B mkt cap · FY2026 filings · as of Sep 4, 2026 · Shallow moat ·

On the watchlist

Shallow moat

The five investor questions

2022–2026 (latest 5 aligned FYs; v3 window cap 5): revenue $3.5B to $5.2B, increasing; diluted EPS 1.46 to 2.58, increasing.

Median gross margin 69.5% over 10y, very stable.

Median ROIC 6.4%, above the 12% hurdle in 0% of years.

Net debt/EBITDA 3.5x, no material interest expense disclosed.

Owner earnings changed -6.1%/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

15% below value if growth stopped today

: $615M
: $28.20
: $45.69
: $23.97
: 15% below 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 ~3%/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. Flag status unavailable — four adjacent recent FY revenue observations are required.

Among the current top-score group, the median current price is 238% above the zero-growth estimate across 49 of the current top 50 companies by Moat Score with both values.

Score records captured Sep 4, 2026.

Exactly which 50 companies?

FTNT, META, MEDP, IBEX, MSFT, GOOG, LULU, ANF, IDXX, TXRH, FHI, QLYS, FFIV, ADBE, LLY, MANH, VEEV, RMD, GRMN, PCTY, EAT, UI, SSD, MNST, DOCS, LRCX, MCO, CPRT, NTAP, NVDA, CORT, SFM, MPTI, ULTA, SN, ROL, CTAS, PAYC, IRMD, INTU, DECK, MORN, JKHY, TPR, LGCY, DAL, GWW, ISRG, MPWR, LOPE

Missing a usable price or zero-growth estimate: ANF.

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.

Fundamentals

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Visual explainers

The filing-backed explainer service is temporarily unavailable, so no partial or guessed chart is shown.

Moat Score history

Moat Score over timeLast scored reading of each day, on the 0–100 scale56.7 / 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

Normalizer upgraded unstamped (version unknown)tomoat-xbrl-normalizer@1.1.0 — readings across versions aren’t comparedJul 26, 2026
Methodology upgraded moat-index@2.0.0tomoat-index@3.0.0 — readings across versions aren’t comparedJul 23, 2026
Methodology upgraded moat-index@1.2.0tomoat-index@2.0.0 — readings across versions aren’t comparedJul 20, 2026

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, Sep 4, 2025–Sep 4, 2026. The totals and cluster result below are arithmetic over that certified window.

: $0
: 0 P / 0 S
: No

Transaction-code histogram

Supporting event counts for the same certified window, Sep 4, 2025–Sep 4, 2026.

P: 0
S: 0
A: 0
F: 0
M: 0
G: 0
C: 0
J: 0
W: 0

Retrieved Sep 4, 2026.

Technology context

#222 of 749 scored Technology companies, ranked by Moat Score.

Nearest peers by Moat Score

#220AVNW AVIAT NETWORKS, INC.56.9 out of 100, Shallow moatShallow moat
#221INOD INNODATA INC56.7 out of 100, Shallow moatShallow moat
#223RPD RAPID7, INC.56.6 out of 100, Shallow moatShallow moat
#224EXTR EXTREME NETWORKS, INC.56.5 out of 100, Shallow moatShallow moat

Compare OTEX with its nearest peers →All Technology companies on the Index →

Common questions about OTEX

Does OPEN TEXT CORP have an economic moat?: Based on its FY2026 SEC filings, the Moat Index scores OPEN TEXT CORP (OTEX) 56.7 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 90, pricing power 99, returns on capital 6, balance-sheet safety 52, capital allocation 37.
Is OTEX trading below the conservative owner-earnings estimate?: The value if growth stopped today — a zero-growth baseline — is $28.20 per share. It capitalizes normalized owner earnings at a 9% rate and assumes 0% growth. Versus a recent price of $23.97, that is 15% below 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 17 readings since Jul 17, 2026; the latest reads 56.7 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.