Businesses have turned their attention to cost cutting. OTEX technology certainly cuts costs by improving the overall efficiency and functionality of various companies. They design products specific to the needs of their extremely impressive list of cliental. In many cases, the software they design deals with issues of regulatory compliance (depending on the company). The only thing better than cutting costs during times like these, is avoiding the massive fines that government regulatory agencies can inflict upon a corporation. It's priced low....it has a ridiculously diverse body of clients in many different countries. An added bonus....this is the only remaining company of its kind left with a market cap around or under 1 billion. What is microsoft waiting for ? They already collaborate on various projects at times. Translation: possible buyout at some point (especially when so cheap)
Bullish on Otex. Its a 2-year play in my mind...but one that needs to be watched closely. I don't typically like this type of stock. Is it best of breed ? How about curent competition ? EMC ? watch the headlines and guidance releases on this guy. I'd also begin taking profits if it were to move back toward the 30 to mid 30 range.
Best of Luck
Schmidt
$25.58 (11/01/08)
