What is Open Text Corp worth?
With the base-case assumptions below, a discounted cash flow model on Open Text Corp's reported free cash flow gives $56.20 per share. The share price was $22.51 on September 25, 2026, 60% below that value.
Inputs from the filings
Three sets of assumptions
| Case | Growth yrs 1-5 | Discount rate | Value per share | Value vs price |
|---|---|---|---|---|
| Bear | 4.0% | 10.0% | $26.96 | +20% |
| Base | 9.0% | 9.0% | $56.20 | +150% |
| Bull | 14.0% | 8.0% | $110.76 | +392% |
Sensitivity: base case value per share
| 1.5% | 2.0% | 2.5% | 3.0% | 3.5% | |
|---|---|---|---|---|---|
| 7.0% | $77.64 | $84.23 | $92.29 | $102.36 | $115.32 |
| 8.0% | $61.60 | $65.88 | $70.93 | $77.00 | $84.41 |
| 9.0% | $49.90 | $52.83 | $56.20 | $60.14 | $64.79 |
| 10.0% | $41.01 | $43.08 | $45.44 | $48.13 | $51.24 |
| 11.0% | $34.02 | $35.55 | $37.25 | $39.17 | $41.34 |
Where the presets come from
Base: years 1 to 5 grow at Open Text Corp's revenue growth rate over the last 5 fiscal years (9.2% a year), held between -5% and 15%. Years 6 to 10 grow halfway between that and the long-run rate of 2.5%. Future cash is discounted at 9% a year.
Bear: 5 points less growth, 2% long-run growth, 10% discount rate. Bull: 5 points more growth (at most 25%), 3% long-run growth, 8% discount rate.
Value per share = (present value of 10 years of free cash flow + present value of everything after + cash - debt) / diluted shares.
This is a model run on assumptions, not a recommendation or a price target. Small changes in the discount rate or growth move the result a lot, as the table above shows. Change them yourself in the calculator.
Adjust the assumptions
Move the sliders for growth, long-run growth and discount rate, or switch to average free cash flow, and see the value per share change.
Adjust the assumptions