I believe some groups are taking advantage of the downswing shorting this stock. I agree with your analysis and believe this stock is solid and the downswing is just temporary. Well, I will take advantage of the downswing and buy some more.
Why is this company taking a hit? i think there is some investor backlash against open text not acquiring pc docs. however, i think this provides a great opportunity to purchase the stock at a great price! the fundamentals of the company have not changed. a company that continuously beats earnings expectations will be noticed. i am still long with open text.
I sold Chapters @ C$34 for a small profit, and diverted that money directly into OTEX @ C$44. OTEX is a steal at these levels. Chapters is a fun play, but I feel that my money will work harder for my in OTEX...I may tinker with CHP some more in the future...perhaps if it dips below C$30 again.
When I glanced at this headline, I thought it read OTEX for sale!!! I would not be surprised if OTEX is not an acquisition target again (it was rumored about a year ago that Oracle was going to make run at it)