Is OPEN TEXT CORP (OTEX) Halal?
Shariah Screening — 5 Standards
Based on financial data from June 2025
| Standard | Debt Ratio | Cash Ratio | Receivables | Income | Status |
|---|---|---|---|---|---|
| AAOIFI | 102.2% / 30% | 17.8% / 30% | 13.0% / 30% | 0.96% / 5% | ✗ NOT HALAL |
| DJIM | 102.2% / 33% | 17.8% / 33% | 13.0% / 33% | 0.96% / 5% | ✗ NOT HALAL |
| MSCI | 48.2% / 33% | 8.4% / 33% | 6.1% / 33% | 0.96% / 5% | ✗ NOT HALAL |
| S&P | 102.2% / 33% | 17.8% / 33% | 13.0% / 33% | 0.96% / 5% | ✗ NOT HALAL |
| FTSE | 48.2% / 33% | 8.4% / 33% | 6.1% / 50% | 0.96% / 5% | ✗ NOT HALAL |
Financial Highlights
Profitability
| Gross Margin | 76.2% | |
| Operating Margin | 23.5% | |
| Net Margin | 8.4% | |
| Return on Equity (ROE) | 10.5% | |
| Return on Assets (ROA) | 4.9% |
Cash Flow & Balance Sheet
| Operating Cash Flow | $831M |
| Free Cash Flow | $687M |
| Total Debt | $6.6B |
| Debt-to-Equity | 163.0 |
| Current Ratio | 0.9 |
| Total Assets | $13.8B |
Price & Trading
| Last Close | $22.25 |
| 50-Day MA | $24.96 |
| 200-Day MA | $31.22 |
| Avg Volume | 2.0M |
| Beta | 1.1 |
|
52-Week Range
$21.31
| |
About OPEN TEXT CORP (OTEX)
Open Text Corporation designs, develops, markets, and sells information management software and solutions in North, Central, and South America, Europe, the Middle East, Africa, Australia, Japan, Singapore, India, and China. The company offers cloud services and subscriptions, including software as a service offerings, application programming interfaces and data services, and private, public, and off-cloud products, such as hosted services and managed service arrangements; foundational platform of technology services; and packaged business applications, as well as managed services and outsourced B2B integration solutions, including program implementation, operational management, and customer support. It also provides fees earned from the licensing of software products to customers; and consulting and learning services, such as implementation, training, and integration of licensed product offerings into the customer's systems. In addition, the company offers various business clouds, including content, cybersecurity, DevOps, business network, observability and service management, and analytics; and artificial intelligence, software developers API, and other related services. It has strategic partnerships with SAP SE, Google Cloud, Amazon Web Services, Microsoft Corporation, Oracle Corporation, and Salesforce.com Corporation, as well as global systems integrators, including Accenture plc, Capgemini Technology Services SAS, Deloitte Consulting LLP, Hewlett Packard Enterprises, and Tata Consultancy Services. The company serves G10K organizations, enterprise companies, public sector agencies, mid-market companies, small and medium-sized businesses, and direct consumers. Open Text Corporation was incorporated in 1991 and is headquartered in Waterloo, Canada.
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Frequently Asked Questions
Is OPEN TEXT CORP (OTEX) halal to invest in?
Based on our screening using AAOIFI Standard 21 (the strictest methodology), OPEN TEXT CORP is Not Halal. The company fails one or more screening criteria. We screen against all 5 major standards: AAOIFI, DJIM, MSCI, S&P, and FTSE.
What is OPEN TEXT CORP's debt ratio?
OPEN TEXT CORP's debt ratio is 102.2% under the AAOIFI standard (which uses market capitalization as the denominator). The AAOIFI threshold is 30%. Under MSCI and FTSE (which use total assets as the denominator), the debt ratio is 48.2%.
What are OPEN TEXT CORP's key financial metrics?
OPEN TEXT CORP has a market capitalization of $5.5B, trailing P/E ratio of 12.6, and revenue of $5.2B. The company maintains a gross margin of 76.2% and a net margin of 8.4%. Return on equity stands at 10.5%.
How often is the screening data updated?
Our screening data is updated regularly using the latest available financial statements and market data. Stock prices and market caps are refreshed frequently, while financial statements are updated quarterly when companies report earnings.
Disclaimer: HalalStockGuide.com provides Shariah compliance screening for educational and informational purposes only. This is not a fatwa, financial advice, or a recommendation to buy or sell any security. Screening results are based on publicly available financial data and established methodologies. Always consult a qualified Islamic scholar and a licensed financial advisor before making investment decisions.