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  5. OTEX: I would appreciate your comments on the firing of the CEO and the board (finally? [Open Text Corporation]
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Q: I would appreciate your comments on the firing of the CEO and the board (finally?) getting involved to hopefully kickstart the company. In these situations it is usually best to hold and see what happens?

Appreciate your insight.

Paul F.
Asked by Paul on August 20, 2025
5i Research Answer:

These situations create risk and uncertainty, but with the stock's weak performance something needed to be done. Large shareholders are on board with the decision and the stock is so cheap that sentiment and expectations are already low, so any future good news could have a positive impact, certainly. The stock is very cheap and any moves to increase clarity on operations and strategy should be met well. The stock has responded a bit. The interim CEO is just that, and a search is underway. So we need to see who is appointed to really gauge developments better. But, considering the valuation, it may be a good move for a future leader to come in and turn this around. Even a small increase in valuation could translate to big moves for the stock.