Sifting through countless of stocks in the Software industry can be tedious, and sometimes two stocks are just too similar to judge which is the better investment. If you’re on the fence about investing in Open Text Corporation or The Descartes Systems Group Inc. because you’re not sure how they measure up, it’s important to compare them on a few factors before making your decision.

Read on to learn how Open Text Corporation and The Descartes Systems Group Inc. compare based on key financial metrics to determine which better meets your investment needs.

About Open Text Corporation and The Descartes Systems Group Inc.

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.

The Descartes Systems Group Inc. provides global logistics technology solutions in the United States, Europe, the Middle East, Africa, Canada, and the Asia Pacific. Its Logistics Technology platform offers a range of modular, interoperable web and wireless logistics management solutions. The company offers a suite of solutions that include routing, mobile, and telematics; transportation management; ecommerce, shipping, and fulfillment; customs and regulatory compliance; global trade intelligence; broker and forwarder enterprise systems; and B2B messaging and connectivity services. It also provides its customers to use its modular and technology solutions to route, track, and measure delivery resources; plan, allocate, and execute shipments; rate, audit, and pay transportation invoices; access and analyze global trade data; research and perform trade tariff and duty calculations; file customs and security documents for imports and exports; and various other logistics processes. In addition, the company offers consulting, implementation, and training services, as well as maintenance and support services. It serves transportation providers, such as air, ocean, and truck modes; logistics service providers, including third-party logistics providers, freight forwarders, and customs brokers; and distribution-intensive companies, such as retailers, manufacturers, distributors, and mobile business service providers through subscription, transactional or perpetual license basis. The Descartes Systems Group Inc. was incorporated in 1981 and is headquartered in Waterloo, Canada.

Latest Software and Open Text Corporation, The Descartes Systems Group Inc. Stock News

As of June 5, 2026, Open Text Corporation had a $5.6 billion market capitalization, compared to the Software median of $952.2 million. Open Text Corporation’s stock is down 29% in 2026, down 3% in the previous five trading days and down 18.76% in the past year.

Currently, Open Text Corporation’s price-earnings ratio is 11.3. Open Text Corporation’s trailing 12-month revenue is $5.2 billion with a 9.9% net profit margin. Year-over-year quarterly sales growth most recently was 2.2%. Analysts expect adjusted earnings to reach $4.242 per share for the current fiscal year. Open Text Corporation currently has a 4.8% dividend yield.

As of June 5, 2026, The Descartes Systems Group Inc. had a $6.5 billion market cap, putting it in the 72nd percentile of all stocks. The Descartes Systems Group Inc.’s stock is down 13.9% in 2026, up 2.3% in the previous five trading days and down 34.73% in the past year.

Currently, The Descartes Systems Group Inc.’s price-earnings ratio is 37.5. The Descartes Systems Group Inc.’s trailing 12-month revenue is $753.9 million with a 23.3% net profit margin. Year-over-year quarterly sales growth most recently was 14.8%. Analysts expect adjusted earnings to reach $3.010 per share for the current fiscal year. The Descartes Systems Group Inc. does not currently pay a dividend.

How We Compare Open Text Corporation and The Descartes Systems Group Inc. Stock Grades

Stock evaluation requires access to huge amounts of data and the knowledge and time to sift through it all, make sense of financial ratios, read income statements and analyze recent stock movements. AAII created A+ Investor, a robust data suite that condenses data research in an actionable and customizable way suitable for investors of all knowledge levels, to help investors streamline and work through such data.

AAII’s proprietary stock grades come with A+ Investor. These offer intuitive A‐F grades for each of five key investing factors: value, growth, momentum, earnings estimate revisions and quality. Here, we’ll take a closer look at Open Text Corporation and The Descartes Systems Group Inc.’s stock grades to see how they measure up against one another.

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Open Text Corporation and The Descartes Systems Group Inc. Growth Grades

Company	Ticker	Growth
Open Text Corporation	OTEX	A
The Descartes Systems Group Inc.	DSGX	A

The foundation of growth investing is seeking out stocks of companies exhibiting strong, consistent and prolonged growth that is expected to continue into the future.

In order to compute the growth score and assign it a letter grade, the percentile ranks for each of three components‐consistency of annual sales growth, five-year sales growth rankings adjusted for extreme levels, and consistency of positive annual cash from operations‐must be determined. These three rank figures are added together, and the sum is ranked against the entire stock universe to arrive at a company’s Growth Score to create an equal distribution of grades.

The companies in the bottom 20% of the stock universe receive Growth Grades of F, considered to be very weak, while those in the top 20% receive A grades, which are considered very strong.

Open Text Corporation has a Growth Score of 83, which is Very Strong. The Descartes Systems Group Inc. has a Growth Score of 89, which is Very Strong.

The Growth Grade Winner: It’s a Tie!

Looking at the Growth Grade breakdown above, both Open Text Corporation and The Descartes Systems Group Inc. have a grade of A. For investors who focus solely on a company’s upward growth, further research should be conducted into both companies’ other financial metrics before deciding whether to invest.

Open Text Corporation and The Descartes Systems Group Inc.’s Quality Grades

Company	Ticker	Quality
Open Text Corporation	OTEX	A
The Descartes Systems Group Inc.	DSGX	A

Like the Value Grade, AAII’s A+ Investor Quality Grade comes from the percentile rank of key metrics. Specifically, the Quality Score is the percentile rank of the average of the percentile ranks of return on assets (ROA), return on invested capital (ROIC), gross profit relative to assets, buyback yield, change in total liabilities to assets, accruals, Z double prime bankruptcy risk (Z) score and the F-Score.

The score is variable, meaning it can consider all eight measures or, should any of the eight measures not be valid, the remaining measures that are valid. To be assigned a Quality Score, stocks must have a valid (non-null) measure and corresponding ranking for at least four of the eight quality measures.

The Quality Score is used to assess the underlying “quality” of a particular stock. A higher-quality stock possesses traits associated with upside potential and reduced downside risk. Backtesting of the Quality Grade shows that stocks with higher grades, on average, outperformed stocks with lower grades over the period of 1998 through 2019.

Stocks receive better grades (higher scores) for having higher scores for the quality subcomponents and worse grades (lower scores) for lower scores for the subcomponents.

Open Text Corporation has a Quality Score of 93, which is Very Strong. The Descartes Systems Group Inc. has a Quality Score of 96, which is Very Strong.

The Quality Grade Winner: It’s a Tie!

Looking at the Quality Grade breakdown above, both Open Text Corporation and The Descartes Systems Group Inc. have a grade of A. For investors who focus solely on a company’s overall quality, you will need to conduct further research into both companies to see if they are a good fit for your portfolio. As a good rule of thumb, you should always analyze multiple factors based on a wide range of metrics before choosing a company to invest in.

Open Text Corporation and The Descartes Systems Group Inc.’s Estimate Revisions Grades

Company	Ticker	Earnings Estimate
Open Text Corporation	OTEX	B
The Descartes Systems Group Inc.	DSGX	C

Earnings estimate revisions scores consider the magnitude of a company’s earnings surprise in its last two reported fiscal quarters. Often, positive surprises beget further positive surprises‐or at least continued sales growth (the exact opposite is generally true, too).

Estimate revisions offer an indication of what analysts are thinking about the short-term prospects of a firm. Estimate revisions are based on the statistical significance of a firm’s last two quarterly earnings surprises and the percentage change in its consensus estimate for the current fiscal year over the past month and past three months.

Open Text Corporation has a Earnings Estimate Score of 72, which is Positive. The Descartes Systems Group Inc. has a Earnings Estimate Score of 55, which is Neutral.

The Earnings Estimate Revisions Grade Winner: Open Text Corporation

As you can clearly see from the Earnings Estimate Revisions Grade breakdown above, Open Text Corporation has a better Earnings Estimate Revisions Grade than The Descartes Systems Group Inc.. For those who are specifically looking for companies with better short-term prospects when compared to other companies in the same industry, Open Text Corporation could be a good stock to invest in. However, it’s important to analyze multiple factors based on a wide range of metrics before deciding whether to buy.

Other Open Text Corporation and The Descartes Systems Group Inc. Grades

In addition to Quality, Estimate Revisions and Growth, A+ Investor also provides grades for Value and Momentum.

Momentum grades help uncover stocks experiencing anomalously high rates of return; research finds that stocks with high relative levels of momentum tend to outperform, whereas those with low levels of momentum tend to continue underperforming.

Successful stock investing involves buying low and selling high, so stock valuation is an important consideration for stock selection. Buying stocks that are going to go up typically means buying stocks that are undervalued in the first place, although momentum investors may argue that point.

These 2 key factors, when combined with the above, provide a holistic view into a particular stock. Further, by joining A+ Investor you can see whether Open Text Corporation and The Descartes Systems Group Inc. pass any of our 60+ stock screens that have outperformed the market since their creation.

So, Which Is the Better Investment, Open Text Corporation or The Descartes Systems Group Inc. Stock?

Overall, Open Text Corporation stock has a Growth Score of 83, Estimate Revisions Score of 72 and Quality Score of 93.

The Descartes Systems Group Inc. stock has a Growth Score of 89, Estimate Revisions Score of 55 and Quality Score of 96.

Comparing Open Text Corporation and The Descartes Systems Group Inc.’s grades, scores and metrics can act as a solid basis to determine whether they may be a good investment or not. You’ll also want to look at your portfolio’s asset allocation as well as your risk tolerance and financial goals to see if either of these stocks would make a good fit for you. AAII can help you figure out which investments align with your individual needs and preferences.

Investors are encouraged to do their own due diligence and research. In this way, individuals can effectively become managers of their own assets‐without having to rely on others for financial independence. You can count on AAII for timeless articles on financial planning and stock-picking, unbiased research and actionable analysis.

A+ Investor adds to our qualitative teaching with a powerful data suite to help you whittle down investment choices to find stocks, exchange-traded funds (ETFs) or mutual funds that meet your needs.

AAII Disclaimer

We make no representations or warranties that any investor will, or is likely to, achieve profits similar to those shown, because past, hypothetical or simulated performance is not necessarily indicative of future results. Before making an investment decision, you should consider your circumstances and whether the information on our content is applicable to your situation. This information was prepared in good faith, and we accept no liability for any errors or omissions. The full disclaimer can be read here.