Rackspace Technology (NASDAQ:RXT) Issues FY 2026 Earnings Guidance

Rackspace Technology (NASDAQ:RXT) updated its FY 2026 earnings guidance on Thursday. The company provided earnings per share guidance of -0.200–0.15 for the period, compared to the consensus earnings per share estimate of -0.030. The company issued revenue guidance of $2.6 billion-$2.7 billion, compared to the consensus revenue estimate of $2.7 billion.

Wall Street Analyst Weigh In

Several research analysts recently weighed in on RXT shares. Weiss Ratings reissued a “sell (d-)” rating on shares of Rackspace Technology in a research report on Thursday, January 22nd. Royal Bank Of Canada reduced their price target on shares of Rackspace Technology from $2.00 to $1.75 and set a “sector perform” rating for the company in a research report on Monday, November 10th. Four equities research analysts have rated the stock with a Hold rating and two have issued a Sell rating to the stock. According to MarketBeat, Rackspace Technology presently has a consensus rating of “Reduce” and a consensus target price of $1.51.

Rackspace Technology Stock Down 7.5%

Shares of RXT stock opened at $1.35 on Thursday. Rackspace Technology has a 12 month low of $0.39 and a 12 month high of $2.68. The company has a market cap of $328.85 million, a PE ratio of -1.25 and a beta of 2.18. The business’s 50 day moving average is $0.88 and its two-hundred day moving average is $1.16.

Insider Activity

In related news, EVP Dharmendra Kumar Sinha sold 91,151 shares of the firm’s stock in a transaction on Friday, November 28th. The stock was sold at an average price of $1.04, for a total value of $94,797.04. Following the completion of the transaction, the executive vice president directly owned 2,568,895 shares of the company’s stock, valued at $2,671,650.80. This trade represents a 3.43% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Also, CFO Mark A. Marino sold 234,683 shares of Rackspace Technology stock in a transaction on Monday, February 23rd. The stock was sold at an average price of $1.63, for a total transaction of $382,533.29. Following the sale, the chief financial officer owned 2,193,115 shares in the company, valued at $3,574,777.45. This represents a 9.67% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last 90 days, insiders have sold 385,156 shares of company stock worth $537,246. Insiders own 2.90% of the company’s stock.

Institutional Trading of Rackspace Technology

Several hedge funds have recently modified their holdings of the company. Creative Planning lifted its stake in Rackspace Technology by 114.2% in the second quarter. Creative Planning now owns 25,715 shares of the company’s stock valued at $33,000 after buying an additional 13,708 shares in the last quarter. Jump Financial LLC acquired a new stake in shares of Rackspace Technology during the fourth quarter worth $34,000. Engineers Gate Manager LP raised its holdings in shares of Rackspace Technology by 47.1% during the second quarter. Engineers Gate Manager LP now owns 34,777 shares of the company’s stock worth $45,000 after acquiring an additional 11,141 shares during the period. Steward Partners Investment Advisory LLC lifted its position in Rackspace Technology by 3,385.4% in the 4th quarter. Steward Partners Investment Advisory LLC now owns 64,828 shares of the company’s stock valued at $63,000 after acquiring an additional 62,968 shares in the last quarter. Finally, XTX Topco Ltd boosted its stake in Rackspace Technology by 62.8% in the 2nd quarter. XTX Topco Ltd now owns 57,682 shares of the company’s stock worth $74,000 after purchasing an additional 22,243 shares during the period. Institutional investors and hedge funds own 82.48% of the company’s stock.

Rackspace Technology Company Profile

Rackspace Technology (NASDAQ: RXT) is a leading provider of managed multi-cloud solutions and services, specializing in the deployment, management and optimization of public and private cloud environments. The company helps organizations design and operate applications across platforms such as Amazon Web Services (AWS), Microsoft Azure, Google Cloud and its own private cloud infrastructure. Rackspace’s core offerings include cloud migration, application modernization, data protection, security services and 24x7x365 operational support.

Beyond cloud hosting, Rackspace offers a range of professional services designed to accelerate digital transformation initiatives.