Rackspace Technology (NASDAQ:RXT) Trading 11.1% Higher – What’s Next?

Rackspace Technology, Inc. (NASDAQ:RXT)’s share price was up 11.1% during trading on Thursday . The stock traded as high as $5.17 and last traded at $5.1450. Approximately 3,812,344 shares traded hands during trading, a decline of 84% from the average daily volume of 24,219,025 shares. The stock had previously closed at $4.63.

Wall Street Analyst Weigh In

Separately, Royal Bank Of Canada raised their price objective on Rackspace Technology from $1.75 to $2.50 and gave the stock a “sector perform” rating in a research note on Friday, February 27th. Three investment analysts have rated the stock with a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat, the company has a consensus rating of “Reduce” and an average target price of $1.95.

Rackspace Technology Trading Up 13.7%

The company has a 50 day simple moving average of $2.46 and a 200-day simple moving average of $1.59. The stock has a market cap of $1.31 billion, a price-to-earnings ratio of -8.62 and a beta of 2.23.

Rackspace Technology (NASDAQ:RXT) last released its quarterly earnings results on Thursday, May 7th. The company reported ($0.06) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.03) by ($0.03). The business had revenue of $678.10 million during the quarter, compared to analysts’ expectations of $660.83 million. Rackspace Technology has set its FY 2026 guidance at -0.200–0.150 EPS. Equities analysts forecast that Rackspace Technology, Inc. will post -0.18 earnings per share for the current fiscal year.

Insider Activity

In other Rackspace Technology news, EVP Dharmendra Kumar Sinha sold 188,123 shares of Rackspace Technology stock in a transaction dated Wednesday, March 18th. The stock was sold at an average price of $1.81, for a total value of $340,502.63. Following the sale, the executive vice president owned 2,276,057 shares of the company’s stock, valued at $4,119,663.17. This trade represents a 7.63% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. Also, CFO Mark A. Marino sold 14,058 shares of Rackspace Technology stock in a transaction dated Wednesday, March 18th. The shares were sold at an average price of $1.81, for a total value of $25,444.98. Following the completion of the sale, the chief financial officer directly owned 2,158,874 shares in the company, valued at $3,907,561.94. This represents a 0.65% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold a total of 267,757 shares of company stock worth $484,640 in the last three months. Company insiders own 2.90% of the company’s stock.

Hedge Funds Weigh In On Rackspace Technology

Hedge funds have recently modified their holdings of the stock. Savant Capital LLC bought a new position in shares of Rackspace Technology in the 3rd quarter valued at about $33,000. R Squared Ltd grew its holdings in shares of Rackspace Technology by 74.3% in the 3rd quarter. R Squared Ltd now owns 25,127 shares of the company’s stock valued at $35,000 after acquiring an additional 10,707 shares in the last quarter. Creative Planning grew its holdings in shares of Rackspace Technology by 114.2% in the 2nd quarter. Creative Planning now owns 25,715 shares of the company’s stock valued at $33,000 after acquiring an additional 13,708 shares in the last quarter. Abel Hall LLC bought a new position in shares of Rackspace Technology in the 1st quarter valued at about $30,000. Finally, Engineers Gate Manager LP grew its holdings in shares of Rackspace Technology by 47.1% in the 2nd quarter. Engineers Gate Manager LP now owns 34,777 shares of the company’s stock valued at $45,000 after acquiring an additional 11,141 shares in the last quarter. Institutional investors own 82.48% of the company’s stock.

About Rackspace Technology

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.