Rackspace Technology (NASDAQ:RXT) Stock Price Up 9.9% – Still a Buy?

Rackspace Technology, Inc. (NASDAQ:RXT)’s stock price shot up 9.9% during trading on Monday . The stock traded as high as $2.59 and last traded at $2.56. 596,353 shares changed hands during trading, a decline of 45% from the average session volume of 1,086,489 shares. The stock had previously closed at $2.33.

Analyst Ratings Changes

Separately, UBS Group boosted their price target on shares of Rackspace Technology from $2.10 to $2.30 and gave the stock a “neutral” rating in a research report on Friday, August 16th. One investment analyst has rated the stock with a sell rating, four have issued a hold rating and one has issued a buy rating to the stock. According to MarketBeat.com, the stock has a consensus rating of “Hold” and a consensus price target of $2.34.

Rackspace Technology Stock Performance

The stock has a market capitalization of $542.48 million, a P/E ratio of -0.65 and a beta of 1.97. The company’s fifty day simple moving average is $2.46 and its two-hundred day simple moving average is $2.33.

Rackspace Technology (NASDAQ:RXT) last announced its earnings results on Thursday, August 8th. The company reported ($0.08) earnings per share for the quarter, topping analysts’ consensus estimates of ($0.11) by $0.03. The firm had revenue of $684.90 million for the quarter, compared to the consensus estimate of $669.10 million. On average, research analysts predict that Rackspace Technology, Inc. will post -0.32 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other Rackspace Technology news, CEO Amar Maletira sold 52,206 shares of the business’s stock in a transaction that occurred on Wednesday, August 21st. The shares were sold at an average price of $2.35, for a total value of $122,684.10. Following the completion of the transaction, the chief executive officer now owns 5,347,434 shares of the company’s stock, valued at $12,566,469.90. The trade was a 0.00 % decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Over the last 90 days, insiders have sold 227,321 shares of company stock valued at $542,103. Company insiders own 2.00% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors have recently modified their holdings of the business. Creative Planning bought a new position in Rackspace Technology during the third quarter valued at approximately $29,000. Susquehanna Fundamental Investments LLC bought a new position in Rackspace Technology in the first quarter worth approximately $35,000. Allspring Global Investments Holdings LLC bought a new position in Rackspace Technology in the second quarter worth approximately $40,000. US Bancorp DE grew its stake in Rackspace Technology by 10,766.2% during the third quarter. US Bancorp DE now owns 16,408 shares of the company’s stock valued at $40,000 after acquiring an additional 16,257 shares in the last quarter. Finally, Mitsubishi UFJ Trust & Banking Corp grew its stake in Rackspace Technology by 98.2% during the first quarter. Mitsubishi UFJ Trust & Banking Corp now owns 33,263 shares of the company’s stock valued at $51,000 after acquiring an additional 16,484 shares in the last quarter. 82.48% of the stock is currently owned by institutional investors.

Rackspace Technology Company Profile

Rackspace Technology, Inc operates as a multi cloud technology services company in the Americas, Europe, the Middle East, Africa, and The Asia-Pacific region. It operates through three segments: Multicloud Services, Apps & Cross Platform, and OpenStack Public Cloud. The company provides public and private cloud managed services, which allow customers to determine, manage, and optimize the right infrastructure, platforms, and services; professional services related to designing and building multi cloud solutions and cloud-native applications; and managed hosting and colocation services.