Rackspace Technology (NASDAQ:RXT) Trading 7.2% Higher – What’s Next?

Rackspace Technology, Inc. (NASDAQ:RXT) shares rose 7.2% during trading on Friday . The company traded as high as $2.54 and last traded at $2.53. Approximately 1,023,437 shares were traded during mid-day trading, an increase of 42% from the average daily volume of 721,513 shares. The stock had previously closed at $2.36.

Wall Street Analyst Weigh In

Separately, Barclays raised their price target on shares of Rackspace Technology from $1.00 to $2.00 and gave the company an “underweight” rating in a research report on Monday, November 18th. 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, the stock currently has an average rating of “Hold” and a consensus price target of $2.47.

Rackspace Technology Price Performance

The stock’s 50 day simple moving average is $2.47 and its 200-day simple moving average is $2.47. The company has a market capitalization of $589.40 million, a PE ratio of -0.74 and a beta of 2.02.

Rackspace Technology (NASDAQ:RXT) last posted its quarterly earnings data on Tuesday, November 12th. The company reported ($0.04) earnings per share for the quarter, topping analysts’ consensus estimates of ($0.07) by $0.03. The company had revenue of $675.80 million for the quarter, compared to analysts’ expectations of $675.14 million. During the same period in the prior year, the company posted ($0.04) EPS. The firm’s revenue was down 7.7% compared to the same quarter last year. On average, equities analysts predict that Rackspace Technology, Inc. will post -0.27 earnings per share for the current year.

Insider Transactions at Rackspace Technology

In other Rackspace Technology news, EVP Dharmendra Kumar Sinha sold 88,548 shares of the stock in a transaction that occurred on Friday, November 29th. The shares were sold at an average price of $2.67, for a total value of $236,423.16. Following the transaction, the executive vice president now directly owns 2,334,166 shares in the company, valued at $6,232,223.22. This represents a 3.65 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, CEO Amar Maletira sold 55,461 shares of the business’s stock in a transaction that occurred on Tuesday, December 3rd. The stock was sold at an average price of $2.54, for a total transaction of $140,870.94. Following the sale, the chief executive officer now owns 4,928,523 shares of the company’s stock, valued at $12,518,448.42. This represents a 1.11 % decrease in their position. The disclosure for this sale can be found here. In the last three months, insiders sold 194,864 shares of company stock valued at $508,997. Insiders own 2.00% of the company’s stock.

Institutional Investors Weigh In On Rackspace Technology

Several large investors have recently modified their holdings of RXT. Franklin Resources Inc. acquired a new stake in shares of Rackspace Technology during the third quarter worth about $443,000. Barclays PLC grew its stake in shares of Rackspace Technology by 86.1% in the 3rd quarter. Barclays PLC now owns 109,997 shares of the company’s stock valued at $270,000 after purchasing an additional 50,896 shares during the last quarter. Public Employees Retirement System of Ohio increased its holdings in shares of Rackspace Technology by 32.0% in the third quarter. Public Employees Retirement System of Ohio now owns 127,851 shares of the company’s stock valued at $313,000 after purchasing an additional 30,983 shares during the period. Jane Street Group LLC raised its stake in shares of Rackspace Technology by 27.4% during the third quarter. Jane Street Group LLC now owns 773,454 shares of the company’s stock worth $1,895,000 after purchasing an additional 166,528 shares during the last quarter. Finally, Point72 Asset Management L.P. acquired a new stake in shares of Rackspace Technology during the third quarter worth $135,000. 82.48% of the stock is owned by institutional investors and hedge funds.

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.