Rackspace Technology (NASDAQ:RXT) Announces Earnings Results, Beats Expectations By $0.02 EPS

Rackspace Technology (NASDAQ:RXT) issued its earnings results on Thursday. The company reported ($0.02) EPS for the quarter, topping the consensus estimate of ($0.04) by $0.02, Zacks reports. The firm had revenue of $685.60 million during the quarter, compared to analysts’ expectations of $674.85 million. Rackspace Technology updated its Q1 2025 guidance to -0.090–0.070 EPS.

Rackspace Technology Stock Performance

Shares of NASDAQ:RXT traded up $0.04 during midday trading on Friday, reaching $2.92. 1,239,951 shares of the company’s stock traded hands, compared to its average volume of 819,878. Rackspace Technology has a one year low of $1.45 and a one year high of $3.41. The company has a market cap of $663.37 million, a price-to-earnings ratio of -0.84 and a beta of 2.04. The stock has a 50 day moving average of $2.50 and a 200 day moving average of $2.48.

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 transaction of $236,423.16. Following the completion of the sale, the executive vice president now directly owns 2,334,166 shares of the company’s stock, valued at $6,232,223.22. This trade represents a 3.65 % decrease in their position. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, CFO Mark A. Marino sold 14,458 shares of the business’s stock in a transaction on Monday, January 27th. The stock was sold at an average price of $2.34, for a total transaction of $33,831.72. Following the completion of the transaction, the chief financial officer now directly owns 1,915,356 shares in the company, valued at $4,481,933.04. This trade represents a 0.75 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold 209,322 shares of company stock worth $542,829 in the last 90 days. 2.00% of the stock is currently owned by insiders.

Wall Street Analyst Weigh In

Separately, Barclays lifted their target price on shares of Rackspace Technology from $1.00 to $2.00 and gave the company an “underweight” rating in a report on Monday, November 18th. One investment analyst has rated the stock with a sell rating, four have assigned a hold rating and one has given a buy rating to the company. According to data from MarketBeat.com, the company currently has a consensus rating of “Hold” and a consensus price target of $2.47.

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.