Rackspace Technology (NASDAQ:RXT) Updates Q4 2025 Earnings Guidance

Rackspace Technology (NASDAQ:RXT) issued an update on its fourth quarter 2025 earnings guidance on Thursday morning. The company provided earnings per share guidance of -0.050–0.030 for the period, compared to the consensus earnings per share estimate of -0.010. The company issued revenue guidance of $664.0 million-$678.0 million, compared to the consensus revenue estimate of $676.7 million.

Rackspace Technology Stock Down 5.8%

NASDAQ RXT traded down $0.09 on Thursday, reaching $1.46. The stock had a trading volume of 644,608 shares, compared to its average volume of 976,107. The firm has a market capitalization of $349.47 million, a price-to-earnings ratio of -0.90 and a beta of 2.07. Rackspace Technology has a 12-month low of $1.00 and a 12-month high of $3.41. The stock has a fifty day moving average price of $1.46 and a two-hundred day moving average price of $1.35.

Rackspace Technology (NASDAQ:RXT) last posted its quarterly earnings data on Thursday, November 6th. The company reported ($0.05) earnings per share for the quarter, hitting analysts’ consensus estimates of ($0.05). The company had revenue of $671.20 million for the quarter, compared to analysts’ expectations of $666.83 million. Rackspace Technology has set its Q4 2025 guidance at -0.050–0.030 EPS.

Wall Street Analysts Forecast Growth

RXT has been the topic of several analyst reports. Wall Street Zen upgraded Rackspace Technology from a “sell” rating to a “hold” rating in a research note on Saturday, September 20th. BMO Capital Markets reduced their price objective on Rackspace Technology from $1.75 to $1.40 and set a “market perform” rating on the stock in a research note on Tuesday, August 12th. Finally, Weiss Ratings reiterated a “sell (d-)” rating on shares of Rackspace Technology in a research note on Wednesday, October 8th. 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.com, the company has a consensus rating of “Reduce” and an average price target of $1.58.

Insider Buying and Selling at Rackspace Technology

In related news, Director Anthony Scott sold 40,000 shares of the stock in a transaction on Monday, September 8th. The stock was sold at an average price of $1.43, for a total value of $57,200.00. Following the transaction, the director owned 191,045 shares of the company’s stock, valued at $273,194.35. This represents a 17.31% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this hyperlink. Also, CEO Amar Maletira sold 1,780,619 shares of the stock in a transaction on Monday, September 15th. The shares were sold at an average price of $1.35, for a total value of $2,403,835.65. Following the completion of the transaction, the chief executive officer directly owned 4,608,619 shares in the company, valued at $6,221,635.65. This trade represents a 27.87% decrease in their position. The SEC filing for this sale provides additional information. Corporate insiders own 2.90% of the company’s stock.

Hedge Funds Weigh In On Rackspace Technology

Large investors have recently bought and sold shares of the business. Creative Planning increased its holdings 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 during the last quarter. Engineers Gate Manager LP grew 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 purchasing an additional 11,141 shares during the last quarter. XTX Topco Ltd grew its holdings in shares of Rackspace Technology by 62.8% during the second 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 last quarter. Dynamic Technology Lab Private Ltd purchased a new position in shares of Rackspace Technology during the first quarter worth about $113,000. Finally, Brevan Howard Capital Management LP grew its holdings in shares of Rackspace Technology by 62.9% during the second quarter. Brevan Howard Capital Management LP now owns 85,472 shares of the company’s stock worth $109,000 after purchasing an additional 32,996 shares during the last quarter. Hedge funds and other institutional investors own 82.48% of the company’s stock.

About Rackspace Technology

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.