Brokerages Set Rackspace Technology, Inc. (NASDAQ:RXT) Price Target at $1.70

Shares of Rackspace Technology, Inc. (NASDAQ:RXT) have received an average rating of “Reduce” from the six research firms that are currently covering the firm, MarketBeat.com reports. Two investment analysts have rated the stock with a sell rating and four have given a hold rating to the company. The average 1-year price objective among brokerages that have updated their coverage on the stock in the last year is $1.70.

Several brokerages have commented on RXT. Weiss Ratings reiterated a “sell (d-)” rating on shares of Rackspace Technology in a report on Thursday, January 22nd. Royal Bank Of Canada boosted their price objective on shares of Rackspace Technology from $1.75 to $2.50 and gave the stock a “sector perform” rating in a research note on Friday, February 27th.

Rackspace Technology Price Performance

Rackspace Technology stock opened at $1.05 on Wednesday. Rackspace Technology has a one year low of $0.39 and a one year high of $2.74. The company’s fifty day moving average price is $1.25 and its two-hundred day moving average price is $1.25. The company has a market capitalization of $259.26 million, a price-to-earnings ratio of -1.11 and a beta of 1.80.

Rackspace Technology (NASDAQ:RXT) last announced its quarterly earnings results on Thursday, February 26th. The company reported ($0.01) earnings per share for the quarter, topping analysts’ consensus estimates of ($0.04) by $0.03. The company had revenue of $682.80 million during the quarter, compared to analyst estimates of $672.56 million. Rackspace Technology has set its FY 2026 guidance at -0.200–0.15 EPS.

Insider Buying and Selling at Rackspace Technology

In related news, CFO Mark A. Marino sold 234,683 shares of Rackspace Technology stock in a transaction on Monday, February 23rd. The shares were sold at an average price of $1.63, for a total value of $382,533.29. Following the transaction, the chief financial officer owned 2,193,115 shares in the company, valued at $3,574,777.45. This trade represents a 9.67% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, EVP Dharmendra Kumar Sinha sold 188,123 shares of the business’s stock in a transaction on Wednesday, March 18th. The stock was sold at an average price of $1.81, for a total transaction of $340,502.63. Following the transaction, the executive vice president directly owned 2,276,057 shares of the company’s stock, valued at approximately $4,119,663.17. This represents a 7.63% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 502,440 shares of company stock worth $867,173 in the last quarter. Insiders own 2.90% of the company’s stock.

Institutional Trading of Rackspace Technology

Several hedge funds have recently added to or reduced their stakes in RXT. Vanguard Group Inc. grew its holdings in Rackspace Technology by 6.1% in the 3rd quarter. Vanguard Group Inc. now owns 6,288,882 shares of the company’s stock valued at $8,867,000 after buying an additional 359,087 shares during the last quarter. Geode Capital Management LLC lifted its holdings in shares of Rackspace Technology by 4.2% during the fourth quarter. Geode Capital Management LLC now owns 2,408,000 shares of the company’s stock worth $2,338,000 after buying an additional 96,760 shares during the last quarter. AustralianSuper Pty Ltd acquired a new position in shares of Rackspace Technology during the third quarter worth approximately $2,276,000. JPMorgan Chase & Co. boosted its position in shares of Rackspace Technology by 1.8% in the third quarter. JPMorgan Chase & Co. now owns 1,464,389 shares of the company’s stock valued at $2,065,000 after acquiring an additional 26,510 shares during the period. Finally, Janus Henderson Group PLC boosted its position in shares of Rackspace Technology by 70.7% in the fourth quarter. Janus Henderson Group PLC now owns 1,050,353 shares of the company’s stock valued at $1,020,000 after acquiring an additional 435,113 shares during the period. 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.