Rackspace Technology, Inc. (NASDAQ:RXT) Receives Average Recommendation of “Hold” from Brokerages

Rackspace Technology, Inc. (NASDAQ:RXT) has received an average rating of “Hold” from the six research firms that are presently covering the firm, Marketbeat reports. One investment analyst has rated the stock with a sell rating, four have assigned a hold rating and one has issued a buy rating on the company. The average 1 year price target among analysts that have issued a report on the stock in the last year is $2.47.

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 report on Monday, November 18th.

Insider Activity at Rackspace Technology

In related news, EVP Dharmendra Kumar Sinha sold 88,548 shares of the stock in a transaction dated Friday, November 29th. The shares were sold at an average price of $2.67, for a total value of $236,423.16. Following the completion of the transaction, the executive vice president now directly owns 2,334,166 shares in the company, valued at $6,232,223.22. This trade represents a 3.65 % decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, CEO Amar Maletira sold 55,461 shares of the business’s stock in a transaction dated 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 directly owns 4,928,523 shares in the company, valued at $12,518,448.42. The trade was a 1.11 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold 194,864 shares of company stock worth $508,997 over the last 90 days. 2.00% of the stock is owned by company insiders.

Institutional Trading of Rackspace Technology

A number of institutional investors and hedge funds have recently bought and sold shares of the company. Bank of New York Mellon Corp raised its stake in shares of Rackspace Technology by 17.1% in the second quarter. Bank of New York Mellon Corp now owns 222,778 shares of the company’s stock worth $664,000 after purchasing an additional 32,468 shares during the last quarter. Renaissance Technologies LLC raised its position in Rackspace Technology by 23.7% in the 2nd quarter. Renaissance Technologies LLC now owns 1,339,200 shares of the company’s stock worth $3,991,000 after buying an additional 256,900 shares during the last quarter. Sargent Investment Group LLC lifted its stake in Rackspace Technology by 86.9% during the 2nd quarter. Sargent Investment Group LLC now owns 215,100 shares of the company’s stock valued at $641,000 after acquiring an additional 100,000 shares during the period. The Manufacturers Life Insurance Company boosted its holdings in shares of Rackspace Technology by 44.7% during the 2nd quarter. The Manufacturers Life Insurance Company now owns 30,019 shares of the company’s stock valued at $89,000 after acquiring an additional 9,275 shares during the last quarter. Finally, Susquehanna Fundamental Investments LLC grew its stake in shares of Rackspace Technology by 143.7% in the second quarter. Susquehanna Fundamental Investments LLC now owns 53,506 shares of the company’s stock worth $159,000 after acquiring an additional 31,550 shares during the period. 82.48% of the stock is currently owned by institutional investors.

Rackspace Technology Price Performance

NASDAQ RXT opened at $2.59 on Monday. The stock has a market capitalization of $589.40 million, a price-to-earnings ratio of -0.74 and a beta of 2.02. The business’s fifty day moving average is $2.47 and its 200-day moving average is $2.47. Rackspace Technology has a one year low of $1.45 and a one year high of $3.41.

Rackspace Technology (NASDAQ:RXT) last issued its quarterly earnings results on Tuesday, November 12th. The company reported ($0.04) EPS for the quarter, beating analysts’ consensus estimates of ($0.07) by $0.03. The firm had revenue of $675.80 million for the quarter, compared to analysts’ expectations of $675.14 million. The firm’s quarterly revenue was down 7.7% on a year-over-year basis. During the same period in the prior year, the company earned ($0.04) EPS. Research analysts expect that Rackspace Technology will post -0.27 EPS for the current fiscal year.

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.