William Blair Weighs in on Rackspace Technology, Inc.’s Q2 2022 Earnings (NASDAQ:RXT)

Rackspace Technology, Inc. (NASDAQ:RXTGet Rating) – Analysts at William Blair reduced their Q2 2022 earnings estimates for Rackspace Technology in a research note issued to investors on Tuesday, May 10th. William Blair analyst J. Breen now forecasts that the company will post earnings of $0.16 per share for the quarter, down from their previous estimate of $0.22. William Blair also issued estimates for Rackspace Technology’s Q3 2022 earnings at $0.19 EPS, Q4 2022 earnings at $0.23 EPS, FY2022 earnings at $0.79 EPS and FY2023 earnings at $1.04 EPS.

Several other equities research analysts also recently weighed in on the company. Raymond James upgraded Rackspace Technology from a “market perform” rating to an “outperform” rating and set a $12.00 price target on the stock in a report on Wednesday. Citigroup reduced their target price on shares of Rackspace Technology from $16.00 to $13.00 in a report on Wednesday. Barclays decreased their price target on shares of Rackspace Technology from $17.00 to $10.00 in a research note on Thursday, February 24th. BMO Capital Markets downgraded shares of Rackspace Technology from an “outperform” rating to a “market perform” rating and dropped their price objective for the company from $18.00 to $10.50 in a research report on Wednesday, February 23rd. Finally, Credit Suisse Group decreased their price objective on shares of Rackspace Technology from $25.00 to $19.00 and set an “outperform” rating for the company in a research report on Wednesday, February 23rd. One equities research analyst has rated the stock with a sell rating, five have assigned a hold rating and five have assigned a buy rating to the company’s stock. According to MarketBeat.com, Rackspace Technology has an average rating of “Hold” and a consensus price target of $15.68.

Shares of NASDAQ RXT opened at $9.54 on Thursday. The stock has a market cap of $2.02 billion, a P/E ratio of -10.37, a PEG ratio of 0.93 and a beta of 0.80. The business’s fifty day simple moving average is $10.38 and its 200-day simple moving average is $12.25. Rackspace Technology has a 12-month low of $7.28 and a 12-month high of $21.50. The company has a current ratio of 1.18, a quick ratio of 1.18 and a debt-to-equity ratio of 2.80.

Rackspace Technology (NASDAQ:RXTGet Rating) last released its earnings results on Tuesday, May 10th. The company reported $0.22 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.21 by $0.01. The company had revenue of $775.50 million for the quarter, compared to analyst estimates of $774.45 million. Rackspace Technology had a negative net margin of 6.30% and a positive return on equity of 14.94%. The firm’s quarterly revenue was up 6.8% on a year-over-year basis. During the same period in the prior year, the business earned $0.23 EPS.

Institutional investors have recently bought and sold shares of the company. Newbridge Financial Services Group Inc. purchased a new stake in shares of Rackspace Technology in the 4th quarter valued at about $27,000. PNC Financial Services Group Inc. lifted its holdings in shares of Rackspace Technology by 693.1% in the 1st quarter. PNC Financial Services Group Inc. now owns 3,347 shares of the company’s stock valued at $37,000 after purchasing an additional 2,925 shares during the last quarter. Macquarie Group Ltd. purchased a new stake in shares of Rackspace Technology in the 3rd quarter valued at about $52,000. Nisa Investment Advisors LLC raised its stake in Rackspace Technology by 447.1% during the 4th quarter. Nisa Investment Advisors LLC now owns 4,650 shares of the company’s stock valued at $58,000 after acquiring an additional 3,800 shares during the last quarter. Finally, CI Investments Inc. raised its stake in Rackspace Technology by 36.4% during the 1st quarter. CI Investments Inc. now owns 7,500 shares of the company’s stock valued at $84,000 after acquiring an additional 2,000 shares during the last quarter. 95.90% of the stock is owned by institutional investors and hedge funds.

Rackspace Technology Company Profile (Get Rating)

Rackspace Technology, Inc operates as a multi cloud technology services company worldwide. It operates through Multicloud Services and Apps & Cross Platform segments. The company's Multicloud Services segment provides public and private cloud managed services, which allow customers to determine, manage, and optimize the right infrastructure, platforms, and services; and professional services related to designing and building multi cloud solutions and cloud-native applications.

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Earnings History and Estimates for Rackspace Technology (NASDAQ:RXT)

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