Rackspace Technology (NASDAQ:RXT) Upgraded to Outperform at Raymond James

Rackspace Technology (NASDAQ:RXT) was upgraded by investment analysts at Raymond James from a “market perform” rating to an “outperform” rating in a research report issued to clients and investors on Tuesday, FinViz reports. The firm currently has a $3.50 target price on the stock. Raymond James’ price target indicates a potential upside of 136.49% from the stock’s current price.

Several other equities analysts have also recently commented on RXT. Barclays lifted their target price on shares of Rackspace Technology from $1.00 to $2.00 and gave the stock an “underweight” rating in a research report on Tuesday, July 25th. BMO Capital Markets boosted their price objective on Rackspace Technology from $1.50 to $2.50 and gave the stock a “market perform” rating in a research report on Wednesday, August 9th. Deutsche Bank Aktiengesellschaft raised their target price on Rackspace Technology from $1.50 to $2.50 in a research report on Thursday, August 10th. Citigroup downgraded shares of Rackspace Technology from a “neutral” rating to a “sell” rating and increased their target price for the company from $1.25 to $1.50 in a research report on Tuesday, July 25th. Finally, Credit Suisse Group lifted their price target on shares of Rackspace Technology from $3.50 to $4.15 and gave the stock an “outperform” rating in a report on Monday, August 7th. Two equities research analysts have rated the stock with a sell rating, three have assigned a hold rating and two have issued a buy rating to the company’s stock. According to data from MarketBeat, the company has a consensus rating of “Hold” and an average target price of $3.14.

Rackspace Technology Stock Down 3.9 %

RXT stock opened at $1.48 on Tuesday. The firm has a market capitalization of $319.52 million, a PE ratio of -0.23 and a beta of 1.70. The company has a quick ratio of 1.18, a current ratio of 1.18 and a debt-to-equity ratio of 111.44. Rackspace Technology has a twelve month low of $1.05 and a twelve month high of $6.07. The stock’s 50 day moving average is $2.28 and its 200-day moving average is $1.96.

Rackspace Technology (NASDAQ:RXT) last posted its quarterly earnings data on Tuesday, August 8th. The company reported ($0.06) earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($0.08) by $0.02. The firm had revenue of $746.30 million for the quarter, compared to the consensus estimate of $730.44 million. Rackspace Technology had a negative net margin of 44.32% and a positive return on equity of 4.08%. The business’s revenue for the quarter was down 3.4% compared to the same quarter last year. During the same period in the previous year, the firm earned $0.17 EPS. Sell-side analysts expect that Rackspace Technology will post -0.17 EPS for the current fiscal year.

Insider Activity

In other news, Director Anthony C. Roberts acquired 22,350 shares of Rackspace Technology stock in a transaction that occurred on Tuesday, August 15th. The stock was bought at an average price of $2.23 per share, with a total value of $49,840.50. Following the completion of the purchase, the director now owns 139,232 shares in the company, valued at $310,487.36. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Company insiders own 1.00% of the company’s stock.

Hedge Funds Weigh In On Rackspace Technology

A number of institutional investors have recently added to or reduced their stakes in RXT. Sei Investments Co. lifted its holdings in shares of Rackspace Technology by 2.9% during the 2nd quarter. Sei Investments Co. now owns 77,628 shares of the company’s stock worth $575,000 after acquiring an additional 2,189 shares during the last quarter. Point72 Hong Kong Ltd boosted its holdings in shares of Rackspace Technology by 144.4% in the 2nd quarter. Point72 Hong Kong Ltd now owns 4,831 shares of the company’s stock worth $35,000 after purchasing an additional 2,854 shares in the last quarter. PNC Financial Services Group Inc. increased its position in shares of Rackspace Technology by 693.1% during 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. Tower Research Capital LLC TRC lifted its position in Rackspace Technology by 29.6% in the 3rd quarter. Tower Research Capital LLC TRC now owns 14,072 shares of the company’s stock worth $57,000 after buying an additional 3,215 shares during the last quarter. Finally, Vident Investment Advisory LLC lifted its position in Rackspace Technology by 16.4% in the 1st quarter. Vident Investment Advisory LLC now owns 24,676 shares of the company’s stock worth $275,000 after buying an additional 3,475 shares during the last quarter. 82.48% of the stock is currently owned by institutional investors.

About Rackspace Technology

Rackspace Technology, Inc operates as a multi cloud technology services company the Americas, Europe, the Middle East, Africa, and The Asia-Pacific region. It operates through two segments, Multicloud Services and Apps & Cross Platform. The 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.