Rackspace Technology (NASDAQ:RXT) Shares Up 6%

Rackspace Technology, Inc. (NASDAQ:RXT)’s share price rose 6% during mid-day trading on Wednesday . The stock traded as high as $2.66 and last traded at $2.66. Approximately 304,814 shares changed hands during mid-day trading, a decline of 75% from the average daily volume of 1,210,280 shares. The stock had previously closed at $2.51.

Wall Street Analyst Weigh In

Several research analysts have weighed in on RXT shares. Evercore ISI lowered their price target on Rackspace Technology from $3.00 to $2.00 and set an “in-line” rating on the stock in a research report on Wednesday, March 13th. Raymond James decreased their target price on Rackspace Technology from $3.50 to $3.00 and set an “outperform” rating on the stock in a report on Wednesday, March 13th. Royal Bank of Canada reissued a “sector perform” rating and set a $3.00 target price on shares of Rackspace Technology in a report on Wednesday, March 13th. Finally, BMO Capital Markets upped their price objective on Rackspace Technology from $1.50 to $2.50 and gave the company a “market perform” rating in a report on Wednesday, March 13th. Two analysts have rated the stock with a sell rating, four have given a hold rating and two have assigned a buy rating to the company. According to MarketBeat.com, Rackspace Technology currently has a consensus rating of “Hold” and a consensus price target of $2.31.

Rackspace Technology Price Performance

The stock has a fifty day moving average of $2.03 and a 200 day moving average of $1.87. The firm has a market capitalization of $608.87 million, a P/E ratio of -0.67 and a beta of 1.87.

Rackspace Technology (NASDAQ:RXT) last issued its quarterly earnings results on Wednesday, May 15th. The company reported ($0.11) EPS for the quarter, topping analysts’ consensus estimates of ($0.13) by $0.02. The business had revenue of $690.80 million for the quarter, compared to analyst estimates of $684.21 million. Rackspace Technology had a negative return on equity of 10.18% and a negative net margin of 29.99%. Rackspace Technology’s quarterly revenue was down 8.9% compared to the same quarter last year. During the same period last year, the company posted ($0.02) earnings per share. Equities analysts forecast that Rackspace Technology, Inc. will post -0.38 EPS for the current fiscal year.

Insiders Place Their Bets

In other news, insider Kellie Teal-Guess sold 61,393 shares of Rackspace Technology stock in a transaction on Thursday, May 16th. The stock was sold at an average price of $2.13, for a total value of $130,767.09. Following the completion of the transaction, the insider now directly owns 909,775 shares in the company, valued at $1,937,820.75. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. Company insiders own 1.00% of the company’s stock.

Institutional Investors Weigh In On Rackspace Technology

Several large investors have recently added to or reduced their stakes in RXT. Charles Schwab Investment Management Inc. lifted its stake in shares of Rackspace Technology by 32.0% in the 3rd quarter. Charles Schwab Investment Management Inc. now owns 1,868,417 shares of the company’s stock valued at $4,391,000 after acquiring an additional 452,862 shares during the last quarter. Acadian Asset Management LLC purchased a new position in Rackspace Technology during the 3rd quarter valued at about $69,000. Aristeia Capital LLC purchased a new position in Rackspace Technology during the 3rd quarter valued at about $111,000. SG Americas Securities LLC grew its holdings in shares of Rackspace Technology by 86.4% during the 4th quarter. SG Americas Securities LLC now owns 52,694 shares of the company’s stock worth $105,000 after acquiring an additional 24,431 shares during the period. Finally, Raymond James & Associates purchased a new position in shares of Rackspace Technology during the 4th quarter worth approximately $29,000. Institutional investors own 82.48% of the company’s stock.

Rackspace Technology Company Profile

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.