Rackspace Technology (NASDAQ:RXT) Releases Q4 2024 Earnings Guidance

Rackspace Technology (NASDAQ:RXT) issued an update on its fourth quarter 2024 earnings guidance on Friday morning. The company provided earnings per share guidance of -0.050–0.030 for the period, compared to the consensus earnings per share estimate of -0.040. The company issued revenue guidance of $668.0 million-$680.0 million, compared to the consensus revenue estimate of $674.9 million.

Rackspace Technology Stock Performance

Shares of NASDAQ RXT opened at $2.47 on Friday. Rackspace Technology has a 1 year low of $1.45 and a 1 year high of $3.41. The company has a 50 day simple moving average of $2.44 and a 200-day simple moving average of $2.46.

Rackspace Technology (NASDAQ:RXT) last posted its 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 business had revenue of $675.80 million during the quarter, compared to analysts’ expectations of $675.14 million. Rackspace Technology’s revenue for the quarter was down 7.7% compared to the same quarter last year. During the same quarter in the prior year, the firm earned ($0.04) EPS. On average, analysts anticipate that Rackspace Technology will post -0.27 EPS for the current fiscal year.

Analyst Ratings Changes

Separately, Barclays lifted their price target on shares of Rackspace Technology from $1.00 to $2.00 and gave the company an “underweight” rating in a research report on Monday, November 18th. One research analyst has rated the stock with a sell rating, four have assigned a hold rating and one has issued a buy rating to the company’s stock. According to data from MarketBeat, Rackspace Technology has an average rating of “Hold” and a consensus target price of $2.47.

Insider Buying and Selling at Rackspace Technology

In related news, Director Anthony C. Roberts purchased 19,455 shares of the business’s stock in a transaction that occurred on Friday, December 6th. The shares were purchased at an average cost of $2.60 per share, for a total transaction of $50,583.00. Following the purchase, the director now directly owns 161,930 shares of the company’s stock, valued at $421,018. The trade was a 13.66 % increase in their ownership of the stock. The purchase was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CEO Amar Maletira sold 55,461 shares of the business’s stock in a transaction dated Tuesday, December 3rd. The shares were sold at an average price of $2.54, for a total value of $140,870.94. Following the completion of the sale, the chief executive officer now directly owns 4,928,523 shares of the company’s stock, valued at $12,518,448.42. The trade was a 1.11 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders have sold 194,864 shares of company stock valued at $508,997. Insiders own 2.00% of the company’s stock.

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.