Barclays Forecasts Strong Price Appreciation for Rackspace Technology (NASDAQ:RXT) Stock

Rackspace Technology (NASDAQ:RXT) had its price objective raised by equities researchers at Barclays from $1.00 to $2.00 in a research report issued to clients and investors on Monday,Benzinga reports. The firm currently has an “underweight” rating on the stock. Barclays‘s price target suggests a potential downside of 18.37% from the company’s current price.

Separately, UBS Group raised their target price on shares of Rackspace Technology from $2.10 to $2.30 and gave the company a “neutral” rating in a report on Friday, August 16th. Two analysts have rated the stock with a sell rating, four have given a hold rating and one has assigned a buy rating to the company. According to data from MarketBeat.com, the company has a consensus rating of “Hold” and an average target price of $2.29.

Rackspace Technology Trading Up 1.2 %

NASDAQ:RXT opened at $2.45 on Monday. The firm has a 50-day moving average price of $2.55 and a two-hundred day moving average price of $2.40. Rackspace Technology has a twelve month low of $1.22 and a twelve month high of $3.41. The company has a market capitalization of $557.55 million, a P/E ratio of -0.70 and a beta of 1.97.

Rackspace Technology (NASDAQ:RXT) last posted its earnings results on Tuesday, November 12th. The company reported ($0.04) earnings per share for the quarter, beating the consensus estimate of ($0.07) by $0.03. The business had revenue of $675.80 million for the quarter, compared to analysts’ expectations of $675.14 million. During the same quarter last year, the business posted ($0.04) earnings per share. The business’s revenue was down 7.7% compared to the same quarter last year. On average, equities research analysts predict that Rackspace Technology will post -0.27 earnings per share for the current year.

Insider Transactions at Rackspace Technology

In other news, CEO Amar Maletira sold 84,823 shares of Rackspace Technology stock in a transaction dated Monday, September 30th. The shares were sold at an average price of $2.42, for a total transaction of $205,271.66. Following the completion of the sale, the chief executive officer now directly owns 5,158,399 shares in the company, valued at $12,483,325.58. The trade was a 1.62 % decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Insiders sold a total of 227,321 shares of company stock worth $542,103 over the last ninety days. 2.00% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Rackspace Technology

Institutional investors have recently bought and sold shares of the stock. Creative Planning purchased a new stake in Rackspace Technology in the third quarter valued at approximately $29,000. Allspring Global Investments Holdings LLC purchased a new stake in Rackspace Technology in the second quarter valued at approximately $40,000. US Bancorp DE grew its holdings in Rackspace Technology by 10,766.2% in the third quarter. US Bancorp DE now owns 16,408 shares of the company’s stock valued at $40,000 after purchasing an additional 16,257 shares during the period. Intech Investment Management LLC purchased a new stake in Rackspace Technology in the third quarter valued at approximately $50,000. Finally, The Manufacturers Life Insurance Company grew its holdings in Rackspace Technology by 44.7% in the second quarter. The Manufacturers Life Insurance Company now owns 30,019 shares of the company’s stock valued at $89,000 after purchasing an additional 9,275 shares during the period. 82.48% of the stock is currently owned by hedge funds and other institutional investors.

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.